The New Republic : John B. Judis : It is necessary to end the Bush Tax Cuts for the Rich on January First, or else the American Economy would suffer - The Bush Tax Cuts turned the financial sector into a casino for the Rich :

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The wealthy, joined by corporate treasurers and bankers, have tended to pour their money into speculation rather than productive investment. Wall Street has lived in a World of Financial Irresponsibility that created the crisis of 2008 and the big recession than ensued.

Excerpts :

"Republican pleas to retain tax breaks for the wealthy and corporations and to eviscerate social programs do suggest a Romneyesque indifference to the 99 percent; they also presume an economy that no longer exists."

“These incentives,” Livingston writes, “are merely invitations to inflate speculative bubbles.” Obama’s concession to arguments about the deficit, which come from Tea Party Republicans and business groups like Fix the Debt,  is understandable, but unfortunate. There will come a time -- when unemployment dips, say, below six percent, and the countries’ businesses are at full capacity – when it will be important to reduce government deficits. And raising marginal taxes on the wealthy will be one way – along with other measures – to bring the deficit down.  

But bringing down the deficit should not be the principal objective right now. What’s important is to continue the recovery from the Great Recession and to take measures to prevent future crises. Supply-siders were right about one thing: the best way to reduce the government deficit is to create economic growth. Obama’s proposal to raise taxes on the wealthy and to transfer those revenues to workers and the unemployed isn’t just the fair thing to do; it is exactly what’s right for the economy.

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The New Republic
Rein in the Rich: How Higher Taxes Could Lift the Economy
By John B. Judis
December 12, 2012


Rein in the Rich: How Higher Taxes Could Lift the Economy


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