Boehner Trots Out Old Canard

[InTheLight]

John Boehner has fired the first shot in the fiscal cliff wars. Saying that raising the tax rates on the top earners would "destroy 700,000 jobs" and cited an Ernst and Young study.

Whoa, losing 700,000 jobs in the next year or so, that sounds bad, doesn't it? .

But if one takes a look at the study

http://www.nfib.com/LinkClick.aspx?fileticket=OMV7uZczVaM=&tabid=1083

you will find this statement,

"Employment in the long-run would fall by 0.5% or, roughly 710,000 fewer jobs, in today‟s economy."

Hmmm....what's the "long run"? Well, according to the study, it means

"For models of this type, roughly two-third to three-quarters of the long-run effect is reached within a decade." footnote 2, page 23

OK, so within 10 years roughly 475,000 to 532,000 jobs would be lost.

 

[mont974x4]

We'll be lucky if we only lose 500,000 in the next year.

Lockheed is looking at over 100,000. They just waited because your messiah paid them off.

Boeing recently started preparing its people for a move to Mexico. Ain't that ironic?


This economy and the coming fiscal disaster is all Obama...you liberals voted for it. Man up and own it.

 

[InTheLight]

We'll be lucky if we only lose 500,000 in the next year.

Lockheed is looking at over 100,000. They just waited because your messiah paid them off.

So you are saying that these alleged job losses would result no matter what happens to the top tax rate?

This economy and the coming fiscal disaster is all Obama...you liberals voted for it. Man up and own it.

I am a liberal and Obama is my messiah? Someone is jumping to erroneous conclusions.

 

[mont974x4]

No. I am saying businesses knew what was coming, especially if Obama got re-elected. The jobs lost are due to his policies and his leadership.


As to the messiah statement? I call 'em as a I see 'em. Your disdain for republicans and anyone but Obama has been quite evident in your posts. One example is the constant defense of him and his policies while attacking everyone else. The attitude is nothing short of worship.

 

[Revmitchell]

As to the messiah statement? I call 'em as a I see 'em. Your disdain for republicans and anyone but Obama has been quite evident in your posts. One example is the constant defense of him and his policies while attacking everyone else. The attitude is nothing short of worship.

I was thinking something similar myself.

 

[InTheLight]

As to the messiah statement? I call 'em as a I see 'em. Your disdain for republicans and anyone but Obama has been quite evident in your posts. One example is the constant defense of him and his policies while attacking everyone else. The attitude is nothing short of worship.

So my many, many posts stating my support of Rick Santorum, then my many many posts supporting Mitt Romney plus the fact that I voted the straight Republican ticket on Tuesday is evidence that I support Obama.

You say my "constant defense" of Obama and his policies, well, I would like you to cite ONE POST where I have defended Obama. One.

And then RevMitchell chimes in. This is what I am talking about when I say that people are trained to read what they want to read and not what is written. I post that I think that a tax rate increase on the wealthiest people will not destroy 700,000 jobs and suddenly I'm an Obama backer? Sheesh!

 

[mont974x4]

I don't remember any post on politics that wasn't for Obama. It made me think your signature was a joke. You remind me of Zaac.

 

[InTheLight]

I don't remember any post on politics that wasn't for Obama.

So it should be easy for you to find many posts of mine that supported Obama. Many posts showing my "disdain for Republicans". Have at it.

 

[LadyEagle]

Well, why don't we get back on topic?

John Boehner caving to Obama and the Dems is why we have the sequester to begin with. John B is a failure as Speaker.

I am no longer interested in anything any Republicans have to say. They have behaved like potted plants for the past 4 years and even if they were to try to be something other than potted plants for the next 4 years, it is too late.

 

[billwald]

>Boeing recently started preparing its people for a move to Mexico. Ain't that ironic?

Yes, it is. Republicans in federal minimum wage states who think they are to smart to need a union and expected to steal Boeing union jobs learn that their federal minimum wage salaries are to high to please Boeing.

 

[Arbo]

It made me think your signature was a joke. You remind me of Zaac.

This made me chuckle.

I'm sure ITL will understand why.

 

[InTheLight]

This made me chuckle.

I'm sure ITL will understand why.

Oh yes, I got it. BB is quite entertaining, innit?

 

[Aaron]

Boehner Trots Out Old Canard

Might be an old story, but it's a true one, kinda like the Gospel.

 

[Crabtownboy]

Boehner is only playing to his audience. This idea has been shown to be in error. But he needs to keep trotting it out to keep his folk happy as they believe in ideology, not facts. If the facts do not agree they simply look for an obscure study to shore up their point while ignoring reality. I'll take the Congressional Budget Office's word over Boehner any day.

Republicans argue that any tax increases would be devastating to the economy, particularly to small businesses, and to U.S. employment rates.

They have held firm to their position that none of the cuts, which originated during the administration of President George W. Bush, should be allowed to expire.

The CBO said the tax hikes for the wealthy would reduce job growth by around 200,000 jobs, much less than the 700,000 in job losses claimed by Republican Speaker of the House John A. Boehner.

http://www.reuters.com/article/2012/11/09/us-usa-fiscal-cbo-idUSBRE8A71D020121109

 

[Revmitchell]

According to the CBO:

Extending all expiring tax provisions other than the cut in the payroll tax that has been in effect since January 2011—that is, extending the tax reductions originally enacted in 2001, 2003, and 2009 and extending all other expiring provisions, including those that expired at the end of 2011, except for the payroll tax cut—and indexing the alternative minimum tax (AMT) for inflation beginning in 2012 would boost real GDP by a little less than 1½ percent by the end of 2013.


http://www.breitbart.com/Big-Govern...eport-Tax-Hikes-Will-Slow-But-Not-Kill-Growth

 

[Crabtownboy]

According to the CBO:

Extending all expiring tax provisions other than the cut in the payroll tax that has been in effect since January 2011—that is, extending the tax reductions originally enacted in 2001, 2003, and 2009 and extending all other expiring provisions, including those that expired at the end of 2011, except for the payroll tax cut—and indexing the alternative minimum tax (AMT) for inflation beginning in 2012 would boost real GDP by a little less than 1½ percent by the end of 2013.


http://www.breitbart.com/Big-Govern...eport-Tax-Hikes-Will-Slow-But-Not-Kill-Growth

<PA edited - LE>. The topic is employment and Boehner's disproved comment.

 

[saturneptune]

So, on this subject, it is easy to get both sides mad. It should make every American citizen angry, and I mean really angry, that these clowns, (all of them, Boehner, Obama, Reid, McConnell, Pelosi, the whole lot of them) act like they are doing us a favor by "rolling up their sleeves" and going to work for us by sacrificing. It is a charade. If anyone did their job like this, they would be fired. They are paid to govern and serve, not do nothing and take.

Since we have hammered Obama ad nauseum for months, why have we ignored Congress? They have just as much power. They have not passed a budget in three years. They vote to raise the debt ceiling. They take off more days than they are in session. When in session, they do not govern, they play political games. Everyone of them should be in prison for theft and treason.

Yet, as voters, we sent back over 95% to Congress. Getting back to the point, the point that should anger everyone the most is the dueling press conferences talking about how each is working hard to get us by this mess of their own making. Again, they act like they are doing us a favor by solving a problem they created. The sad thing is, they are solving a problem that only continues us on the same track we are already on. Solving the fiscal cliff problem does nothing to solve the real problems like debt to China, the Fed and their printing money, no Social Security Trust Fund, etc.

 

[InTheLight]

The CBO said the tax hikes for the wealthy would reduce job growth by around 200,000 jobs, much less than the 700,000 in job losses claimed by Republican Speaker of the House John A. Boehner.

http://www.reuters.com/article/2012/...8A71D020121109

And as I said in my OP, even the study that Boehner misquotes says the number of jobs lost would be about 500,000 over the next 10 years or a net effect of 0.35% on the unemployment rate.

The thing to remember when talking about the relationship between the top two percent's personal tax rates and job creation only involves those people that are business owners of S-Corps or limited liability corporations, the so-called "pass through" entities where the profit/loss of the business flows onto the individual's 1040 tax return as income.

Many studies have been done and they show that of those people earning more than $250,000 a year, about 3% of them fall into this category. Of these 3% the vast majority of them are doctors, lawyers, accountants, dentists--professionals that don't hire great numbers of people. Ask yourself--if your dentist were to have his/her tax rates go up 4% would they lay off their dental technician? If a lawyer's tax rates go up 4% would they lay off their paralegal?

This is what I mean by Boehner using the old canard that taxing the wealthy would "destroy jobs."

Here's another way to look at it. Estimates have shown that if the Bush tax rates were to revert to Clinton era rates the top 2% would pay into the treasury about $80 billion more per year. Now take the 500,000 jobs that would be lost over the next 10 years and you have a job loss of 50,000 a year. Now assign an annual income of $50,000 to these jobs. Figure out the average income tax amount on a $50,000 job. I will guess a little higher than usual and say $5,000. That is $250 million in tax revenue per year.

So, a very real $80 billion gained per year vs. a potential, possible loss of $250 million per year.

 

[InTheLight]

Since we have hammered Obama ad nauseum for months, why have we ignored Congress? They have just as much power. They have not passed a budget in three years. They vote to raise the debt ceiling. They take off more days than they are in session. When in session, they do not govern, they play political games. Everyone of them should be in prison for theft and treason.

Yet, as voters, we sent back over 95% to Congress. Getting back to the point, the point that should anger everyone the most is the dueling press conferences talking about how each is working hard to get us by this mess of their own making. Again, they act like they are doing us a favor by solving a problem they created. The sad thing is, they are solving a problem that only continues us on the same track we are already on. Solving the fiscal cliff problem does nothing to solve the real problems like debt to China, the Fed and their printing money, no Social Security Trust Fund, etc.

Saturneptune, I'm trying to put some of the blame on Boehner but it seems that since he has an (R) after his name he can do no wrong. Since Obama campaigned on making the "rich pay a little more" and "everyone's pays their fair share" and since exit polls show that voters believe taxes should be raised, it is very obstructionist and irresponsible for Boehner to hold a press conference and say that taxing the wealthy is not an option. The people have spoken. Get with it Congress.

 

[Revmitchell]

Obama was not the only one re-elected. Obama does not have a mandate. And raising taxes are harmful. Boehner needs to stand his ground. Otherwise he risks not getting re-elected.