So where will this newest stimulus package get us? The democrats pushed it through the House of Representatives yesterday. President Barack Obama campaigned on change, but this new stimulus plan is full of the same old pork that we have seen for decades in American politics. President Obama has promoted the 3-T strategy for the stimulus package and recovery....temporary, targeted and timely.
First off the tax cuts & credits in the plan will mean $12/week per paycheck for the average American. It's nice, but won't make any difference at all for me. It won't change my spending habits. It won't make me go buy anything other than what I would be normally buying anyway. It will just go into my bank account as with most Americans. Very little stimulus there as most won't notice any difference at all.
Now to the pork in the bill. $70 million for stop smoking programs. Not going to create any jobs there. $335 million for sexually transmitted diseases = no job creation. $650 million for DTV coupons. $50 million for national endowment for the arts. Now I am all for museums and such, but come on. $75 million super computer for national oceanic and atmospheric association. Typical political pork. Nothing of the above helps our struggling economy or creates any jobs whatsoever.
Now to the building and infrastructure parts of the package. I think timely was one of the 3-Ts. According to the Washington Post, of the $30 billion devoted to highway spending, only $4 billion will be spent within the next 2 years. Less than $3 billion of the $18.5 billion for renewable energy and less than half the financing for school construction will be spent by 2011. How is this timely? We need this stuff now not in 2013!
Unfortunately, it looks like politics as usual in Washington. I love President Obama's energy and enthusiasm, but if we can't eliminate special interests and pork from Congress it is all for naught and this country will continue to have it's tax dollars wasted.
Showing posts with label stimulus package. Show all posts
Showing posts with label stimulus package. Show all posts
Thursday, January 29, 2009
Saturday, January 24, 2009
President Obama Pushing New Stimulus Package
President Barack Obama took to the airwaves Saturday to promote his economic aid plan which he is hoping to get through Congress soon. Obama's recovery package goals are:
--- Double within three years the amount of energy that could be produced from renewable resources . That is an ambitious goal, given the 30 years it took to reach current levels. Advisers say that could power 6 million households.
---upgrade 10,000 schools and improve learning for about 5 million students.
---save $2 billion a year by making federal buildings energy efficient.
---triple the number of undergraduate and graduate fellowships in science.
---tighten security at almost 90 major US ports.
The plan would look to spend at least 75% of the total cost (more than $600 billion) within the first 18 months, either through work projects favored by Democrats or tax cuts favored by Republicans.
There is heavy emphasis on public works projects, which have lagged as state budgets contracted. Governors have lobbied Obama to help them patch holes in their budgets, drained by sinking tax revenues and increased need for public assistance such as Medicaid and children's health insurance. Obama's plan would increase the federal portion of those programs so no state would have to cut any of the 20 million children whose eligibility is now at risk. Obama's plan would also provide health care coverage for 8.5 million people who lose their insurance when they either lose or shift jobs.
--- Double within three years the amount of energy that could be produced from renewable resources . That is an ambitious goal, given the 30 years it took to reach current levels. Advisers say that could power 6 million households.
---upgrade 10,000 schools and improve learning for about 5 million students.
---save $2 billion a year by making federal buildings energy efficient.
---triple the number of undergraduate and graduate fellowships in science.
---tighten security at almost 90 major US ports.
The plan would look to spend at least 75% of the total cost (more than $600 billion) within the first 18 months, either through work projects favored by Democrats or tax cuts favored by Republicans.
There is heavy emphasis on public works projects, which have lagged as state budgets contracted. Governors have lobbied Obama to help them patch holes in their budgets, drained by sinking tax revenues and increased need for public assistance such as Medicaid and children's health insurance. Obama's plan would increase the federal portion of those programs so no state would have to cut any of the 20 million children whose eligibility is now at risk. Obama's plan would also provide health care coverage for 8.5 million people who lose their insurance when they either lose or shift jobs.
Monday, January 5, 2009
Tax Cuts Coming in the New Stimulus Plan from Barack Obama
The upcoming economic stimulus package to be proposed by President-elect Barack Obama could include very large tax breaks for individuals and businesses, according to Democratic aides. The tax cuts could make up as much as 40% of the stimulus package. The package may be worth as much as $775 billion meaning tax cuts may constitute more than $300 billion of the legislation.
Making tax cuts such a large part of the stimulus may help win support from Republicans. Senate Minority Leader Mitch McConnell, a Kentucky Republican, said his party would support a middle class tax cut as part of any stimulus package.
The plan would attempt to boost consumer demand by spending $140 billion on tax breaks worth $500 for individuals and $1,000 for couples. The change would come by altering tax-withholding rules, rather than through a rebate check as with the previous stimulus plan enacted last year, so that workers would see an immediate increase in their take-home pay.
The $500 tax credit would apply to the first $8,100 of wages, meaning a worker who earns $24,400 a year and is paid twice a month would get about $60 extra per paycheck for four months.
Making tax cuts such a large part of the stimulus may help win support from Republicans. Senate Minority Leader Mitch McConnell, a Kentucky Republican, said his party would support a middle class tax cut as part of any stimulus package.
The plan would attempt to boost consumer demand by spending $140 billion on tax breaks worth $500 for individuals and $1,000 for couples. The change would come by altering tax-withholding rules, rather than through a rebate check as with the previous stimulus plan enacted last year, so that workers would see an immediate increase in their take-home pay.
The $500 tax credit would apply to the first $8,100 of wages, meaning a worker who earns $24,400 a year and is paid twice a month would get about $60 extra per paycheck for four months.
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