“Because of this investment, nearly 400,000 men and women will go to work rebuilding our crumbling roads and bridges, repairing our faulty dams and levees, bringing critical broadband connections to businesses and homes in nearly every community in America, upgrading mass transit, building high-speed rail lines that will improve travel and commerce throughout our nation."
–President Barack Obama, February 17, 2009. Remarks at the signing of the first “stimulus”.
Here we go again
President Obama’s economic policies have failed and Democrats in Washington are flailing to find new taxpayer funded initiative to grow the economy. The president has proposed $50 billion for more infrastructure projects. Democrats have already approved a nearly $1.2 trillion “stimulus” plan, a $17 billion HIRE Act, and a $26 billion state bailout in an effort to stimulate growth, but none of the stimulus spending has increased the number of jobs in the economy. When the original $1.2 trillion stimulus was approved, the President said that the bill contained “a $150 billion investment in our nation’s infrastructure.” When President Obama signed the original stimulus into law, the unemployment rate stood at 7.7 percent; hardly 19 months later, unemployment stands at 9.6 percent. Unemployment has been above nine percent for 16 consecutive months. When the first stimulus was approved, the Obama Administration promised that more deficit spending would “meet the goal of creating or saving at least 3.5 million jobs over the next two years.” Since then, the economy has shed 3.58 million jobs. Still, the president is asking for more taxpayer funded stimulus.
As always, job-killing tax increases
The American people can’t afford more of the Democrat’s failed policies, nor can they afford more tax increases, as the president is proposing. According to press reports, in order to offset this new round of government spending, “the administration would raise taxes on oil and gas companies.” Once again, this administration is proposing permanent tax increases in the midst of an economic decline to pay for more failed stimulus spending. The president also reiterated that Democrats will increase taxes during the worst economy in decades, claiming that “we can’t afford” to prevent tax increases. While the president has proposed some tax cuts for businesses, the issue most important to small businesses is the $3.9 trillion tax increase that will impact every taxpayer beginning on January 1, 2011. If President Obama wants to create jobs and restore confidence, he should stop the entire $3.9 trillion tax increase. Instead, the president restated his intention to increase taxes on job-creators. Make no mistake, these tax increases will kill American jobs. According to the National Federation of Independent Business, 75 percent of small businesses are organized as pass-through entities (sole proprietors, partnerships, and S Corps), suggesting their business income is subject to the individual tax rates. The American people want new ideas for getting our economy back on track, not the same warmed-over stimulus and bailout policies that have failed to do anything but create new taxes, record deficits, and high unemployment.
Doing the same thing Over and over again and expecting different results
In his speech in Parma, Ohio, on September 8, 2010, President Obama announced his new $50 billion stimulus spending plan. This proposal, in reality, is not new at all. Spending billions of dollars on new stimulus projects rehashes the same big-government policies that this administration has offered since taking over the White House. Time and time again, wasteful federal spending has failed to create jobs. Below is a timeline of the Democrats’ “stimulus” plans that have passed in the House as unemployment hovered near 10 percent.
The results are clear: the Democrats have run out of ideas about how to get the economy moving in the right direction.