Hillary Clinton says she’ll push for a ten year, trillion dollar tax hike if she is elected, despite the example of President Barack Obama’s seven year, borrow-and-spend economic plan.
“I have connected up my proposals for the kind of investments I want to make with the taxes that I think have to be raised … I would spend about $100 billion a year … I think it’s affordable, and I think it’s a smart way to make investments,” she told the New York Daily News.
She’s justifying her new tax-and-spend plans by citing the poor results from Obama’s tax, borrow and spend strategy, which has raised the government’s debt by $8 trillion since 2009. The debt is now $19 trillion and growing, while median income has flatlined.
Once the long growing property bubble collapsed in 2007, “We had a total loss of nine million jobs. Five million homes were lost and $13 trillion in family wealth was wiped out,” she said. “That was a body blow from which many Americans have not yet recovered, and I don’t believe that the economy as a whole has fully recovered,” she admitted, despite her support for Obama’s economic strategy.
The former Secretary of State has released a long list of new taxes she plans to hit the country with, including a 28 percent cap on itemized deductions in order to raise $350 billion for subsidized tuition at colleges and universities.
Clinton also hopes to initiate “business tax reforms” that will allow her to raise $275 billion for infrastructure upgrades.
She also plans to raise another $500 billion by eliminating deductions, raising the estate tax, hiking capital gains taxes, and pushing a tax of 30 percent on those who have been fortunate enough to have earned a million dollars in a year.
She wants to start a new spending program, which she is calling the “National Infrastructure Bank.” The program would use taxpayers’ dollars to subsidize construction favored by federal, state, and local governments.
Hillary’s suggestions are being panned as job killers by anti-tax group Americans For Tax Reform and by the non-profit Tax Policy Center.
Americans for Tax Reform says the massive tax hikes Hillary admitted to the paper are likely a lowball figure. As ATR notes, Hillary has also announced a series of other tax hikes she didn’t mention to the paper.
The Tax Policy Center said Hillary’s tax plan would seriously hurt the economy. According to TPC, Hillary’s increase in marginal tax rates would reduce “incentives to work, save, and invest,” and would make the tax code far more complex than it is now.
The U.S. economy’s annual output is just over $18 trillion. In February, Obama asked Congress to appropriate $4.15 trillion for federal spending from October 2017 to September 2017. That’s roughly $13,000 per person in the United States.