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« If John Boehner Is Required To Give Up the Republicans' Most Cherished Pledge to Their Constituents, Why Does Harry Reid Feel No Heat To Do The Same Regarding the Democrats' Most Cherished Demogoguery? | Main | Obama: Why Sure I'd Like To Go Over The Cliff »
December 03, 2012

Republican Counteroffer: $2.2 Trillion in Total Debt Reduction; $800 Billion in New Revenues

The "new revenues" don't involve nominal rate increases but must include actual rate increases via reductions in deductions.

The Democrats are playing a very irresponsible game here. Republicans have agreed to tax increases so long as we call them something else and can argue that reducing deductions is a net positive for the economy as doing so reduces economic distortions. That's kind of a dodge, of course, but at any rate, the party seems to be willing to do that... so long as there's a dodge.

The Democrats, on the other hand, are insistent that the revenue increases come via tax hikes. They want the Republicans to know they've been broken and have no face-saving cover.

Raising revenue isn't the point of their maneuverings -- they are simply trying to break the Republican Party. And of course they're doing that because they need Republicans to walk away from a compromise-- the Democrats don't want a compromise. They want to go over the fiscal cliff. They just want to be able to blame Republicans for that.

I'll let Bob Costas explain how that's actually a kind of an unheralded sort of statesmanship and fiscal responsibility.



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posted by Ace at 03:47 PM

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