December 29, 2012

MARC THIESSEN: Why Not Let Taxes Rise On The Middle Class?

During Obama’s first term, federal spending grew to more than 24 percent of GDP — the highest it has been since 1946. Yet almost no one in the country (except smokers and those who frequent indoor tanning salons) saw their taxes rise. Quite the opposite: 160 million Americans saw their payroll taxes reduced from 6.2 to 4.2 percent.

How can we expect people to care about the growth of government if it doesn’t cost them anything? . . .

So let’s do it. Let’s all of us experience the true cost of big government in the form of a bigger tax bill.

It might well be that the biggest mistake Republicans made during Obama’s first term was forcing the president to extend the Bush tax cuts. At the time, it seemed like a major victory by the newly elected GOP House. But in truth, it was a victory for Obama. Extending the tax cuts shielded the economy from the full brunt of Obama’s economic failures and allowed him to put off job-killing tax increases till his second term. It’s ironic. Obama never passed up an opportunity to blame President Bush for his economic woes, yet he rode the Bush tax cuts to reelection.

Extending the tax cuts also shielded Americans from the costs of Obama’s spending spree. Shopping on a credit card is fun until the bill comes due. But if the bill never arrives, what incentive do people have to stop the spending?

Absolutely. No representation without taxation.