Tuesday, July 13, 2010

The Truth About Deficits

On Sunday Sen. Jon Kyl (R-AZ) basically admitted that it’s okay to increase the deficit to give tax cuts to the rich but it’s not okay to increase the deficit to extend jobless benefits to the unemployed.

So, as Ezra Klein points out, it’s just a matter of philosophy: since a tax cut or a spending increase would have the same impact on the deficit, according to Sen. Kyl it’s better to give it to the rich people than to the poor. It gives a helping hand to those rich folks who decided to walk away from the mortgage on their 20-room McMansion because they’re just tired of paying it. The jobless will just sit around and spend their unemployment on Cheetos and beer.