By now you’ve likely heard of President Obama’s plan to reduce the deficit and pay for his latest stimulus - just raise taxes! Sounds pretty simple, but is it fair? More importantly, is it the right thing to do to in this economy?
Let’s take a step back from the President’s “pass this bill” mantra and discuss what effects this approach would likely have on our economy.
Two years ago, President Obama said "you don't raise taxes in a recession." Now that he has announced his plan, which is pretty much a recycled version of the first “stimulus”, he wants to raise taxes on the American people during the worst economic period our country has experienced in many years.
What he doesn't tell us is that his proposed $1.5 trillion in new taxes will hit all of us. It will be especially detrimental to the 14 million unemployed Americans as you won’t see small business owners rushing to create jobs when you raise their tax burden.
As a former small business owner, I can tell you this plan will make it harder to hire more people, especially in light of the fact that Washington does not have a revenue problem, it has a spending problem. The President's idea is nothing more than a tactic to stall the real reforms that Washington must undertake now in order to avert an economic collapse.
I’m working with my colleagues in the Senate to address this crisis in a responsible manner. Let’s rein in spending, reform our tax code, reduce regulatory burdens imposed by government agencies, increase exports by passing pending free trade agreements and create a new energy policy that allows us to use American resources and makes us less dependent on foreign oil.
That’s how we can get the economy moving again, by encouraging investment in small business, the heart of our nation’s economy, instead of discouraging it through senseless tax hikes.