President Obama And The Extension Of The Tax Cuts

On December 6 the President announced an agreement where by the Bush era tax cuts would be extended two years, unemployment payments would extend for 13 months and other tax reductions and tax benefits would be enacted. The response from the news media, democrats, republicans and others was swift and furious. The decision by the President was called sellout, a good compromise and other descriptions.



This writer is an Obama supporter although my first and second choice for the democratic nomination in '08 was Joe Biden and Hillary Clinton. That did not happen and with the nomination of Obama I felt he would be a better choice than the republican nominee. After almost two full years in office I still feel he was the better choice over the GOP, especially with the shape the GOP left the country in. There are a few things however that needs to be addressed that did not appear in any comments that I heard concerning the Presidents decision on the subject matter.



First and foremost is to keep in mind the President is voted on and elected by the people in all 50 states. He represents all 50 states and all the voters in all 50 states because of that. House and Senate members of Congress are elected by the voters of only ONE state and represent the voters of only that ONE state. President Obama campaigned on ending the Bush tax cuts for the wealthy by letting them expire and for good reason. His compromise on the issue by extending them for two more years is an abdication of his Presidential leadership role given to him by the voters in all 50 states to members of congress that represent a different party and have no responsibility to the nation as a whole. The President is the leader of our Nation, not members of congress and the President should carry himself that way.



In this writers judgement the President could have prevailed on the tax issue and the extension of insurance for the unemployed if he would have governed from a leadership position. Presidents Truman and Clinton did it even with hostile republicans in congress. President Obama was on the right side of both issues, the republicans on the wrong side and Obama could have prevailed. The Presidents decision could trigger two things. First it could assist the republicans in making him a one term President. Second, the Presidents decision to forego his promise of not extending the tax cuts for the wealthy could be the equivalent of former President Bushs statement, "read my lips, no new taxes."



The extension of the tax cuts for the wealthy will add billions of dollars to the national debt and the deficit. That deficit spending has been the trade mark of republican administrations for over 30 years and adds to the problem of the Obama administration to balance the federal budget. Plus the two years extension date will be a debate issue again in two years. The abdication of Presidential leadership by adding to the national debt plays right into the republicans hands of their desire to bankrupt the federal government.



George Bush started two wars and failed to ask America to a shared sacrifice by all its people and pay for those wars. Instead he set America on course to record federal deficits and debt. President Obama should have pointed out to the people that we could no longer operate in that manner and we would all have to sacrifice and pay our share, especially the wealthy. Instead, the wealthy received a Christmas present early. Presidents Roosevelt and Truman during WWII asked and received from the people their sacrifice. This writer thinks we should permanently stamp the oval office floor with President Kennedys remarks. "Ask not what your country can do for you, ask what you can do for your country." President Obama failed to ask the wealthy what they could do for their country in time of need and failed to stand up to the republican party.



I was a young boy during WWII and I remember the sacrifices and the hardships the nation and its people made during that war. All able bodied Americans were proud to join the military in time of need and family they left behind did more than their part a the homefront. Remember the saying the Reagan Revolution? That so called revolution put the nation on the path to record deficits and debt at the time and also on the path to trickle down economics which was actually special treatment for the wealthy. The problem was the middle class paid the price of the Reagan Revolution, deficit spending and debt while the wealthy enjoyed their special treatment.



The President had another option. He could have announced early on that he would let the tax cuts expire as scheduled at the end of the year, and then early in 2011 propose the middle class tax cuts and make them retroactive to the first of the year. It was the republican controlled congress who put the sunset date on the tax cuts to begin with and Obama could have used that against them. A President showing leadership could have made that case.



From here on, President Obama needs to show his leadership and courage to the American people and distinguish how the democrats are truly representative of all the people and reverse the sad record of the republican party and past republican administrations. The wealthy have to be kicked off the gravy train and contribute their fair share. Leadership, character and courage is what the President should display in the coming year and beyond. Any thing less will be tragic for America and its people.