President Barack Obama’s $450 billion economic proposal unveiled Thursday night is a familiar medley of targeted tax cuts and spending programs, coupled with a promise of future spending cuts and a demand for new taxes on companies and wealthier individuals.
In his speech to a joint session of Congress, Obama also urged tax reforms that will remove “tax breaks for millionaires and billionaires” and fund the proposals. “Everything in this bill will be paid for. Everything,” Obama said.
However, he did not detail his proposal to fund the $450 billion cost of the plan. The details will be released September 19, he said.
Obama’s sharp-tongued speech included many features of a campaign-trail speech, including a tail-end appeal to voters to lobby for the plan’s passage through Congress.
“This plan is the right thing to do right now,” he said at the conclusion of his speech. “You should pass it. And I intend to take that message to every corner of this country. I also ask every American who agrees to lift your voice. Tell the people who are gathered here tonight that you want action now. Tell Washington that doing nothing is not an option.”
As during a stump speech, he repeated his call, numerous times, for Congress to pass his proposed bill. He used the phrase, “You should pass this jobs plan right away,” or close variations, 17 times.
The president presented himself as a fiscal moderate, and the champion of ordinary Americans.
But he included numerous jabs at his GOP adversaries, despite warnings from GOP and Democratic pollsters, who say swing-voting independent are ticked off by such jibes.
“I know some of you have sworn oaths to never raise any taxes on anyone for as long as you live,” Obama said. But “now is not the time to carve out an exception and raise middle-class taxes” by not continuing a Social Security payroll tax cut, he said.
“Some of you sincerely believe that the only solution to our economic challenges is to simply cut most government spending and eliminate most government regulations,” Obama said. But, he added, “I reject the argument that says for the economy to grow, we have to roll back protections that ban hidden fees by credit card companies, or rules that keep our kids from being exposed to mercury, or laws that prevent the health insurance industry from shortchanging patients.”
His proposal, he said, “isn’t political grandstanding. This isn’t class warfare. This is simple math … I’m pretty sure I know what most Americans would choose. It’s not even close. And it’s time for us to do what’s right for our future.”
“My response to the ‘My way or the highway’ doesn’t work in this town or anywhere,” Rep. Eric Cantor, the Republican majority leader said shortly after the speech. “What works is consensus … good people can disagree,” he said, noting that Obama’s plan included measures that appeal to GOP legislators, such as tax breaks for smaller business.
Next week, the administration will send Congress the draft legislative language needed to debate and pass the jobs act, said Jay Carney, the White House’s spokesman.
The stimulus measures Obama urged include:
A tax-cut for business that hire new workers, or raise their wages.
Halving the Social Security payroll tax paid by employers and employees for a year.
A $4,000 credit for hiring people who have been employed for more than six months, and a tax credit for hiring veterans.
Some level of depreciation for company investments, some reduction of regulations.
An infrastructure spending program for roads and school-repairs.
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