"White House pushing tax hikes, spending cuts to avoid sequester"

[applegrove]

White House pushing tax hikes, spending cuts to avoid sequester

By Zachary A. Goldfarb at the Washington Post

http://www.washingtonpost.com/business/economy/white-house-pushing-tax-hikes-spending-cuts-to-avoid-sequester/2013/02/22/aa4f9ab0-7ca5-11e2-82e8-61a46c2cde3d_story.html?hpid=z1

"SNIP....................................................


The White House is promoting a $1.8 trillion package of spending cuts and tax hikes as the best approach to replace deep reductions in domestic and defense spending set to begin next week — even as Republicans dismiss the proposal as not serious.

With barely more than a week until the deep cuts, known as the sequester, take effect, President Obama and his advisers this week maintained that a deficit reduction plan he put on the table in December amid negotiations over the “fiscal cliff” should still be considered by Congress as a way to avoid another fiscal crisis. Obama spoke with House Speaker John A. Boehner (R-Ohio) and Senate Minority Leader Mitch McConnell (R-Ky.) on Thursday, but no progress was reported.

Obama originally made the offer to Boehner in December negotiations, which ultimately fell apart. The president’s plan — the details of which were known in December but were reiterated on the White House Web site on Thursday — would consist of $200 billion in cuts to domestic and defense programs; $400 billion in reductions in health spending, including Medicare; $200 billion in cuts to other mandatory spending, such as farm subsidies; and $130 billion in savings achieved through a new cost-of-living formula that would slow spending on federal programs, including Social Security. The president’s plan would also raise $680 billion in fresh tax revenue, by limiting tax breaks for the wealthy, closing corporate loopholes and changing the cost-of-living formula that also determines tax brackets.

Combined with lower interest costs as a result of the reduced federal borrowing, the White House said this week that Obama’s proposal would achieve $1.8 trillion in deficit reduction over 10 years. That would come on top of $2.5 trillion in deficit reduction already achieved in deals between Congress and the president.

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[mucifer]

1. Oy vey that chained cpi thing. But, I do like that tax the wealth part.

[MotherPetrie]

2. Still pushing chained CPI. I knew he couldn't wait to trot it out again.

[forestpath]

3. The rich won't feel a thing. The elderly and most vulnerable will be devastated.

That's Obama's idea of "balance."

[djean111]

4. Oh look!

A line in my sand.
So, do we stop hearing how Obama would never actually do that, and start hearing how the chained CPI is a GOOD thing?
My hair is not on fire, I am too cynical for that.
Anyway, not like Obama needs any votes or base or anything, now.