John McCain suggested some measures this morning that the executive branch could take on their own to calm markets:
McCain has spoken about the financial crisis at length, in a couple of places I do disagree with him. Much of the fault here does lie with Congress, and John seems unwilling to assign their portion of blame. Perhaps he’s saving that for the debates however, you’ve seen plenty of material here. One thing I do know: Capitalism works best with less regulations. This whole mess is because of a crazy quilt of financial regs including CRA that work at counter purposes and which result in two socialist government backed housing lending agencies both ripe for corruption and abuse.
John McCain’s Jobs for America: Simpler, Lower Taxes
In this ongoing series I’m examining the McCain Economic plans. There are 8 parts to the Jobs for America plan so I”m looking at them one at a time. The previous article on energy can be found here.
John McCain’s plan calls for simpler taxes, and relief for small business, family farms, and entrepreneurs in the form of tax cuts. Entrepreneurs are the bedrock of american prosperity and in high tax environs they cannot continue to move America forward.
By allowing first year deductions to business on capital equipment and techology investments Jobs for America allows American workers to have the newest equipment, and helps put us back into a building and growth mode across the country. This also opens up opportunities for manufacturers who make those tools, those products, and that equipment.
That’s exactly what the Democrats do not like, they don’t like a growing America – they’d rather America be cloistered and isolated in a no-growth philosophy of decay like Europe. Barack Obama’s “Green Jobs” plan is code for hiring activists, lobbyists, and community organizers to lobby for more controls on business, more of your tax dollars, and less growth through energy initiatives and lifestye tailoring through legislation. These “green jobs” will choke growth and innovation in proven energy sectors like Nuclear, and keep us in the energy stasis we’ve been in for 35 years. It’s just more of the same with a new name. Jobs don’t come in colors, and if you artificially pump up just one sector of the economy you cripple others and stifle true innovation.
Trickle down Taxation:
Barack Obama’s plan would tax those small businesses, decrease the jobs they can offer, and increase the prices you have to pay when you buy gas, milk, bread, or school clothes. Barack’s plan is to use business as a surrogate and to indirectly tax you through them. These are the Democrats favorite tools: trickle down taxes. Barack doesn’t think you are smart enough to figure out that when you “tax the rich” you tax family farms, small business, and most American’s retirement plans and 401-k’s as corporate stock prices accomodate the higher taxation. If you work for a business, or buy things from a store then Barack’s tax plans will impact you thousands of times throughout the year — each time you go to a store. Barack Obama’s plan hits the poor, people on fixed incomes, and the middle classes the hardest in the end.
By cutting corporate tax rates, John McCain insures a growth economy, contrasted to the Obama plan which would throttle the engines of american productivity, and your pension plan or 401K by raising corporate taxes. If you are in a union, if you are in a pension plan, if you have savings, if you have a retirement account, Obama’s plan will indirectly and negatively impact those.
John McCain will ban internet and new cell phone taxes, the benefit of that should be clear to all.
Jobs for America will encourage private investment in research and development, and challenge American industry. Instead of all research coming from government grants we need to take the binds off private research by allowing tax credit for Research and Development. It is technology that keeps us strong in the world economy, and we must challenge US business’s to do much more of that.
Below you can see the Jobs for America tax reduction plan from John McCain’s campaign site:
Keep Tax Rates Low: Entrepreneurs are at the heart of American innovation, growth and prosperity. Entrepreneurs create the ultimate job security – a new, better opportunity if your current job goes away. Entrepreneurs should not be taxed into submission. John McCain will keep the top tax rate at 35 percent, maintain the 15 percent rates on dividends and capital gains, and phase-out the Alternative Minimum Tax. Small businesses are the heart of job growth; raising taxes on them hurts every worker.Innovation Tax PolicyBan Internet Taxes: John McCain believes we must make a farsighted, robust, and fervent commitment to innovation and new technologies to sustain our global competitiveness, meet our national security challenges, achieve less costly and more effective health care, reduce dangerous dependence on foreign sources of oil, and raise the quality of education in the United States. John McCain has been a leader in keeping the Internet free of taxes. As President, he will seek a permanent ban on taxes that threaten this engine of economic growth and prosperity.
Ban New Cell Phone Taxes: John McCain understands that the same people that would tax e-mail will tax every text message – and even 911 calls. John McCain will prohibit new cellular telephone taxes.
Cut The Corporate Tax Rate From 35 To 25 Percent: A lower corporate tax rate is essential to keeping good jobs in the United States. America was once a low-tax business environment, but as our trade partners lowered their rates, America failed to keep pace. We now have the second highest corporate tax rate in the world, making America a less attractive place for companies to do business. American workers deserve the chance to make fine products here and sell them around the globe.
Allow First-Year Deduction, Or “Expensing”, Of Equipment And Technology Investments: American workers need the finest technologies to compete. Expensing of equipment and technology will provide an immediate boost to capital expenditures and reward investments in cutting-edge technologies.
Establish Permanent Tax Credit Equal To 10 Percent Of Wages Spent On R&D: This reform will simplify the tax code, reward activity in the United States, and make us more competitive with other countries. A permanent credit will provide an incentive to innovate and remove uncertainty. At a time when our companies need to be more competitive, we need to provide a permanent incentive to innovate, and remove the uncertainty now hanging over businesses as they make R&D investment decisions.
The Temple of Taxation
McCain Slams Obama on Taxes
While the MSM continues to paint John McCain as weak on the economy, he continues to exhibit signs that he has firmer grasp of economic reality than his opponent Obama. This as evidenced by McCain’s anti-tax and anti-spending positions as well as his long record on both issues. (The notable outlier was his original opposition to Bush tax cuts because they did not at the same time reduce spending. If conservatives had listened to that message perhaps the 2006 election cycle would have gone a bit better for them.)
This morning McCain is on attack again as he challenges Obama’s weakness on taxes:
If you are one of the 23 million small business owners in America who files as an individual rate payer, Sen. Obama is going to raise your tax rates. If you have an investment for your child’s education or own a mutual fund or a stock in a retirement plan, he is going to raise your taxes. He will raise estate taxes to 45%. I propose to cut them to 15%. His plan will hurt the American worker and family. It will hurt the economy and cost us jobs,” McCain will say today, according to excerpts released by the campaign. “At a time of increasing gas and food prices, American families need tax relief and I, not my opponent, will deliver it.
Who knew that Obama had 100 million plus in Earmarks during his short senate stint?