Letter: Obama’s Real Agenda
To the Editor:
The president’s unrelenting drive to deny extension of the Bush tax cuts to wealthier Americans makes little sense from the standpoint of economics. Under the most favorable of assumptions, it would raise tax revenues by about $80 billion a year. Even if every cent of that were put toward deficit reduction (which is very unlikely), it would barely dent our $16 trillion deficit.
On the other hand, raising tax rates on small businesses, many of which are counted among the “wealthy,” will discourage them from investing and increasing employment in their businesses, further slowing economic growth.
It seems obvious that Barack Obama’s real motive here is income redistribution, not deficit reduction.