[T]he most disturbing feature [of Obama's proposal] may be a provision that punishes the American people with higher taxes if politicians overspend.This would verge on the unbelievable in any administration other than the present one.
Called a "debt failsafe trigger," Obama's scheme would automatically raise taxes if politicians spend too much. According to the talking points distributed by the White House, the automatic tax increase would take effect "if, by 2014, the projected ratio of debt-to-GDP is not stabilized and declining toward the end of the decade."
Let's ponder what this means. If politicians in Washington spend too much and cause more red ink, which happens on a routine basis, Obama wants a provision that automatically would raise taxes on the American people.
Preserving a piece of US Maritime History - invaluable
The USS Olympia is a cruiser that fought in the Spanish American War in 1898 and has been preserved in Philadelphia. She's a one of a kind ship, a national historic monument, and in danger. She needs approximately $10-15 million in repairs to keep her a viable museum for years to come. If you have the resources, or connections to those resources, please consider helping. (full disclosure - there is no financial benefit to me to ask the question - we need to save this ship for posterity). Please contact me at 612-599-1935 or firstname.lastname@example.org if you have additional questions.
Saturday, April 16, 2011
Automatic Tax Increase - from Powerline
April 15, 2011 Posted by John at 9:55 PMWe and many others have criticized President Obama's speech on the budget, but one aspect of his proposal on which I haven't seen much commentary is the "debt failsafe trigger." You might think that a "debt failsafe trigger" is a mechanism to constrain spending if debt exceeds a certain level; but Dan Mitchell explains: