Streams

Congressman-Elect Grimm on Tax Compromise

Wednesday, December 08, 2010

Read a recap of this conversation at It's A Free Country.

Michael Grimm, newly elected congressman from NY-13, which includes Staten Island and parts of Brooklyn, talks about the new compromise between the Obama administration and congressional Republicans on the Bush tax cuts.

Guests:

Michael Grimm

Comments [32]

DIRECTLY Hire ALL the Unemployed < Cost RichTaxCut from No Bush Xtn for Rich

There are currently approx 15 million unemployed people in the US.

The Government should DIRECTLY offer to HIRE ALL
of them - paying them $20,000 per year for 2 years to
restore and expand America's infrastructure and do
other jobs that create long term value for the country.

$20,000 per year is enough to place these citizens above
the poverty line. It will save families, it will save people's
homes, it will save people's skills and longer term job
prospects, it will save people's dignity and ultimately
it will save the United States by stimulating our economy
(these wages will be spent, and mostly on essentials,
it may decrease foreclosures shortening the housing
crash, and will improve long term returns through improved
infrastructure), and restoring people's confidence in government's
honesty and compassion.

The Cost : $600 Billion. < the $700 Billion cost
of extending the Bush tax cuts to the rich.

THERE IS NOTHING THAT THE RICH COULD
DO WITH THIS MONEY THAT WOULD REDUCE
UNEMPLOYMENT MORE OR STIMULATE THE
ECONOMY MORE THAN THIS *DIRECT* AND
UNDILUTED PROGRAM.

It is similar to FDR's approach during the previous
Great Depression - guess what - it worked then,
and would work now!

But WAIT - There's a problem! There's still
$100 Billion left over - IT'S CHEAPER than
the Bush tax cuts for the rich! What to do ?

With the extra $100 Billion, Endow in PERPETUITY
a NATIONAL ONLINE UNIVERITY that will
allow ALL US citizen to take courses taught by the
country's BEST professors, be evaluated on their
knowledge, and to earn a University degree ALL
FOR FREE IN PERPETUITY.

These 2 programs would save our unemployed and
improve our economy dramatically in the short and
long term. It will make a job and a University education
available to ALL our Nation's citizens.

THIS IS THE TIME FOR BOLD ACTION.
It is time that the President shows us all whether
his call for HOPE and Courage were empty words
or a REAL PROMISE FOR OUR FUTURE.

PLEASE CONSIDER THIS!

Dec. 08 2010 09:13 PM
salvatore principato from manhattan

to let a shrill politician like Michael Grimm
engage in rhetorical distortions without comment is a massive failure in objective journalism. He spewed the phrase "death tax" at least three times.
In case you haven't heard, it isn't a "death tax" but an estate tax which happens when millionaires pass on their fortunes to others. Please do better the next time

Dec. 08 2010 12:43 PM
Terry from Westfield, NJ

Brian - you were waaaay to easy on these guys! How could you let your one guest get away with lying that "Democrats never offered any compromise" in Congress under Pelosi, Reid and Obama.

What a bunch of BS! Why do you let your guests get away with lying to your listeners?

Shame on you! Is everyone in America as spineless as Obama?

Dec. 08 2010 10:49 AM
jawbone from Parsippany

Think about just one aspect of the Obama Republican plan: the 2% Social Security tax one year holiday.

It may have a slight stimulus effect on the economy, as there may be 2% more dollars circulating in the economy. Some will go into savings, but for those at the bottom of the economic ladder (most of us, btw), it will be needed for higher health insurance costs, higher gas costs, higher heating costs, etc. Will some go for new goods and services? That is the hope.

It won't have that much effect on overall demand, which is what will cause employers to hire and rehire workers and even allow new businesses to be started to meet new demand for goods and services.

That effect is not a sure thing or knowable, altho there are must be models of what it statistically may add to the economy.

One effect will be deleterious for workers for the rest of their working lives at the jobs they have or jobs they might get during this "holiday."

Employers will very likely figure the 2% withholding "saving" into the initial wages and salary offered to the new employees. It will be figured into any raises offered to existing employees. After the "holiday" ends, the worker will have a lower base wage for any future wage increases. For the rest of his or her working life.

Helping employers get workers for 2% less? It does fit the Republican corporate desire for Cheap Labor. Thanks a lot, DINO President Obama.

Now, what if monies had been put into jobs programs? There are so many needs for infrastructure improvement, green technology (even low tech such as painting roofs reflective white) improvements, which would have an immediate impact of providing jobs to the unemployed but would also help the economy and, if green, the climate.

FDR understood about the need for jobs, jobs, jobs and realize corporations and business would not provide new ones until there was an overall demand increase.

Obama does not seem to get that. Alas.

Dec. 08 2010 10:37 AM
Jim from Staten Island

I loved the call from Marty the Tea Partier whining about how Tea Party candidAtes ended up selling out their principles as soon as they got to Washington.

Hey Marty - TOLD YA SO!

Sucker!

How does it feel ro have been scammed by the GOP?

LMAO!

Dec. 08 2010 10:33 AM
Kate Wilson from Manhattan

In their harping about the Deficit, why don't Republicans/Tea-Partisans/Staten Island reps tabulate the Military? We're driven to debt in order to underwrite: the trillion dollar wars, the G.I. [education] Bill, Veteran medical expenses, overpriced trash bins, the millions that disappear with one or another ally, mercenary hires, and daily overhead at scores of international bases.....

Dec. 08 2010 10:33 AM
Janie from Morristown

When did the Bush tax cuts become so essential to our financial well-being that eliminating them would "harm" Americans?

Dec. 08 2010 10:30 AM
jp from New York

Lot's of libertarians - old school. Government is too big. So ok, let's make a deal. When we bomb Iran, would you support a tax increase to cover expenses ? Which children would you educate ? Those in private schools and send the rest to work halls ? Since when is unemployment free..we pay into the system ? A modern government no matter what its size or constitution requires a large budget to function. That's a fact and it's important to learn both sides of an issue not merely parrot your partisanship.

Dec. 08 2010 10:29 AM
amalgam from Manhattan by day, NJ by night

@ kimgrover -

Tax cuts for the wealthy are the least effective way to stimulate the economy. Period. It's not a _belief_, it's an observable, reproducible fact.

To refute your assertion:

http://taxprof.typepad.com/taxprof_blog/2010/11/cbo-tax-cuts-were-least-effective-stimulus-in-recovery-act.html

http://www.brookings.edu/opinions/2010/0928_least_effective_stimulus_gale.aspx

Dec. 08 2010 10:28 AM

The last 8 years alone have proven that tax expenditures DO NOT CREATE JOBS.

Add in the last 30 years & that proof is trebled.

Without demand created by consumers with $$$ that they can afford to spend, the economy will not recover.

There's nothing in this capitulation by Obama that stimulates the economy.

Both parties continue failing the general welfare of the nation.
------
Brian - It is NOT just learning that governing is harder than campaigning.

2 years in & Pres. Obama is still letting the GOP set his agenda!

Dec. 08 2010 10:26 AM
R Unice from Tinton Falls, NJ

Rep. Grim doesn't seem to remember that the Republicans in congress had no trouble funding 2 wars and starting the tax cut debacle. Increase your spending + reduce your revenue = record defecits.

Dec. 08 2010 10:26 AM
Amy from Manhattan

Why do I get the feeling the caller who blamed not fixing the clock in Philadelphia on "big gov't." would also be against gov't. spending the money for fixing the clock?

And Brian, it might be interesting to ask an actual hostage negotiator how a propos Obama's "hostage" metaphor is!

Dec. 08 2010 10:26 AM
Lost in NJ from Lost in NJ

Mr. Obama mismanaged these tax issues for months and now, at the 11th hour, he says that this capitulation is the best he can get. Embarassing.

Here is a shock - The RepubLIEcans will never cooperate - their goal is Obama's and the Democratic Party's complete defeat at any cost.

I know that they will never move to the left and Mr. Obama should too. Instead, he ignores the fact that the RepubLIEcans keep moving their agenda to the right and to meet them "half way" Democrats have to almost become a Goldwater era RepubLIEcan!

He should have called their bluff and insisted that all tax cuts expire if they want these tax breaks for the richest 2%.

Obama fails to realize that his victory was largely due to a strong "anti-Bush" vote rather than a pro Obama vote. His support is wafer thin and his lack of a spine is sending away the third of the voters who are in the middle.

Dec. 08 2010 10:25 AM

the joke is on u, teabaggers
Cheney said “Reagan proved deficits don't matter,"

Dec. 08 2010 10:25 AM
robert jahnke from Oradell, NJ

I love all these jonny cum latelys saying we can't add another penny to th deficit and th govt. is already too big, etc... where were they in this last decade? th disparity in income betw th rich and not so rich is th widest since these facts were ever researched. th govt grew under Bush greater than at any time in history. what ignorance!!!

Dec. 08 2010 10:24 AM
mz from manhattan

obama was absolutely right to call the hostage-takers for their tactics! we need more of that! the president and dems have the right to at least speak their minds if they can't vote them.

part of the problem lately has been people NOT saying what they really think about the evil republican agenda.

Dec. 08 2010 10:24 AM
Marianne from Staten Island

This guy is so stupid and has zero grasp of what is going on; he is a pawn for the local Republican group pushed by Giuliani

(this is from a constituent from Staten Island. Did not vote for him as it was obvious at the first time that Grim is just plain stupid, had not one suggestion of how to proceed in this complex world.)

Dec. 08 2010 10:24 AM
amalgam from Manhattan by day, NJ by night

@ Unheard -

You're right; anyone that fights to wipe away the Estate Tax is for concentrated wealth, aristocracy, and the economic inequality.

Oh, and the caller said that the govt. does NOT serve him...at all. Let's see, you probably drive on roads, sent your kids to school, are protected by the police, etc., ad naseum.

On the face of it, he and anyone else that states that govt. does not serve the people (at all!), are baldly wrong.

Mr. apple salesman caller - hope you stimulate the global economy with that one...

Dec. 08 2010 10:23 AM

When all economists say that tax break for wealthy people do not benefit the economy-why don't we ask people still saying that they do to explain themselves. We need to challenge that belief!

Dec. 08 2010 10:23 AM
eligit from astoria

It would be comical if it was not so sad.
republicans/conservatives only care about the deficit when it goes for helping people who lost their jobs in a terrible economy....if the deficit comes from things like massive tax cuts for billionaires and unfunded wars of choice....they are all for it. very strange stuff.

Dec. 08 2010 10:23 AM

Can that last caller saying government is way too big please try getting to work today without driving on a road, or using a publicly-funded mass transit system - PLEASE!

Dec. 08 2010 10:20 AM
Don from Smithtown

This was more of a trade than a compromise. A real compromise would have been, say, keep tax breaks for people earning less than a million and provide 70% of unemployment benefits.

Dec. 08 2010 10:19 AM

phony congressman says the dems were not willing to compromise, yet we ended up with a GOP healthcare bill passed by a dem congress. Do the math?

Dec. 08 2010 10:18 AM

I'm a Democrat and I think Obama gave too much away with this It is no-win; tax cuts for millionaires and increased deficit /debt.

But I cant stand that the right wing rhetoric always wins. Can everyone playing for this team agree to call them the deficit-increasing tax cuts, or the debt-expanding tax cuts, instead of the Bush tax cuts. Please! Let's expose their hypocrisy for what it is.

Who's with me?

Dec. 08 2010 10:17 AM
Unheard from NYC

How can this guy talk about reality? It seems like he has zero grasp of it. Fighting for the death tax? That says everything about the right.

Dec. 08 2010 10:16 AM
amalgam from Manhattan by day, NJ by night

Demint is deluded and self-important.

One question to Rep. Grimm:

Does he believe that the unemployed who receive Unemployment Insurance wait to get the best job and feel no impetus to find work?

Dec. 08 2010 10:14 AM
Ken from Little Neck

Two questions for the congressman:

1. If you're so concerned about the deficit, how can you justify hundreds of billions of dollars in tax breaks for the wealthy?

2. What jobs, exactly, does he propose that people who would lose unemployment benefits take? Where are they and why aren't they being filled if they're out there?

Dec. 08 2010 10:13 AM
Jeff Pappas from Ct.

IMAGINE ALL THE PEOPLE
WHO HAVE NO WORK
NO HOPE NO GOVERNMENT
THAT CARES
IMAGINE ALL THE WEALTHY
GETTIN A NICE TAX BREAK
TO BUY ANOTHER AIRPLANE
TO FLY AWAY
IMAGINE A PRESIDENT
WHO PAID THE RANSOM
DOESNT SEEM SO FAIR
BUT THEN IMAGINE
AT LEAST WE ARE HERE

Dec. 08 2010 10:04 AM

I would protest this guy but I am protesting the airport scanners. Priorities, priorities!

Dec. 08 2010 10:02 AM
Martin Chuzzlewit from Manhattan

hjs 11211

Finally, something that we agree on............this just isn't fair and it's hypocritical. The buck stops nowhere now.

Dec. 08 2010 09:58 AM
Johnson Long from nyc

ask if this representative got the marching orders from from his overseers.

if not i'll sum them up for him...

"we have a compromising fool in the white house.... the answer to anything is NO.."

PS it works when you have a SPINELSS COMPROMISING fool in the white house.

Dec. 08 2010 09:34 AM

The real compromise, the boomers have sold tomorrow for today. while american students fall to the bottom of the lists, american voters cry don’t tax me and don’t touch MY socialism. we'll all have to pay the boomer debt for them one day. students are already paying.

http://www.nytimes.com/imagepages/2010/12/07/education/07education_graph.html?ref=education

Dec. 08 2010 08:56 AM

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