McCain's 300 economists Don't Support his Economic Plan
posted by jrolsen
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McCain writes Science Fiction, calls it an economic plan, and lies about the support he is receiving.
If you like this story, digg it!
On Monday, after McCain released an economic plan promising to balance the federal budget by 2013, his campaign released a statement they said was signed by 300 economists who were supposedly enthusiastically supporting his plan.
Now it’s coming out that a good many of those economists don’t actually support the whole of McCain’s economic agenda. And in fact, john McCain and his campaign neglected to mention that many parts of McCain’s plan have drawn criticism from many of these same economists they are touting.
The Politico reports, “a good many of those economists don’t actually support the whole of McCain’s economic agenda.”
The statement the economists signed makes no mention of the gas tax holiday or the deficit, which the Congressional Budget Office projects will approach $400 billion this year.
But then on CNN, McCain had a testy exchange with John Roberts on whether his numbers add up, and in frustration McCain declared, “We’ll balance the budget.” McCain did not as usual give any specifics or name the year he would balance the budget.
Of course McCain’s tax plan will actually double the size of the Bush's tax cuts, costing more than $2 trillion in their first decade, and would create the largest deficit in 25 years. Even with the most generous savings McCain has offered, yearly deficits would increase to $1.2 trillion by FY2017, beginning with $505 billion in FY2009.
That annual growth rate is faster than any the U.S. economy has experienced since 1950, and faster than any economy in the G7 (which includes Germany and Japan) has grown since 1970. And to balance his budget, McCain needs it to happen five years in a row. The last time the Unites States experienced 5 years of growth that fast was between 1939 and 1944 when growth averaged 12.8% per year.
The Congressional Budget Office projects that, with the extension of expiring tax cuts, the budget deficit will top $400 billion that year. In addition, McCain has called for some $300 billion in new tax cuts. McCain has never been able to identify specific spending reductions that save very much money; either in earmark reductions, for example, which would only save $9 billion, and a generous estimate of the savings from McCain’s proposed spending freeze would be $50 billion. This leaves McCain with a budget hole of about $650 billion.
This is an astonishing amount. To put it in perspective, McCain would have to eliminate 10 Cabinet agencies (including Agriculture, Commerce, Education, Transportation, and Treasury) and still come up $100 billion short.
Basically McCain will be bad for this country. Hopefully the media will let the American people know.
Now it’s coming out that a good many of those economists don’t actually support the whole of McCain’s economic agenda. And in fact, john McCain and his campaign neglected to mention that many parts of McCain’s plan have drawn criticism from many of these same economists they are touting.
The Politico reports, “a good many of those economists don’t actually support the whole of McCain’s economic agenda.”
The statement the economists signed makes no mention of the gas tax holiday or the deficit, which the Congressional Budget Office projects will approach $400 billion this year.
These are key components of John McCain’s Jobs for America economic plan. In fact John McCain proudly proclaims that he will balance the budget by the end of his first term, yet gives no details as to how that is going to happen.
One economist who supposedly is for McCain has even said he is actually supporting Obama.
One economist who supposedly is for McCain has even said he is actually supporting Obama.
Other of the economists vigorously disagree McCain’s suggestion that he's going to balance the budget.
Of course McCain’s plan to balance the budget by the end of his first term in 2013 is the latest in an increasingly confused economic message. In April, McCain backed off his February pledge to balance the budget in his first term, and instead stated that he would have a balanced budget within eight years.”
But then on CNN, McCain had a testy exchange with John Roberts on whether his numbers add up, and in frustration McCain declared, “We’ll balance the budget.” McCain did not as usual give any specifics or name the year he would balance the budget.
Of course McCain’s tax plan will actually double the size of the Bush's tax cuts, costing more than $2 trillion in their first decade, and would create the largest deficit in 25 years. Even with the most generous savings McCain has offered, yearly deficits would increase to $1.2 trillion by FY2017, beginning with $505 billion in FY2009.
McCain could balance his budget, which includes a doubling of Bush’s tax cuts for corporations and the wealthy, through a combination of spending cuts and economic growth. But a quick analysis by the Center for American Progress did some calculations that show that to balance McCains budget the economy would have to grow by a blazing 8% a year–which hasn’t happened since 1950 — between now and 2013.
That annual growth rate is faster than any the U.S. economy has experienced since 1950, and faster than any economy in the G7 (which includes Germany and Japan) has grown since 1970. And to balance his budget, McCain needs it to happen five years in a row. The last time the Unites States experienced 5 years of growth that fast was between 1939 and 1944 when growth averaged 12.8% per year.
The Congressional Budget Office projects that, with the extension of expiring tax cuts, the budget deficit will top $400 billion that year. In addition, McCain has called for some $300 billion in new tax cuts. McCain has never been able to identify specific spending reductions that save very much money; either in earmark reductions, for example, which would only save $9 billion, and a generous estimate of the savings from McCain’s proposed spending freeze would be $50 billion. This leaves McCain with a budget hole of about $650 billion.
This is an astonishing amount. To put it in perspective, McCain would have to eliminate 10 Cabinet agencies (including Agriculture, Commerce, Education, Transportation, and Treasury) and still come up $100 billion short.
Basically McCain will be bad for this country. Hopefully the media will let the American people know.
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McCain's 300 economists Don't Support his Economic Plan | 6 comments (6 topical, 0 hidden)
McCain's 300 economists Don't Support his Economic Plan | 6 comments (6 topical, 0 hidden)
