Taxes

The perilously liberal New York Times columnist Paul Krugman is not pleased with the President's handling of the fiscal cliff negotiations.

So angered is the Nobel laureate that he wrote at his blog Wednesday, "[If Obama doesn't] finally stand up for his side...nobody will ever trust him again, and he will go down in history as the wimp who threw it all away."

On Wednesday's CBS This Morning, Nancy Cordes trumpeted the passage of Senate Democrats' temporary fiscal cliff fix by the House as a "big bipartisan victory", immediately after pointing out that "the votes were about two-to-one Democratic in favor of the bill." Cordes also hyped how the bill is "a milestone, finally settling a decade-long debate over the Bush-era tax cuts," despite the fact the bill raises tax rates on top earners.

The correspondent also likened Congress to a teenaged student: "Well, if this was high school, you'd say they turned in the assignment a little bit late. It was kind of a rush job, but at least they got it done."

On Tuesday's NBC Nightly News, hours before the House of Representatives approved a deal to avert the fiscal cliff, chief White House correspondent Chuck Todd wrung his hands over Republican opposition to the lopsided legislation that increased taxes and offered no spending cuts: "I think we're in the last throes of sort of the typical theatrics that have become the norm for Washington over the last couple of years. And there is going to be a few more shenanigans before the night is over." [Listen to the audio or watch the video after the jump]

That was in response to fill-in anchor Kate Snow observing: "There are some voices out there saying, 'Good for the House Republicans, they're standing on their principles.' But there are also a lot of voices saying, 'How much longer is this going to take?'" Todd lamented: "Well, it may be a new year but old habits are dying hard with this congress." He reiterated: "It could be a real mess. But I do think we're in the last throes of sort of the Washington shenanigans."

Time magazine’s Joe Klein can’t get his basic biographic facts straight, but he’s sure the “fiscal cliff” impasse should be blamed on Grover Norquist on Rush Limbaugh for leading a conservative culture “removed from reality” and “extreme in the most egregious way.”

On CBS’s Face the Nation, after Peggy Noonan regretted how President Barack Obama allows “dreadful enervating dramas” while Ronald Reagan was big enough to make deals with Speaker Tip O’Neill, Klein sputtered: “When Ronald Reagan was President, Grover Norquist was in diapers and Rush Limbaugh was a disc jockey, I think, in St. Louis.”

During the past two years, Republican governors and lawmakers in Wisconsin, Ohio, Indiana and Michigan have been the targets of a great deal of negative attention from the establishment press, particularly on TV, as a result of taking necessary actions to get their states' fiscal houses in order and to become more economically competitive. Meanwhile, the Midwest's largest and Democrat-dominated state careens toward bankruptcy, and it's barely news.

In early 2011, Illinois enacted massive personal and corporate income-tax increases of 67% and 46%, respectively. The tax hikes were advertised as required to address the state's huge backlog of unpaid bills to vendors and other service providers, and to shore up its badly underfunded pension funds. Almost two years later, as two separate Associated Press reports this weekend demonstrate, the state still has a huge and possibly even larger stack of unpaid invoices, and its pension situation has worsened.

New York Times columnist David Brooks made an astonishing observation about President Obama on NBC's Meet the Press Sunday.

"Sometimes he governs like a visitor from a morally superior civilization" (video follows with transcript and commentary):

Here’s something I bet you thought you’d never see at the perilously liberal Huffington Post.

In a Dean Baker article published Tuesday with the astonishing title “There Is No Santa Claus and Bill Clinton Was Not an Economic Savior,” the second sentence read, “Just as little kids have to come to grips with the fact that there is no Santa Claus, it is necessary for millions of liberals, including many who think of themselves as highly knowledgeable about economic matters, to realize that President Clinton's policies sent the economy seriously off course.”

"I think quite bluntly leaving and losing their virginity on the issue of tax cuts is an important thing to these Republicans who have not voted – make it understood - no Republican in the House or Senate for 22 years has voted to increase taxes."

So said PBS's Mark Shields on Inside Washington Friday (video follows with transcript and commentary, file photo):

CNBC host Maria Bartiromo went after Maryland Senator Ben Cardin on the air on Thursday (HT PJ Tatler; original here) after it became clear that Cardin and his fellow Democrats won't support any measure to prevent the fiscal cliff from arriving as currently scheduled on Janaury 1 which does not include increases in the highest marginal income-tax rates. At the end of her tirade, she got applause and cheers from those around her.

I'll give her one cheer for clearly exposing Democrats' "my way of the highway" approach. She missed the opportunity to get to three cheers because it seems that she's just now recognizing after all these months that Democrats, including President Obama, won't accept any kind of a solution that doesn't involve raising the top rates -- even though they've been saying that very thing all along. Far more important: Even if you believe that the tax hikes discussed will actually increase government collections by $1.2 trillion over ten years, that amount is a tiny percentage of the trillion-dollar deficits the government will continue to run as long as the economy putters along at its current mediocre to poor pace.

Well, so much for “Plan B,” House Speaker John Boehner’s proposal to block tax increases on everyone whose annual income is below $1 million. After already being preemtively rejected by Harry Reid in the Senate, House Republicans told Boehner they would not support the effort to raise taxes. This caught everyone by surprise according to NRO’s Robert Costa who was there with an inside account.

The both houses have gone into recess for the Christmas holiday, what do you think should be done before the New Year? Sound off here on this topic or another topic.

On Thursday's CBS This Morning, Major Garrett tried to shoehorn Steven Spielberg's screening of his recent film "Lincoln" for the Senate into his report on President Obama's Wednesday press conference on the fiscal cliff and gun control. Garrett hyped how the movie "celebrates presidential power and crafty legislative strategy," and that Obama "may need the wisdom of Lincoln for his latest legislative battle - gun control."

The correspondent even played a clip from the film about the sixteenth President to hint at a parallel between the passage the 13th Amendment, which happened after the carnage of the Civil War, and possible new firearms regulations in the wake of the Newtown, Connecticut massacre [audio available here; video below the jump]:

Jay Leno said a really inconvenient truth about the fiscal cliff negotiations on NBC's Tonight Show Wednesday

"John Boehner told Congress to prepare for plan B," Leno teased during his opening monologue. "You know what that means when Congress talks about plan B? The rest of us end up with plan F and U. Okay? That's the plan we get, F and U."

At his news conference on Wednesday, President Obama opened with a statement of over 1,100 words, all of it on gun violence, including his announcement that "I’ve asked the Vice President to lead an effort that includes members of my Cabinet and outside organizations to come up with a set of concrete proposals no later than January -- proposals that I then intend to push without delay."

That should reasonably have been expected to put the gun control issue to bed for the rest of the day. How many meaningful questions could reporters possibly pose after all of that (other than the one Jake Tapper of ABC asked, which will be seen later in the post)? But as Ben Sisario at the New York Times's Media Decoder blog reported Wednesday afternoon, that didn't satisfy many media critics, who -- with Sisario seeming to agree -- expected and wanted to see an all-gun-control, all-the-time exercise, and were angry that it didn't unfold that way (bolds are mine throughout this post):

Without even realizing it, the Washington Post's Glenn Kessler has done a great service for the conservative movement and the interests of taxpayers. For the first time, we have in one place—citable in a mainstream news source—definitive proof that President Reagan was tricked into agreeing to a phony spending cut/real tax hike deal. The minor detail that the fact checker draws the wrong conclusion is as immaterial as it is expected—for most fact checkers, the Republican is wrong even when he’s right.

We have an excerpt from Reagan’s memoirs. We have a quote from a Reagan nationally-televised speech. We have numbers broken out showing that the deal was, in fact, $3 in spending cuts for every $1 in tax hikes. We have quotations and descriptions of how Senator Bob Dole (R-Kan.) and OMB Director David Stockman basically knew all along that the spending cuts were phony. We have Secretary of Defense Cap Weinberger willfully refusing to implement the phony spending cuts. We have Dole writing a letter to the President desperately seeking to assure him that he didn’t just get his wallet lifted, thank you very much. We even have Jack Kemp as the taxpayer hero, detailing for the President the whys and wherefores of how he got sold a bill of goods.

On the front of Sunday's New York Times, reporters Jackie Calmes and Jonathan Weisman suggested President Obama has a "mandate" for tax hikes in the ongoing tactical battle in Congress over the expiration of the Bush-era tax cuts in "Soured History Hampers Talks Between Obama and Boehner."

Last year, Mr. Boehner had the edge as Mr. Obama faced a difficult re-election campaign and needed Republicans’ support to increase the nation’s borrowing limit, lest the government default. Now, after a decisive re-election victory and Democratic gains in Congress, Mr. Obama has the stronger hand. He also made higher taxes for the wealthy a central campaign issue, suggesting a mandate borne out in public polls. And he benefits from a hard deadline, Dec. 31, after which all of the Bush-era tax cuts expire if action is not taken to extend them. Polls show that voters would hold Republicans responsible if no deal is reached in time.

Why is it wealthy liberals don’t understand that if they want to pay more income taxes, they can each year on their 1040 form make an additional contribution to the federal government above and beyond what they owe?

Consider the case of actor Matt Damon who on PBS’s Tavis Smiley Show Wednesday actually said, “I need to pay more taxes” (video follows with transcript and commentary):

New York Times reporter Jonathan Weisman threw around hostile labels in his Thursday piece on the ongoing tactical fight in Washington, pitting the "far right" against responsible "pragmatists" in the tactical battle over fiscal policy in "Boehner Tries to Contain Defections on Fiscal Unity."

Speaker John A. Boehner moved Wednesday to maintain Republican unity on deficit reduction talks as lawmakers on the far right openly chafed at his leadership and some pragmatists pressed for quick accommodation on tax rate increases on the rich.

Charlie Rose and Gayle King pressed outgoing Senator Jim DeMint on Thursday's CBS This Morning over congressional Republicans resistance to tax hikes. When DeMint stated that President Obama will "probably eventually get his tax increases one way or another", Rose replied, "So, if he will get them, why not get them now and compromise and avoid going off the fiscal cliff?"

Open Obama booster King added the bad polling numbers for Republicans into the mix as she tried to get the senator to surrender to the President's demand: "You released a statement...saying this is not rocket science...with that in mind, why can't we come to terms? The public is viewing the Republican Party very negatively. Are you concerned about that?" Rose later wondered why DeMint was leaving the Senate to head the conservative Heritage Foundation.

Following a report on Thursday's NBC Today in which political director Chuck Todd touted a new NBC News/Wall Street Journal poll, co-host Matt Lauer tried to spin one finding: "...only 53% say they're optimistic about a second term for Obama and 47% say they are pessimistic. Is this really more pessimism about Washington in general?"

Todd accepted the characterization: "It is. You know, you see it in the poll....this is a much less naive public, maybe let's put it that way, after they've watched all of this in Washington. And a full 70% now think that the next year is going to be acrimonious." Todd then portrayed Republicans as embracing such acrimony: "...this is really dangerous in the talks, actually...I talked to one Republican who said, 'How low can we go? We don't have a lot to lose.' And I pointed out, 'But you would have a lot to gain, because the par's pretty low from the public's point of view.'"

Former House Speaker Newt Gingrich is rarely at a loss for words, unless what he says is edited by Rachel Maddow.

On her cable show last night, Maddow swooned in response to MSNBC colleague and avowed "extreme left" socialist Lawrence O'Donnell's alleged success in an exchange with Gingrich on "Meet the Press" this past Sunday. (video clip after page break) 

In a report for Tuesday's NBC Today, chief White House correspondent Chuck Todd touted President Obama supposedly being nicer to the GOP while in pursuit of a fiscal cliff deal: "Mr. Obama was noticeably less confrontational toward Republicans....The President's softer tone came just a day after he sat down with House Speaker John Boehner..."

While Todd focused on Obama's "softer" side, Monday's New York Times reported on the President's team playing hardball: "The White House is also cranking up the machinery of the Obama campaign to help in the battle. On Monday, the campaign sent an e-mail to its entire mailing list from its deputy manager, Stephanie Cutter....'Who will decide if your taxes increase in just 22 days?' Ms. Cutter said. 'A few dozen members of the House of Representatives, that's who.'"

The first entirely post-election reading from the University of Michigan-Thomson Reuters consumer confidence survey came out on Friday. It was awful. As reported at MarketWatch, the overall index "fell to 74.5 from 82.7 in November," far below expectations of 82.0, representing "the biggest one-month drop since March 2011." Zero Hedge noted that it's the "biggest miss on record" compared to expectations.

Of course, in Establishment Medialand and with the analysts they chose to consult, the plunge has everything to do with the "fiscal cliff," and nothing to do with the reelection of President Obama to a second four-year term or his intensely partisan conduct since then. Sure, guys.

On Monday's CBS This Morning, Norah O'Donnell seemed unsure about the extent of Tea Party's political influence. During an interview of former House Majority Leader Dick Armey, O'Donnell first indicated that the movement was a potent force: "I want to ask you...about how powerful the Tea Party is. Is the Tea Party holding back House Republicans and Speaker Boehner from agreeing to additional revenues?"

The anchor later hinted the Tea Party's power was on the wane: "FreedomWorks spent $40 million in the last election, and you had less than one-in-four of a winning record on the candidates you backed. Was it the organization, or is the Tea Party weakened?"

As Colonel Kurtz said at the end of Apocalypse Now: “the horror, the horror.”  That sentiment encapsulated New York Times Republican David Brooks and syndicated columnist Mark Shields’ reactions to the rejection of the UN treaty on the rights of the disabled in the Senate last week.  Brooks called it “embarrassment for the country” – while Shields called it “a profile in cowardice.”  Regardless, it seems that both men forget that we have a similar bill called The Americans with Disabilities Act, which was passed under George H.W. Bush.

During the segment, which aired on December 7, NewsHour anchor Judy Woodruff decided to end her interview with Brooks and Shields on this point:

Former Speaker of the House Newt Gingrich on Sunday gave Lawrence O'Donnell a much-needed education on the economic impact of the Bill Clinton tax hikes in the '90s.

As O'Donnell precipitated the exchange, he perfectly demonstrated why MSNBC commentators are far too liberally biased to be invited on NBC's Meet the Press (video follows with transcript and commentary):