Thursday :: Feb 26, 2009

Stepping Up

by Turkana

Reagan's budget director, David Stockman, later admitted that "supply side" was really a trojan horse for the greatest transfer of wealth in human history- from the poor and the middle class to the wealthy. So, this is huge:

The budget that President Obama proposed on Thursday is nothing less than an attempt to end a three-decade era of economic policy dominated by the ideas of Ronald Reagan and his supporters.

The Obama budget — a bold, even radical departure from recent history, wrapped in bureaucratic formality and statistical tables — would sharply raise taxes on the rich, beyond where Bill Clinton had raised them. It would reduce taxes for everyone else, to a lower point than they were under either Mr. Clinton or George W. Bush. And it would lay the groundwork for sweeping changes in health care and education, among other areas.

More than anything else, the proposals seek to reverse the rapid increase in economic inequality over the last 30 years. They do so first by rewriting the tax code and, over the longer term, by trying to solve some big causes of the middle-class income slowdown, like high medical costs and slowing educational gains.

We know how the Republicans will react, but I'm guessing that defending Reagan's reverse-Robin-Hood will play about as well with the public as has everything else they've done, lately. More importantly, this signals a desperately needed paradigm shift on policy. We will see how it plays out in Congress, but this is the type of change this Obama skeptic has been hoping to be able to believe in.

Turkana :: 8:06 PM :: Comments (11) :: Digg It!