Went and read the no jobs bill being proposed. Nothing like putting the fox in charge of guarding the chicken coop. The bill does little more than give business and the rich more tax breaks. Gee I thought we voted the republicans out the last election and yet here they are riding rough shot over legislation. Seems once again the spineless balless Dems are caving again. Here's the short version of what the bill does and make note that the money for business is borrowed while money for jobs was already in the general fund. So like some Abbott and Costello bit we get the money that was already there for our benefit while business borrows from us a couple of times. Like saying here's your $10 now loan me $30 and we'll call it even.
The bill gives business a tax break of up to 6.5% of the FICA tax (up to $125K or earnings). In addition they get $1000 for each worker they hire who stays 52 weeks. Add to that they get to write off up to $250,000 for equipment they buy this year without having to depreciate it over several years which is standard.
The problem As we know three quarters of the American economy is based on consumer spending therefore there's no motivating factor for business to spend money or hire anyone if there's no demand for products. As Billy might say we'd need more empire builders out there spending. But if people aren't working they aren't going to spend and those that are are afraid they'll be the next ones to hit the unemployment line. Business doesn't expand or even try to expand unless they know for sure they'll have a good cash flow and even then it's usually after the fact. As in oh my god we've got too many customers we'll need to hire more people.
That was the $30 part of the joke now for the $10 part. The jobs they say they'll be creating are part of the Highway Trust Fund. The fund ran out of money at the end of the year. But stop to consider that this is money that comes from gas taxes and was already in the general fund and was scheduled to be put in the fund anyway. Sooo. nothing like giving you something you already had and making it look like a gift.
Sorry guys I'm not that stupid and I don't buy it.
Anyhoo until later keep your drums upright. And remember when somebody tells you they have a "free" gift for you it's usually not.
Update Update: I forgot in my hasty reading of the bill (yes I'm one of those geeks that actually reads the whole thing) our wonderfully honest senators decided to go after all that cash corporations have been storing in offshore accounts hiding it from the taxman. So what are they going to do with all that loot? Create jobs? Guess again. They're going to give most of it back to the companies in the form of tax breaks and hiring incentives. Nothing like robbing a bank and when you get caught you get to keep the money eh?