Kevin Hasset, a Bloomberg News columnist, claimed in a recent piece that liberal policy will cause a double dip recession. He keeps calling the expiration of the Bush tax cuts for the rich a tax hike. Excuse me but allowing the tax rate for the rich to go back to where it was before Bush and the Republicans rewarded the rich for putting them in power is not a tax hike. Reward time is over. I wonder if we let the tax cuts expire and dedicate that money to paying off the deficit, how long would it take?
The fact is you can't concentrate on the deficit untill the jobs situation has rebounded.
I need my car to get to work. My car needs engine work, (jobs creation), and bodywork, (deficit reduction). If I concentrate on how the car looks I will put my money in the bodywork and not the engine. Now I got a car that looks good but it won't get me to work. A good looking economy benefits only Wall Street and not the rest of us. Republicans like this approach as it bolsters their credibility with Wall Street and their ability to get donations from the rich. Unfortunately this approach leaves millions out of work and possibly out on the street.
To structure the recovery in any other fashion than jobs first, deficit second risks and possibly guarantees a double dip recession. Certainly Republicans would benefit from a double dip recession as it would probably guarantee their resumption of power, but is it what's best for the country, or just what's best for Republicans?
The choice of the next election is this. Do we elect Democrats to fix the engine of job creation, or do we elect Republicans to do the bodywork of deficit reduction? The answer is pretty obvious, a good lookin' car ain't worth diddly if it can't get me to work.