Barack Obama and Mitt Romney have one thing in common.
Neither of them has a Plan to “Fix the American Economy” .
Plans document the detailed steps needed to achieve a stated objective –
In the case of the US Government – the objectives were established in the preamble to the Constitution –
- Provide for the Common Defense
- Promote the General Welfare
- And Secure the Blessings of Liberty.
Since 1789, Presidents and Congresses have argued over the changing definition of these goals as circumstances and society, itself, have changed.
- Social Security, Medicare, Food Stamps and Pell Grants are assumed to be an expression of the General Welfare –
The key word being “assume”.
Plans are built on assumptions.
- Assumptions are expected outcomes used as input into the development of an executable document.
- And its those pesky assumptions that our Presidential candidates are so reluctant to talk about —
If the planner assumes that the economy will grow at 3 or 4% a year – enough to actually reduce the rate of unemployment, then two things become true —
- First, existing tax policy will generate enough revenue to pay for budgeted expenses including
- Medicare and Social Security
- Plus Pell Grants and Food Stamps but at reduced levels
- because there will be fewer eligible citizens.
- Second, pigs can fly
If the planner assumes that the economy will grow at a rate of 2% or less – enough to maintain the unemployment rate at +/- 8.5%, then two things are true.
- First, raising taxes only slightly on the upper 5% of income earners will generate enough revenue to pay for budgeted expenses including
- Medicare and Social Security
- Plus increased funding for Pell Grants and Food Stamps
- to support the increased number of eligible citizens.
- Second, pigs can fly.
One thing that Democrat, Republican and Independent voters agree on is that pigs can’t fly.
And that means that neither President Obama’s or the Romney-Ryan Plan can, either.
But that’s not keeping them from wallowing in the mud while they try to convince us they can teach those pigs to fly!
