President George H.W. Bush lost the presidency because he broke his 1988 campaign pledge: read my lips: no new taxes. Now President Obama is as blatantly poised to disregard his most fundamental campaign promise: if you make less than $250000 your taxes will not go up. Not one dime.
In our new book Catastrophe we write about the breadth of Obamas planned tax hikes and the heights to which he will drive taxes. To pay for his health care catastrophe Obama will likely make all health insurance premiums paid by employers taxable to the employees.
So if your income is $50000 and your employer pays $10000 in health insurance premiums for you your taxable income will be $50000. In effect this means that most taxpayers will have to pay more than a third of their incomes to the federal government.
And Obamas cap and trade legislation is the exact same as Al Gores BTU tax which was the centerpiece of Clintons 1993 tax program. Eventually Clinton replaced it with a flat 5 cent gasoline tax. But the idea of taxing utility bills to drive down electricity use is as old as the Clinton Administration. But Obama cant call it a tax because that would break his pledge. So he calls it cap and trade instead.
Finally it is obvious that Obama will be unable to restore financial solvency to Social Security and Medicare without big hikes in the payroll tax coming in 2011!
It is ultimately these tax increases which will drive Obamas congressional majority from office in the 2010 elections. His stimulus package raising the deficit damaged the recovery by raising interest rates. Now he will complete the catastrophe by raising taxes. Together these tax hikes and interest rate increases will choke off any recovery the business cycle would naturally catalyze.
From now on its Obamas recession.
President George H.W. Bush lost the presidency because he broke his 1988 campaign pledge: read my lips: no new taxes. Now President Obama is as blatantly poised to disregard his most fundamental campaign promise: if you make less than $250000 your taxes will not go up. Not one dime.
In our new book Catastrophe we write about the breadth of Obamas planned tax hikes and the heights to which he will drive taxes. To pay for his health care catastrophe Obama will likely make all health insurance premiums paid by employers taxable to the employees.
So if your income is $50000 and your employer pays $10000 in health insurance premiums for you your taxable income will be $50000. In effect this means that most taxpayers will have to pay more than a third of their incomes to the federal government.
And Obamas cap and trade legislation is the exact same as Al Gores BTU tax which was the centerpiece of Clintons 1993 tax program. Eventually Clinton replaced it with a flat 5 cent gasoline tax. But the idea of taxing utility bills to drive down electricity use is as old as the Clinton Administration. But Obama cant call it a tax because that would break his pledge. So he calls it cap and trade instead.
Finally it is obvious that Obama will be unable to restore financial solvency to Social Security and Medicare without big hikes in the payroll tax coming in 2011!
It is ultimately these tax increases which will drive Obamas congressional majority from office in the 2010 elections. His stimulus package raising the deficit damaged the recovery by raising interest rates. Now he will complete the catastrophe by raising taxes. Together these tax hikes and interest rate increases will choke off any recovery the business cycle would naturally catalyze.
From now on its Obamas recession.
