Geithner unveils stimulus tax credits in Boston

[Stoop Dawg]

http://news.yahoo.com/s/ap/20090527/ap_on_bi_ge/us_investment_tax_credits


The credit permits individual and corporate taxpayers to receive a credit against their federal income tax obligation for making qualified equity investments in community development entities. The credit totals 39 percent of the investment and can be claimed over seven years.



President Barack Obama has said the stimulus package will save or create about 3.5 million jobs nationally

I thought "trickle down" was a failure. :confused:

Now don't get me wrong, I'm all in favor of giving businesses tax credits in order to spur development. But isn't giving 1.5 billion in tax credits to real estate investors a Reagan-esque thing to do?

[OklahomaTuba]

Awesome.

It only cost a cool couple of trillion to figure out the obvious.

BTW, I guess this kinda confirms that porkulus was a miserable failure.

THANKS OBAMA!!!

[OklahomaTuba]

Some more stuff to keep us up tonight...

The Oxford-educated Mr Fisher, an outspoken free-marketer and believer in the Schumpeterian process of "creative destruction", has been running a fervent campaign to alert Americans to the "very big hole" in unfunded pension and health-care liabilities built up by a careless political class over the years.
"We at the Dallas Fed believe the total is over $99 trillion," he said in February.
"This situation is of your own creation. When you berate your representatives or senators or presidents for the mess we are in, you are really berating yourself. You elect them," he said.

His warning comes amid growing fears that America could lose its AAA sovereign rating.

http://www.telegraph.co.uk/finance/financetopics/financialcrisis/5379285/China-warns-Federal-Reserve-over-printing-money.html

[Scott D]

it took you an hour and a half to come up with that?

must have been getting waterboarded again. Your game is slipping, you need to be relegated to posting only about Brian Britt.

[Stoop Dawg]

BTW, I guess this kinda confirms that porkulus was a miserable failure.

Apparently the left is claiming that the original stimulus is working and that's why 90% of economists think the recession will end this year. So why the additional tax cuts for the rich?

And here I thought this Obama guy was going to "redistribute the wealth".

[Vaevictis]

I thought "trickle down" was a failure. :confused:

Now don't get me wrong, I'm all in favor of giving businesses tax credits in order to spur development. But isn't giving 1.5 billion in tax credits to real estate investors a Reagan-esque thing to do?

In my mind, it's not trickle down in the Reagan sense because it's a targeted tax cut.

Reagan would argue that you cut taxes and let the market figure how resulting resources are allocated, where as what Obama is doing is figuring out where he wants the resources to be allocated and providing tax cuts to attract money to them.

[Stoop Dawg]

what Obama is doing is figuring out where he wants the resources to be allocated and providing tax cuts to attract money to them.

That should scare the sh!t out of any self-respecting capitalist.

[Jerk]

If you guys knew what happened in the bond market today, you'd understand that the spending spree may end soon.

Even if a bond market dislocation hasn't begun, at the very least we are about to see big jumps in interest rates......in a deep recession.

[Vaevictis]

That should scare the sh!t out of any self-respecting capitalist.

... er, you realize that this is like, basically how our tax code works?

We have tax breaks for activities we want people to participate in -- charity, oil exploration, energy efficiency, etc. Any time you see any kind of tax break relative to the baseline taxes, the government is effectively trying to attract investment to the activity that generates the tax break.

I don't see why you're getting scared by this instance.

[OU_Sooners75]

If you guys knew what happened in the bond market today, you'd understand that the spending spree may end soon.

Even if a bond market dislocation hasn't begun, at the very least we are about to see big jumps in interest rates......in a deep recession.


Jerk....PM me about this info...I am still learning about the bond market.


I do know this tho (at least I think I do)..the bond market is the last to implode.

[OU_Sooners75]

That should scare the sh!t out of any self-respecting capitalist.


WHOA!!!!

Pres. Reagan.

Do some economic research first. Different principles same results

[Stoop Dawg]

... er, you realize that this is like, basically how our tax code works?

Is this the same tax code that Obama said was "unfair" during his campaign? The same one he promised to reform so that there were no tax loopholes for the "rich"? That tax code?

[Stoop Dawg]

WHOA!!!!

Pres. Reagan.

Do some economic research first. Different principles same results

I'm not sure, but I think you are agreeing that Obama's latest move has "Ronald Reagan" written all over it.

[Stoop Dawg]

We have tax breaks for activities we want people to participate in -- charity, oil exploration, energy efficiency, etc. Any time you see any kind of tax break relative to the baseline taxes, the government is effectively trying to attract investment to the activity that generates the tax break.

Incidentally, Obama disagrees with you.


President Obama defends his proposal to cut the tax deductions that wealthy Americans can claim for their charitable donations by arguing that the shift would not have an adverse effect on giving, but two independent analyses concluded that the proposal could result in a drop of as much as $3.87 billion for the already reeling nonprofit sector.

In his prime-time news conference Tuesday, Obama pushed back against bipartisan criticism of his plan, which is included in his budget blueprint, by saying that "there's very little evidence that this has a significant impact on charitable giving."


http://www.washingtonpost.com/wp-dyn/content/article/2009/03/25/AR2009032503103.html

[OU_Sooners75]

I'm not sure, but I think you are agreeing that Obama's latest move has "Ronald Reagan" written all over it.


Pretty much...meaning bringing our capitalist economic foundation closer to socialism.

[tommieharris91]

If you guys knew what happened in the bond market today, you'd understand that the spending spree may end soon.

Even if a bond market dislocation hasn't begun, at the very least we are about to see big jumps in interest rates......in a deep recession.

When we take a look at the stock market, we realize that this isn't very much of a problem.

[OklahomaTuba]

Apparently the left is claiming that the original stimulus is working and that's why 90% of economists think the recession will end this year. So why the additional tax cuts for the rich?

So the squanderer plans on cutting taxes for the rich, all the while trying to figure out how to add a national sales tax on everyone, and yes even woman and minorities?? Nice.

This guy has one term written all over him thankfully. Unfortunately its going to take a decade to recover from his first 4 months alone.

[Vaevictis]

Incidentally, Obama disagrees with you.

Nah. His statement and mine are not mutually exclusive -- in mine, I state what effect the government is attempting to get (more charitable contributions); Obama states that it's not making any difference.

[Turd_Ferguson]

You lost me at "Nah".

[Vaevictis]

Is this the same tax code that Obama said was "unfair" during his campaign? The same one he promised to reform so that there were no tax loopholes for the "rich"? That tax code?

Hell, I don't know.

I just know that targeted tax cuts to make specific investments more attractive are not really the same principle as "trickle-down."

[Jerk]

When we take a look at the stock market, we realize that this isn't very much of a problem.

This same market that continues to rally despite the fact that housing prices are still in a free fall?

We will see what happens next week when they auction off a quadrillion dollars worth of long bonds. Maybe Benny can print enough money and Timmy can suck enough chinese **** to keep it from blowing up in their faces.