Obama's Jobs Speech to Offer More Failed Stimulus
The Republicans are already headed in another direction -- setting up yet another confrontation with the White House.
House Majority Leader Eric Cantor began the week by outlining a series of legislative proposals he said would stimulate the economy by getting the federal government off the backs of the people who create jobs -- especially American small business.
In a memo to his House Republican colleagues, Cantor outlined a program to repeal what he called “job-destroying regulations” that are preventing the creation of “middle class jobs”:
Our regulatory relief agenda will include repeal of specific regulations, as well as fundamental and structural reform of the rule-making system through legislation like the REINS Act, the Regulatory Flexibility Improvements Act, and reform of the Administrative Procedures Act.
The assault on the federal regulatory structure is long overdue. According to the non-partisan Phoenix Center for Advanced Legal & Economic Public Policy Studies, a 5 percent across the board cut to federal regulatory agency operating budgets would produce $75 billion in new GDP growth and create 1.2 million new private sector jobs each year.
Cantor also said the House GOP would focus on finding ways to provide immediate tax relief that will create jobs, not just put money in people's pockets. Two ideas he identified as being under consideration are the permanent repeal of the 3 percent withholding rule scheduled to go into effect in 2013 and a proposal that would allow small business people to take a tax deduction equal to 20 percent of their income.
“The goal was simple,” Cantor said in the memo. “Immediately free up funds for small business people to retain and hire new employees, and reinvest in and grow their businesses.”
There are other things Obama could do that would actually stimulate the economy, including the transmission of several pending free-trade agreements to the Senate for ratification. What he appears ready to do, however, is an entirely different matter. Based on the portions of his plan that have emerged thus far, he plans to help his friends, do nothing for his foes, and prepare to roll the dice in November of 2012 -- hoping that he has done enough to help his political base that he can win re-election.