Democrats urge economic stimulus package

Susan Lueck in the Wall Street Journal writes that Democrats are demanding an economic stimulus package;

“Hopefully, by the time we go to that meeting, everyone will be ready to come to terms,” said Ms. Pelosi, just before meeting with top House Republicans today. House Majority Leader Steny Hoyer of Maryland said it would be possible to get a stimulus package completed in the next 30 days.

In the Senate, two top Democrats said they hoped to unveil a House-Senate stimulus proposal before the State of the Union address, scheduled for Jan. 29. “If this is not done in the first quarter — signed sealed and going into effect — it may be too late,” said Sen. Charles Schumer of New York, chairman of the Joint Economic Committee, which held a hearing on the matter today. “We, as Democrats, are here to say that help is on the way,” said Sen. Edward Kennedy of Massachusetts.

Of course, it’s a crisis that has to be dealt with this very moment…well, when the Democrat Congress returns from it’s month-long Christmas break, anyway. But their idea of economic stimulus isn’t the same stimulus anyone with more than one semester of Economics 101 might recognize;

The Senate doesn’t return to work officially until next week, but Mr. Reid already has talked with committee chairmen who have jurisdiction over tax rebates, food stamps, heating-oil assistance and unemployment insurance, all elements that Democrats might want to expand as part of a stimulus bill.

Funny how prices are rising, production is falling and Congress wants to prop up the poor instead of helping businesses to keep people employed during the slow down.

Heating oil assistance? Does anyone think Congress can act with the speed required to provide heating oil assistance before Spring? All of the states already have programs in place to provide heating oil assistance – they planned for it last year.

How are food stamps going to help prop up the economy this year and in the winter after the growing season?

Tax rebates? For whom? The only tax rebates the Democrats ever propose are for people who don’t pay taxes. Federal News Radio reports;

There’s widespread agreement, however, that tax rebates along the lines of the $300-600 checks awarded in 2001 are likely to be part of the measure.

Funny but when the President recommended those rebates back in 2001, the Democrats said they wouldn’t stimulate the economy. In fact I remember Democrats mentioning that those rebates wouldn’t buy the poor a new muffler. Now it’s their best guess to save the economy.

But, there are a few Republicans still on the job, I guess;

Many are calling for the 2001 and 2003 tax cuts to be made permanent. Rep. Eric Cantor of Virginia and several other Republicans proposed several business tax incentives, including a cut in the corporate rate from 35% to 25% and a bonus write-off for business investment.

That makes too much sense, though;

Democrats said they are open to some business tax breaks, but only those that meet their stimulus criteria: temporary, timely and targeted. And they are putting a higher priority on unemployment insurance expansion or other benefits to individuals, saying they are quicker and more efficient ways to jumpstart the economy.

Yeah, we have to be careful not to have anything that permanently helps the economy – how else can Democrats act like we need them to fix the crises they’ve created for us.

Everything under consideration “costs money,” Ms. Pelosi said. “And if we’re spending money, what are we getting for it?”

Costs who money, Pelosi? Cut out some of the earmarks for your district. Cut Congressional staffs in half and show that you share our “costs” and sacrifices.

Category: Economy, Politics