Joe Biden released the latest installment in the Democrats’ radical plan to transform America into a socialist society with fewer jobs and more dependence on government disguised as an “infrastructure plan.” This $2.5 trillion step on the agenda follows up on last month’s $1.9 trillion in deficit spending that dramatically expanded the welfare state and the trillion dollars left unspent from last year’s Coronavirus legislation. A sample of the so-called infrastructure plan’s lowlights:
- Eight years of spending paid for over 15 years.
- $100 billion to further the federal government’s intrusion into local public schools—on top of the $200 billion they’ve already allocated to schools for other purposes – and still no requirement to open schools.
- $174 billion in subsidies for electric vehicles.
- $400 billion to increase the number of health care workers paying union dues and expand Medicaid (again) to cover more people and services instead of working to fix the Medicare program for seniors as it quickly approaches insolvency.
- Urges passage of the PRO Act, a political handout to union bosses that undermine worker rights and privacy.
To pay for their giant expansion of government, Democrats will raise taxes, lower wages, and squash economic growth.
- Biden's tax hike to 28 percent, in addition to state taxes, would drag the United States back to having the highest combined corporate tax rate in the developed world, nine percentage points higher than the average of developed nations.
- According to the Tax Foundation estimates, Biden's corporate rate increase alone will eliminate 159,000 jobs, reduce wages by 0.7 percent, and reduce long-run economic output by 0.8 percent.
- A new minimum tax that will put American companies at a competitive disadvantage.
- Even Democrats acknowledge this would be the effect, but instead of keeping our tax system competitive, they're hoping to convince other countries not to compete for our jobs by raising taxes too.
Now, some Democrats are saying they won’t support the new Biden tax increases without adding $80 billion per year in special giveaways to the wealthy living in high-tax states. This is especially pernicious given that during their last spending spree, Democrats handcuffed states from lowering their taxes. This is just the beginning of tax increases that hurt American workers. The Democrats are promising future increases on the individual side to pay for even more spending as they continue their quest to expand the welfare state. Please look for more on this scheme as further details are released.
107 Comments