Equal Opportunity Greed
One of the President’s budget proposals treats tax deductions as if a person’s marginal tax rate were 28 percent, rather than the actual possibly 39.6 percent. This would bring in substantial extra tax revenue, yet it wouldn’t violate the Republicans’ strong distaste for higher marginal tax rates on the grounds that they allegedly stifle incentives of the rich. Despite that, they are complaining loudly.
The President is finally proposing indexing Social Security benefits by the chained CPI, a more correct measure of price inflation than the current measure. Using it would reduce benefit growth and make indexation fairer to taxpayers and recipients. Yet I have already been deluged by liberal groups’ email petitions objecting to this change.
The only good thing about this sorry spectacle is that it is nice to know there is no shame on any side.