It’s All Part of My Stimulus Fantasy

By
Thursday, February 05, 2009 at 7:12 am

This amendment to the economic stimulus bill passed by the House and now being considered by the Senate, submitted by conservative icon-in-the-making Sen. Jim DeMint (R-S.C.), was breathtakingly bold. The gist, from Sen. DeMint’s Website:

o Permanently repeal the alternative minimum tax once and for all;
o Permanently keep the capital gains and dividends taxes at 15 percent;
o Permanently kill the Death Tax for estates under $5 million, and cut the tax rate to 15 percent for those above;
o Permanently extend the $1,000-per-child tax credit;
o Permanently repeal the marriage tax penalty;
o Permanently simplify itemized deductions to include only home mortgage interest and charitable contributions.
o Lower top marginal income rates from 35 percent to 25 percent.
o Simplify the tax code to include only two other brackets, 15 and 10 percent.
o Lower corporate tax rate as well, from 35 percent to 25 percent.

This got the support of all but five Senate Republicans.

Follow David Weigel on Twitter


Comments

116 Comments

ajm8127
Comment posted February 5, 2009 @ 5:29 am

That's great except you have to have a job or investments to reap the benefits. What about the 7.2%+ of unemployed Americans? And why did the Senate strip health coverage for recently laid off Americans who are 55 or over until they are Medicare eligible at 65?

http://www.huffingtonpost.com/2009/02/04/health…


stevedore
Comment posted February 5, 2009 @ 10:46 am

The R's fiddled while Rome burned. Once again the Republican Party shows their total disdain for anyone but the rich. They and their deregulation got us into this mess and the Senate with their arcane rules are trying to keep the Majority from acting to get us out. Wake up, the last election was a Sea Change and the American people are watching and will remember this posing on the part of the Republican Senate.


Rum, Romanism and Rebellion » Blog Archive » We Don’t Want Your Stupid Money Anyway!
Pingback posted February 5, 2009 @ 12:25 pm

[...] And, it seems, that our two senators are not eager for it either. Both Jon Kyl and John McCain voted for Jim DeMint’s amendment to the stimulus bill that would have stripped out all of the spending and replaced it with…I’ll let you guess…wait for it…tax cuts. [...]


Matthew Yglesias » The Negotiating Partner
Pingback posted February 5, 2009 @ 12:54 pm

[...] Dave Weigel in full: This amendment to the economic stimulus bill passed by the House and now being considered [...]


36 out 0f 41 Republican Senators Vote to Kill ALL Spending in Stimulus Bill - Gossip Rocks Forum
Pingback posted February 5, 2009 @ 1:09 pm

[...] to the need for fixing the economy through government spending? As The Washington Independent’s Dave Weigel points out, that question seems to have been answered in a Senate vote last night. When Sen. Jim DeMint (R-SC) [...]


nealo.com - cartoons by neal obermeyer » Blog Archive » Johanns for the rich
Pingback posted February 5, 2009 @ 2:24 pm

[...] but Mike Johanns voted for Sen. Jim DeMint’s “stimulus” bill, summarized here by David Weigel at the Washington Independent: • Permanently repeal the alternative minimum tax [...]


Updated: Daschle Withdraws; Didn't these guys have to fill out an application? - Page 6 - The Warpath
Pingback posted February 5, 2009 @ 3:13 pm

[...] the same thing that has gone on for the last 40 years. When you have 36 GOP senators who don’t believe in government spending as a means of economic recovery and threaten to fillbuster the stimulus bill WTF are we going to [...]


Updated: Daschle Withdraws; Didn't these guys have to fill out an application? - Page 6 - The Warpath
Pingback posted February 5, 2009 @ 4:36 pm

[...] is the same thing that has gone on for the last 40 years. When you have 36 GOP senators who don’t believe in government spending as a means of economic recovery and threaten to filibuster the stimulus bill WTF are we going to [...]


Gus
Comment posted February 5, 2009 @ 5:41 pm

Let 'em eat cake.


Balloon Juice » Blog Archive » Obama Fiddled While These People Starved
Pingback posted February 5, 2009 @ 6:20 pm

[...] I see you all were on this already in the comments. What I get for not reading them. Crazy people. [...]


Economic Stimulus « Liberty Street
Pingback posted February 5, 2009 @ 6:35 pm

[...] This is what “bipartisan” means to Senate Republicans, excepting the four (Collins, Snowe, Specter, and Voinovich) who voted against it: This amendment to the economic stimulus bill passed by the House and now being considered by the Senate, submitted by conservative icon-in-the-making Sen. Jim DeMint (R-S.C.), was breathtakingly bold. The gist, from Sen. DeMint’s Website: o Permanently repeal the alternative minimum tax once and for all; o Permanently keep the capital gains and dividends taxes at 15 percent; o Permanently kill the Death Tax for estates under $5 million, and cut the tax rate to 15 percent for those above; o Permanently extend the $1,000-per-child tax credit; o Permanently repeal the marriage tax penalty; o Permanently simplify itemized deductions to include only home mortgage interest and charitable contributions. o Lower top marginal income rates from 35 percent to 25 percent. o Simplify the tax code to include only two other brackets, 15 and 10 percent. o Lower corporate tax rate as well, from 35 percent to 25 percent. [...]


Jim Dandy
Comment posted February 6, 2009 @ 11:42 am

DeMint is not interested in the well-being of the country. He wants to:
1. Oppose President Obama even if it means economic collapse
2. Enforce the folly of trickle-down economics
3. Cut-taxes for no reason other than that he likes the idea and wants to make political points
I have seen this fellow on TV. He is not very intelligent. He is like a broken record thinking that tax cuts are the answer to all problems. He is incapable of listening to other points of view that may not agree with him. He is just like Bush and the country will continue its downward trend if people like him are allowed to call the shots. Obama should listen to what he says and do the exact opposite. DeMint is dead wrong.


joe
Comment posted February 6, 2009 @ 12:10 pm

I am willing to bet that the U.S. gov's credit rating will be on watch for downgrade if this passes. Absolutely no argument can be made for making these cuts permanent.


Aaron
Comment posted February 6, 2009 @ 12:15 pm

Thank god the Democrats are in charge!


45ACP
Comment posted February 6, 2009 @ 12:24 pm

I'm shocked! Shocked, I tell you! However, based on the President's extemporaneous remarks to Democratic lawmakers on 05-Feb, I get the impression that he's learning how truly difficult it is to pet a rabid dogs. Let me think for a moment…I know I read somewhere of a cure for rabid dogs. Can't remember what it is. Oh well….


Jim
Comment posted February 6, 2009 @ 12:51 pm

Nothing is said about what will have to be cut in the budget or how much this will cost. I thought the Republicans were saying we are spending too much. What will this
COST ????

You are telling me that all but five (5) Republicans voted for this without knowing the COST ???? Sounds like the Republicans of the last eight (8) years.


tm_in_nj
Comment posted February 6, 2009 @ 1:29 pm

What exactly is cutting the “Death Tax” supposed to stimulate? I shudder to think…


What all but 5 Republicans support - Paul Krugman Blog - NYTimes.com
Pingback posted February 6, 2009 @ 1:32 pm

[...] out of 41 Republican Senators voted for the proposed DeMint amendment to the stimulus bill — a massive package of permanent tax cuts that would create a huge hole [...]


Mark C
Comment posted February 6, 2009 @ 1:41 pm

It's all part of my shock and awe dream.

Talk about bad company……


anonymous
Comment posted February 6, 2009 @ 2:10 pm

Alas, you know nothing is really permanent, right?


anonymous
Comment posted February 6, 2009 @ 2:11 pm

That's interesting. Here's my fantasy stimulus package:

1. Tell rich people to spend their money.
2. If they don't, spend it for them.


jmatt
Comment posted February 6, 2009 @ 3:55 pm

a noun, a verb,and tax cuts are always the answer to every question


foo
Comment posted February 6, 2009 @ 4:48 pm

I, Herbert Hoover, lowered the top marginal rates while the depression worsened. It wasn't until 1932 that he raised them to 90%. That's right 90%. In the next 5 years the stock market tripled and unemployment was cut in half.


Phil
Comment posted February 6, 2009 @ 9:11 pm

Looks good.


Rove: ‘No one that I know of is talking about tax cuts only.’ - CHASTER - All Around The World
Pingback posted February 6, 2009 @ 11:44 pm

[...] offered by Sen. Jim DeMint (R-SC) that was an alternative “stimulus” plan consisting of nothing but permanent tax cuts. An analysis by the Center for American Progress Action Fund found that DeMint’s plan would [...]


Eric
Comment posted February 7, 2009 @ 12:50 am

Good question. Actually, cutting the death tax is an anti-stimulus measure. If you lower the cost of saving your money until death, then people have more incentive to save now, and spend less. An actual stimulus measure would actually raise the tax, causing people to think twice about saving so much for the future, and spend it on their children now. While that's not a prudent measure for anyone concerned about losing their job right now, most of the people expecting to incur the estate tax in the next few years aren't in that boat.


The GOP Hates America and Wants You to Just, You Know, Drop Dead « Out Of My Mind
Pingback posted February 7, 2009 @ 6:37 am

[...] Thirty-six out of 41 Republican Senators voted for the proposed DeMint amendment to the stimulus bill — a massive package of permanent tax cuts that would create a huge hole in [...]


Dave
Comment posted February 7, 2009 @ 7:13 am

Add to DeMint's proposal

o Permanently reduce the Federal Government payroll and contractor expenditures by 20%

and the amendment makes a lot of sense.

I can't tell you what the total salaried employment is in the Federal Government but I can tell you, and surprisingly many gov't employees agree, that if you cut Federal payroll by 20% across the board with cuts weighted heavily in the Washington, DC agencies, this country, this economy, and those who “rely” on us would skip barely a beat, life would go on, and traffic around DC would be much more pleasant.


AncientOne
Comment posted February 7, 2009 @ 10:54 am

I'm from SC. Jim Dandy is right about DeMint's lack of intelligence and narrow-mindedness. He can't carry on a discussion that takes him into water over his ankles. Our Governor's the same way.

IMHO, DeMint will not be reelected, but he'll be a major pain until then.


KAMGlosta
Comment posted February 7, 2009 @ 12:57 pm

How about CUTTING SPENDING????? Everyone is worried about the cost of these fantastic tax cuts but don't seem to care that our government SPENDS TO MUCH!!!!!!!!!!!!

The dems are trying to make gov't even bigger… and guess what… WE pay for that!!!!!!!!!!


The romanticism of bipartisanship « The Brittle Hum of the Republic
Pingback posted February 7, 2009 @ 1:06 pm

[...] 7, 2009 by Bernie Latham Thirty-six out of 41 Republican Senators voted for the proposed DeMint amendment to the stimulus bill — a massive package of permanent tax cuts that would create a huge hole in [...]


x
Comment posted February 7, 2009 @ 8:18 pm

what the F***! Yes, keep cutting taxes, even some justified like corp. capital gains… This will create demand, jobs, and put smile on everyone.
cut tax, cut taxes, cut taxes….. Idiots cut your balls and feed them to the capital dogs, and offshore tax shelter criminals!
These republicans just can't read the FACTS. Please, keep cutting taxes and sending the extra $ to an off shore tax sheltered account, and blow it on some hookers, french food. This is a responsible American act in such times.


Tony G. Rocco
Comment posted February 7, 2009 @ 9:06 pm

It will take a while for these idiots to die off. Until then, we will have to live with their insanity and mitigate as best we can their effects.


G
Comment posted February 8, 2009 @ 11:18 am

I see nothing wrong with this. Its a much better idea to get money in people's pockets than more pork barrel spending.


Nadia
Comment posted February 8, 2009 @ 1:12 pm

Wow. I am so glad these people are out of power. It's almost as if they are “one trick” ponies. The entire world economy is tanking… and all they can say is 'tax cuts.' This from the folks that brought you the fantasy that global warming didn't exist!


Jenny
Comment posted February 8, 2009 @ 1:17 pm

Because cutting income taxes really helps people who are out of work.

No. It helps people who have big incomes. And think about it. Heck, it's not as if taxes go to pay for public services like buses and schools and parks… things that really do benefit people who maybe can't afford a car or country club membership.

Oh yeah, I'm looking forward to being able to only itemize deductions from my mortgage and charity contributions. (That's another 'not'!) Because i have so much free money to donate to charity… and because i spend so little on work related expenses. Right. Thanks.

This is what they spend their time fighting for?


Oldheathen
Comment posted February 8, 2009 @ 3:43 pm

And who would pay for this? Cuts would come from social programs that the poor and unemployed need. Yet again just like the past 30 years welfare is given to the rich and well to do and debt is piled on the poor and the young. When would the tax cuts accually be felt? Next tax season? A government job is a very good job and that person will spend money on things like food , clothes etc. Man was I born in a bad time! We need to bring back the tax rates of the 1950s. We need to narrow the distance between the haves and the have nots. Just like it use to be. Times really suck since LBJ screwed up with Vietnam and the domano theroy.


ronnc
Comment posted February 8, 2009 @ 5:50 pm

does anybody remember the recession when slick willie left office? of course not. it seems that with the bush tax cuts the GDP has grown- or is that irrelevant too? it seems the dems and there supporters(soros, gates etc..)are more than happy to make their money and get rich, they just dont want joe citizen to do it. ehey'd rather create big spending entitlrment plans and keep the citizenry dependant on the government for their needs. thats called socialism , and I didnt spend 13 years in the military to live in a socialist country. socialism DOES NOT WORK!


ronnc
Comment posted February 8, 2009 @ 5:53 pm

why hasnt the press questioned Sen. Dodd and Sen. Frank about Fannie/Freedie? the community reinvestment act is part of the reason the economy turned down. Thanks Pres. Clinton


Jon Fistler
Comment posted February 8, 2009 @ 7:12 pm

Republicans want to shrink the size of government but lack the political courage and skill to actually do it. Instead, they do the easy part, cut taxes. But continue cutting taxes without cutting programs, and we will inevitably reach the point of collapse. The Republican policy of cutting taxes and not spending will lead to the destruction of this country. Fine patriots I'm sure, in their own minds!

For the life of me, I do not understand why the Democrats go along with this. Maybe the public is really ignorant enough to not see what is happening.


The reason we need a credible Democratic candidate for Governor, in a nutshell « Off the Kuff
Pingback posted February 8, 2009 @ 10:14 pm

[...] offered an amendment to the economic stimulus bill during all the sausage-making last week. Here’s what he proposed: o Permanently repeal the alternative minimum tax once and for all; o Permanently keep the capital [...]


Ground Level
Comment posted February 9, 2009 @ 2:35 pm

The purpose of the exercise is to stimulate the economy by stimulating waning consumer spending.. The US economy is 80% consumer based while the wealthiest 10% account for 50% of all spending. Obviously tax cuts will stimulate a consumer based economy.
The previous tax cuts by the Bush admin proves that in keeping consumer spending going for as long as it did.
Quantum level discussion on stimulus is providing a great distraction on how much in any form is enough, and is there even enough without collapsing the bond market at which time the entire economy collapses.
I think Obama picked $800B as the top limit the US government could print and not how much it will take.

deficit spending is not a plan

buckle up butter cup


jchaus
Comment posted February 9, 2009 @ 4:02 pm

Note that McCain voted YEA!

What a catastrophe he would have been.


Balloon Juice » Blog Archive » You Are Kidding, Right?
Pingback posted February 11, 2009 @ 7:56 am

[...] Any math men out there want to let me know if 87.8% counts as the “median position?” And it would be irresponsible not to remind everyone exactly what was in the Demint Amendment: [...]


Jon
Comment posted February 13, 2009 @ 12:56 pm

As P.T. Barnum once said, “Nobody ever lost money underestimating the intelligence of the American people.”


Jon
Comment posted February 13, 2009 @ 1:15 pm

Privatizing profit while socializing risk seems also not to work, so perhaps we should try something else.
Look, we practice socialism in very practical ways when it suits us; we socialize our police and fire protection and do fine because we have no problem socializing the costs of things that benefit us all. That's what healthy taxation is about. Same goes for roads and sanitation and the the interstate highway system and rural electrification and public schools. It might not be a bad thing to nationalize the rail system as well, at least the rails themselves. And there's no question that the cost of our national defense has been socialized.
Good things all, and the point being that socialization of things that benefit us all is quite sensible.
What is NOT sensible, is socialization of the risks of doing business.
Many businessmen claim that, the right to profit is theirs by virtue of what they've risked and, to the extent this is true, they're correct. The small businessman who mortgages his home in order to do a startup SHOULD be rewarded for his effort. He works hard and should be able to profit. And, in a free market that doesn't subsidize his competition in the form of tax breaks to larger businesses that can afford campaign contributions (i.e. bribes) to the public officials who write them, that would be true.
Our problem isn't that we practice socialism. It's that we allow the socialization of risk while not requiring a directly proportional socialization of profits.


The Stimulus Bill is law… and the only casualty is bipartisanship | Entangled Alliances
Pingback posted February 15, 2009 @ 10:46 am

[...] an ideas worth using.  However, the only idea Republicans had, apart from doing nothing, was the laughably destructive proposal by Senator Jim DeMint, which received near universal support from the GOP. Essentially, his plan was to just pass two [...]


The American Spectator : AmSpecBlog : Republicans and the Stimulus
Pingback posted February 17, 2009 @ 12:00 pm

[...] much-maligned Jim DeMint plan contained some sound policies, but it was vulnerable to the same criticisms as the [...]


Time to Stop Telling the Tall Tale That Republicans are Fiscally Responsible - The Seminal :: Independent Media and Politics
Pingback posted February 22, 2009 @ 1:54 pm

[...] surplus to deficit and offered tax cuts as the solution to every economic problem (an approach nearly every Republican in the Senate recently embraced), we still see lines like this in the Washington Post: “The [Clinton] [...]


Balloon Juice » Blog Archive » The Next Nexter Right
Pingback posted February 25, 2009 @ 6:42 pm

[...] had a mantra- tax cuts. And you had something proposed by DeMint that you all supported. And you had more tax cuts in a house bill. Technically, I guess you could pretend that those were [...]


yo momma
Comment posted February 26, 2009 @ 1:10 pm

cutting income taxes benefits ANYONE with an income, not just those with a big income. Local Taxes (sales tax and property tax for instance) pay for schools, parks and other local amenities. Gas taxes are supposed to be used for roads and public transportation.

Maybe instead of spending your time on the computer you should be trying to find a job.


Michael
Comment posted February 26, 2009 @ 4:48 pm

What a catastrophy Obama is being.


yo momma
Comment posted February 26, 2009 @ 9:10 pm

cutting income taxes benefits ANYONE with an income, not just those with a big income. Local Taxes (sales tax and property tax for instance) pay for schools, parks and other local amenities. Gas taxes are supposed to be used for roads and public transportation.

Maybe instead of spending your time on the computer you should be trying to find a job.


Michael
Comment posted February 27, 2009 @ 12:48 am

What a catastrophy Obama is being.


charlesbpetzold
Comment posted February 9, 2010 @ 2:50 pm

No Taxation Without Public Consent

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charlesbpetzold
Comment posted February 9, 2010 @ 7:50 pm

No Taxation Without Public Consent

Join the cause, & be one of the first….

http://www.facebook.com/group.php?v=app_2373072…


Myths of the Supply Side - Ross Douthat Blog - NYTimes.com
Pingback posted May 4, 2010 @ 4:23 pm

[...] be dire at best, catastrophic at worst. They can respond responsibly, by eschewing the dream of Reaganesque tax cuts and taking the political risks necessary to actually restrain federal spending. Or they can be [...]


jcreighton
Comment posted May 5, 2010 @ 5:48 pm

This will drive whatever is left of America after Bush, off the bridge. This has never worked and never will work to the benefit of all Americans. Only the rich.
De Mint is De Mented.


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Phil Ramsey
Comment posted September 15, 2010 @ 10:27 pm

The rich seem to get richer and the rest of us seem,no do, get poorer.

We supply the rich with to much, trickel down doesn't work


Anonymous
Comment posted December 5, 2010 @ 1:13 am

that’s like saying, Who, pushed the rock that’s going to crush us

It doesn’t matter were getting crushed, while the rich dance on our bodies


Anonymous
Comment posted December 5, 2010 @ 1:13 am

that’s like saying, Who, pushed the rock that’s going to crush us

It doesn’t matter were getting crushed, while the rich dance on our bodies


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Comment posted February 12, 2011 @ 8:14 pm

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