Don't Have the Votes

Oh for fuck's sake (a phrase which is clearly becoming the number #1 alternative name for this blog).

Democrats do not have the votes in the Senate for cloture on the stimulus bill.

Which means more tax breaks for Paris Hilton.

I actually heard about a pretty good proposal from the Republicans. The focus is on housing, and specifically extending and expanding the current $7,500 tax credit for first time homeowners, as well as moves to help lower interest rates, with a target of 4%. Practical ideas, surely, that I can support.

Obviously it's better than handing out money to ever goddamn government program that Democrats have tacked onto the bill, I guess for new copiers and clerical temps or whatever else that money is supposed to be spent on to "stimulate" the economy. Once you're out of infrastructure ideas, guys, stop spending. I've alluded to this before--not enough spending is worse than spending too much, but you absolutely cannot throw the money away. It will rob you of future economic growth. Free condoms and 26 more weeks of unemployment are good things, I think, but not in a stimulus bill.

Tax "relief" is, again, retarded, and the inability for Republicans to understand this is frustrating. However, providing carrot and stick incentives using tax credits to temporarily (& artificially) floor housing prices is a good way to staunch the bleeding, provided the band-aid sticks.

The proposal cannot stand on its own. It will have to work with a variety of other programs that target other sectors of the economy, that are designed to get people back to work and keep them there. Otherwise you're just attracting more suckers, adding more foreclosures 12 months from now, plus or minus a percentage or two, as more and more suckers lose their jobs. There's a big difference between delaying the inevitable and retooling your economy to become less reliant on the magical ability of housing to make everyone rich.

It's a stimulus bill, not a Christmas list, of which not a penny will be paid from 2009 tax receipts. In other words, Democrats are going to have to grow up, and not support spending on social programs that do not stimulate the economy. Separate bills are needed for that stuff.

I have to say I chafe a little at the idea that initiative for smart spending comes from R's and not D's, but it in no way diminishes my support. It's a good idea.