Cut Social Security, Medicare, and Medicaid McConnell Says
After instituting a $1.5 trillion tax cut and after signing off on a $675 billion Defense budget, Senate Majority Leader Mitch McConnell said yesterday, Tuesday, October 16, 2016;
“The only way to lower the record-high federal deficit would be to cut entitlement programs like Medicare, Medicaid and Social Security.”
More McConnell: “It’s disappointing but it’s not a Republican problem.” The deficit, grew 17 percent to $779 billion in fiscal year 2018. “It is a bipartisan problem and a problem of the unwillingness to address the real drivers of the debt by doing anything to adjust those programs to the demographics of America in the future.”
The deficit has increased 77 percent since McConnell became majority leader in 2015.
A new Treasury Department analysis on Monday revealed that corporate tax cuts had a significant impact on the deficit this year. Federal revenue rose by 0.04 percent in 2018 which is a nearly 100 percent decrease from the previous year’s 1.5 percent. In fiscal year 2018, tax receipts on corporate income fell to $205 billion from $297 billion in 2017.
Still, McConnell insisted the change had nothing to do with a lack of revenue due to the tax break or increased spending resulting from new programs since 2015. Instead he insists the deficit increase is due to entitlement and welfare programs. Now he does the old switcheroo from the yearly deficit to the national debt.
McConnell said, the debt is very “disturbing and is driven by the three big entitlement programs that are very popular, Medicare, Social Security and Medicaid. There has been a bipartisan reluctance to tackle entitlement changes because of the popularity of those programs. Hopefully, at some point here, we’ll get serious about this.”
What McConnell does not tell you is 8 years out those tax decreases will go away for much of the population and many will see tax increases. McConnell and Republicans needed a way to keep the 60% of the total tax break going to the 1% of the Household Taxpayers making greater than $500,000 annually since this tax break was passed under Reconciliation rules (Democrats could not block it without 60 votes). Robert Reich has called this a Trojan Horse tax break.
Recently, Mitch McConnell has been considering his legacy. I think it would be adequate to paraphrase it as: “I saved the 2018 tax break for the 1 percenters. To hell with the rest of you.”
1. PGL pointed out the variance is barely audible on scale of the deficits. “I have skipped the chest thumbing about the economy from Mnuchin and Mulvaney to focus on the stupidity ala CNBC. Real government spending barely kept pace with inflation, which is why outlays relative to GDP fell from 20.7% to 20.3%. Real tax revenues clearly fell in absolute terms and as a percent of GDP went from 17.2% to 16.5%. I guess this is what one gets when one lets Lawrence Kudlow become a chief economic adviser. But this kind of dishonesty is well known ever since Kudlow and his ilk tried to pull this intellectual garbage in the 1980’s. Does anyone at CNBC not realize the Trump White House is playing the same games with numbers?”
I kept my post the same because it is just another ruse by McConnell to get something done for no reason what-so-ever. It is a lie by McConnell.
by run75441 (Bill H)
And it will cost them exactly zero votes among the working class.
I wonder why that would be?
Maybe he’ll get serious and endorse the NW Plan.
A CNBC Federal spending SURGED. As in a 3.2% increase in NOMINAL spending, which means real spending barely went up. As I noted under that post of mine on the CNBC/Treasury dishonesty, Paul Ryan tried this same dishonest trick but the CBS guy nailed him. Well he tried to but Ryan cut him off and repeated the same line.
Now how many people are stupid enough to not realize that Paul Ryan lies 24/7?
I read your post earlier and recognized your point of spending barely rising. It is a ruse of cut spending inside of a much larger ruse being precipitated by McConnell. If he can get them to cut spending now, then maybe, maybe, they do not increase taxes down the road as planned. I should have looked further and I did not.
I am thinking of adding your point in the text of my post. It is a great point and also reinforces my point of the lies the Republicans tell the public. Thanks!
Noted . . . Just added your comment. Thanks again.
“Maybe he’ll get serious and endorse the NW Plan.”
Co-terminus with the first verified report of porcine aviation.
Trump blames the rise in the deficit on hurricanes and forest fires:
Someone fact check this please. But let’s humor the Idiot in Chief for a comment by assuming that the rise in the deficit is due to some temporary surge in FEMA spending. That undermines the call for permanent reductions in Social Security and Medicare.
Point made – these clowns cannot keep their lies straight!
McConnell: “It’s disappointing but it’s not a Republican problem.”
Not as long as people keep electing these clowns. I guess we’ll find out in 3 more weeks.