I actually agree with Barack Obama on an issue. This summer tax relief idea is a joke. It’s not surprising that many economists agree. I can’t imagine that the issue will gain much traction given the negative press the tax break is receiving. It’s funny that the media finally decide to pay attention economists when it benefits Senator Obama. I haven’t seen a lot of press about Obama’s windfall profit tax on oil companies. Hillary Clinton has also called for the idiot tax. Amity Shlaes wrote an article last week about the history of the tax. Not surprisingly, it doesn’t work, it makes things worse, and the tax is passed on to consumers. Shlaes comes down hard on Clinton’s version of the tax, but now Obama has his own version that is three times larger than Clinton’s plan. In the grand scheme of things Obama’s plan is the worst thing for Americans, but I won’t hold my breath waiting for the press to tell the truth about it.
Obama Flag
Senator Obama has a problem wearing a flag pin, but has no problem having his picture taken in front of a huge flag every day.
The saddest part of this election parade is that no candidate has advanced any real rational strategy for energy. President Nixon and President Carter both supported various kinds of windfall profit taxes and their lack of economic understanding is now legendary. It’s actually kind of frightening that McCain supports the Summer gas tax break. Clinton and McCain are both trying to secure the middle ground for the general election. For whatever reason Democrats haven’t figured out that she has the best chance to defeat McCain. 2012 can’t get here soon enough.