Posted on 04/27/2022 5:33:43 AM PDT by Red Badger
Meanwhile, excessive government entitlement spending facilitated by Federal Reserve money-printing will continue unabated.
The “only way” to tackle rampant inflation in America is to raise taxes on the middle class and eliminate tax cuts enacted by former President Donald Trump, according to Senate Majority Leader Chuck Schumer (D).
“If you wanna get rid of inflation, the only way to do it is to undo a lot of the Trump Tax Cuts and raise rates,” Schumer said during a press conference at the Capitol building on Tuesday.
“No Republican is ever going to do that, so the only way to get rid of inflation is through reconciliation,” he added, referring to a procedure whereby Democrats would force through legislation with their narrow simple majority in the Senate.
Schumer’s explanation is ignorant at best and dishonest at worst, as there are several ways to reduce inflation.
Schumer conveniently omitted that reducing the federal government’s excessive entitlement spending facilitated by the Federal Reserve’s money-printing policy known as “quantitative easing” would more efficiently reduce inflation.
In fact, just raising taxes on Americans would not actually tackle the inflation problem at all due to the sheer size of the national debt and its accompanying interest.
As economist Milton Friedman noted: “Inflation is always and everywhere a monetary phenomenon in the sense that it is and can be produced only by a more rapid increase in the quantity of money than in output.”
The Federal Reserve could raise borrowing interest rates to the current official inflation rate – 8.5% as of March – to encourage savings and reduce economic demand, but that would likely push the economy into a recession.
The Fed could also shrink its balance sheet – a process known as quantitative tightening – to reduce the money supply, which would ease inflationary pressure.
“There’s one source of inflation. The actual definition of inflation is an expansion of the money supply,” economist and EuroPacific Capital CEO Peter Schiff told Fox News host Tucker Carlson last month, adding that inflation is effectively a hidden tax imposed upon the American people because the dollar’s spending power is diminished over time.
“It’s the Federal Reserve that’s been expanding the money supply,” Schiff continued. “They’ve called it ‘quantitative easing’, but they keep creating dollars, and it’s the U.S. government that spends those dollars into circulation. And as it does that, the value of each dollar goes down. And so the price of everything you buy with dollars goes up.”
“The middle class is going to feel the inflation tax the hardest. Their wages are not going to go up nearly as much as the cost of living,” he added.
So Schumer’s proposal is to add on even more economic pain upon the middle class by hiking their taxes even more in an inflationary environment while doing nothing to address the out-of-control government spending that caused the inflation to begin with.
Watch the full Democrat press conference:
HAPPENING NOW: @SenSchumer, @SenStabenow, and @SenatorCantwell are speaking live from the Capitol. https://t.co/yjnoITOzg9
— Senate Democrats (@SenateDems) April 26, 2022
It's Nanzi Pelosi who's batty as a loon.
In his case, it's ice hearted cynicism. He's a soulless creep who lives in fear of a primary challenge from AOC, or one of her ilk. He'll say anything to pander to the lunatic base of his party and keep his leadership position.
“Brain dead” stupid was the lowest measurable intelligence level. Chuckie has lowered that bar to a great extent.
Yeah, that’s real smart, Schmucky.
We have a ton of money. More than the FedGov could ever possibly need to fulfill it’s just and limited Art 1 Sec 8 duties.
Cut out all of the graft, dross, and outright unConstitutional BS... and you could run the FedGov on $1B a year. You could fix the deficit, balance the budget, and give everyone a major tax cut inside of 5 years.
We’re living on a fraction of our production capacity and are only held back by GOVERNMENT.
Looks like you can fool about half the people most of the time and 8% of the people all the time:
https://news.gallup.com/poll/1714/taxes.aspx
3-4% consistently say their taxes are too low and 3-4% “don’t know (aka capitulation). “About right” bounces between 37-48% with too high consistently around 50%, with recent peak at 57% in 2016. Up to 2001 the “too high” numbers were high 50s/60%s.
So who is Chuckie talking to?
The Dem Party is hostage to their Far Left Wing and that’s who they are pandering to.................
That’s these evil POS’s solution to everything.
And it always just makes things worse.
That is the only two things they know how to do.
Raise taxes, spend more money....................
Gee Chuck what will the government do with all the new tax money? The answer is obvious ….spend it plus more on government handouts which means even more deficits and even higher inflation. If the Democrats get their way the Treasury Department better start designing new bank notes in denominations of trillions of dollars so people won’t need wheelbarrows to carry enough cash to buy a loaf of bread.
raise taxes!?!?
LMAO !!!!!
PLEASE PLEASE PLEASE run on that platform for the midterms!!!!
“Schumer is out calling to cut Trump tax cuts and RAISE taxes on the middle class.
Who is dumb enough to campaign on that?”
Schumer used to be my congressman. I also used to work at the polls on election day. He safely got elected with over 80 percent of the vote each and every time. The one exception was in 1994 when he won about 77 percent of the vote. Knowing well ahead of time that Schumer would win by such a high margin, some years the republican party didn’t even bother to put up a candidate to run against him.
As a result, he NEVER campaigned for re-election. No campaign tv commercials. No mailers or flyers. No door to door campaigning. No meet and greet the public. No press conferences or interviews. No debating. Nothing. He didn’t need to.
I doubt most of the people who voted for him didn’t even know who he was or what he stood for or how he voted in congress. All they saw was the “D” after his name and voted accordingly. After all their accusations of a “Trump cult”, it is democrats who truly have a slavish, cult like demotion to their party label.
So, Schumer could openly call for a 5000 percent tax increase for everyone, among many other odious ideas of the left, and he’ll STLL get re-elected by comfortable margins.
This is just plain extortion. Pass a huge spending bill, then raise taxes.
Oh, and blame it on the former Admin’s tax cut that benefited the least of us who are scraping by; nevertheless still working and contributing.
How can democrats get every single thing wrong?
Never mind, the answer to my question is within my question.
They are democrats.
Under Trumps tax cuts the feds received higher revenue
By raising taxes the received less
Democrats think taxing works they were never good at business.
Chuckie must got his economic degree from the AOC School of Economic Mismanagement!! 🤓
The only tax that makes sense and one I would get behind is an across the board import tariff.
Schumer has never run a company, never met a payroll or had to deal with government regulations and taxes.
Plus, Schumer has never taken a macro economic course or anything resemble a money and banking curriculum.
He is a moron when it comes to the economy (micro or macro).
5.56mm
I understand even the Kentuckians have turned against Mitch: took them long enough.
Strange state, Dem Governor and Mitch. Like TN, the cities tend to go Dem and it drags down the rest of the state.
It only makes sense to pander to an isolated part of the political body if that small portion is yielding some type of return.
Is it electoral? Yes. The far left cheats on behalf of the Dim party.
Is it political? Yes. The far left funds the Dim party.
Is it personal? Yes. The far left lauds Chuckie and his kind for being leftist douchebags (they love and applaud this sort of thing)
So Chuckie is acting rational, if contrary to the will of the people.
OTOH, it shows how isolated the Left is within its MSM, Big Education, Deep State echo-chamber.
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