Partisan Gridlock

[bluehenbillk]

I'm sick of it.

Let me ask: how hard is it for people to reach the word " compromise".

Let's put it into practice with the issue of the day: TAXES.

Democrats don't want to extend the Bush tax cuts for individuals that make 200K+ or couple that make 250k+

Republicans want to extend the Bush tax cuts for everybody.

Here's the issues: The economy is still sluggish, so it's hard to pass tax increases currently. As well, the government's debt is escalating to an alarming pace & tough decisions will need to be made in lots & lots of areas.

Here's my "compromise" idea: Make the cuts for everyone under the "argument line" (200-250K) permanent. (Read: Both sides can really claim this a victory, probably the Republicans a little more). For 2011, you leave the top bracket alone, but put together a tiered raise for the top bracket that from 2012-2014 or 2015 gets that top bracket back to where it was before the Bush tax cuts. (Read: This allows both sides to save face - the Democrats get a plan to raise the taxes on the wealthy, but do it only when they think the economy will be in better shape than today & the Republicans don't allow a tax increase for anyone - which is their main premise - for 2011.

It may not be the perfect plan, but it's a compromise. I welcome a better solution that will unlock the gridlock. Unfortunately, this is what you should be hearing from Washington - that both sides are exchanging offers instead of standing on opposite sides of the aisle with their arms crossed.....

[ASUG8]

Flat tax.

[bluehenbillk]

I don't disagree with a flat tax.

However, to get from where we're at today to a flat tax is going to take quite an amount of time, infinitely more than the amount of time Congress & Obama have to come to a decision on this topic for '11.

[kalm]

Raise taxes and cut spending.

[ASUG8]

I wasn't crapping on your proposal at all - it's a reasonable band-aid to put on the problem for a couple of years - as I said in another thread, allowing taxes to rise right now will stifle this weak recovery and further diminish consumer confidence. It's a pretty delicate line we're walking right now and a knee-jerk reaction for the sake of political gain is myopic at best.

[93henfan]

Here's my "compromise" idea: Make the cuts for everyone under the "argument line" (200-250K) permanent.

Permanent as in "until the Democrats hold both chambers and the White House again"?

[bluehenbillk]

Well, we all know permanent in Washington DC speak is a relative term.

[GannonFan]

I'm sick of it.

Let me ask: how hard is it for people to reach the word " compromise".

Let's put it into practice with the issue of the day: TAXES.

Democrats don't want to extend the Bush tax cuts for individuals that make 200K+ or couple that make 250k+

Republicans want to extend the Bush tax cuts for everybody.

Here's the issues: The economy is still sluggish, so it's hard to pass tax increases currently. As well, the government's debt is escalating to an alarming pace & tough decisions will need to be made in lots & lots of areas.

Here's my "compromise" idea: Make the cuts for everyone under the "argument line" (200-250K) permanent. (Read: Both sides can really claim this a victory, probably the Republicans a little more). For 2011, you leave the top bracket alone, but put together a tiered raise for the top bracket that from 2012-2014 or 2015 gets that top bracket back to where it was before the Bush tax cuts. (Read: This allows both sides to save face - the Democrats get a plan to raise the taxes on the wealthy, but do it only when they think the economy will be in better shape than today & the Republicans don't allow a tax increase for anyone - which is their main premise - for 2011.

It may not be the perfect plan, but it's a compromise. I welcome a better solution that will unlock the gridlock. Unfortunately, this is what you should be hearing from Washington - that both sides are exchanging offers instead of standing on opposite sides of the aisle with their arms crossed.....

Yup, I agree, it should be very easy and your idea is perfectly fine. Even better, it eliminates the uncertainity that has existed for the past few years now in terms of what the rates and costs are going to be going forward. Regular people and people who invest greatly dislike uncertainty - it's scary, and when they're scared, they hold on to their money. Lay out a gameplan of what the future will be, and make it gradual enough if you are going to raise taxes, and it's not so scary any more. Needless to say, yesterday's vote by the House was the political equivalent of flipping the middle finger at compromise and progress - hopefully cooler heads prevail as many of those who voted leave Washington in a few weeks.