Republican’s need to champion a real stimulus plan!
The title is a quote by Victorian era English philosopher Herbert Spencer and is a perfect allegory for Stimulus 2.0 and the Obama Administration in general.
We all warned against the first stimulus bill, we knew this was nothing more than what Newt Gingrich calls – a politician bailout bill – laden with pork and having absolutely zero chance at stimulating the economy. In fact, by definition you can’t move money around like a shell game and call it recovery or stimulus!
A quick look at the numbers tells the story: As of this writing only 8-10% of the $787 billion has been spent, most of the spending is slated to be spent in the latter part of 2010 and 2011. We were also promised, if we hurried up and got on board this 1,073 page monstrosity without reading it, that unemployment rates wouldn’t top 8%… we’re now at 9.5% And 90% of the money paid out has gone to State and Local governments so they could stay afloat, not have to make sacrifices, and avoid hard belt tightening decisions.
Let’s not forget $16 Million for the salt marsh harvest mouse in San Francisco or the 18 million dollars for recovery.org the government site set up to track the spending of stimulus dollars. (btw- the company that got the contract doesn’t even list wed design as an expertise on their site)
Now were hearing that we need another stimulus plan Stimulus Part Deux
If the president wants another stimulus plan the Republican Party should be the ones offering a bill that works and makes sense.
Newt offers some great key issues as a starting point in the video below and I’ll just add one other one as well…
1. Stimulus 2.0 needs to stop all of stimulus one’s spending and give every American citizen 2000.00 dollars! Then the bill should do what Newt says is called for in a real free market stimulus plan
2. 50% reduction in Social Security and Medicaid tax… including employers match
3. Zero capitol gains rate
4. Have a 12.5% Corporate tax rate
5. Eliminate the Death Tax
That’s a five point platform that the Republican leadership should push as a real recovery reform bill built for both short and long term growth and prosperity. A platform that will fix all of our financial problems…bank, credit, housing, jobs in the short term as we work on regulation and reform to ensure these problems don’t pop-up again.