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6/30/2009
Burri: Dems can't argue one side and ignore the other
It's not like Democrats don't understand. They do.Well, some of them do. Maybe not – in fact, definitely not – all of them. But some.
Heartening? You'd think so. But you'd be wrong. See, even though they – some of them – do get it, they ignore it. They pretend it isn't there.
What the hell am I talking about? This Wisconsin State Journal story from a couple weeks ago, about state political leaders trying to keep General Motors from leaving the state for good.
(Assembly Speaker Mike) Sheridan, a former autoworker, declined to comment on his meeting with GM but said in a statement that the tax credits “are sure to spark economic development, boost Wisconsin businesses and create good jobs.” Rep. Sheridan is a Democrat. Check it for yourself if you don't believe me. And he said that. Tax credits are sure to spark development, boost business, create jobs. Taxes matter. Taxing a company less gives them more reason to stay in – keep their jobs in, create more jobs in – Wisconsin.
Does this remind you of anything? Maybe…Lt. Gov. Barbara Lawton and her Hollywood tax credit?
Baraboo wouldn't even be considered for the shooting of an upcoming Hollywood film if not for state tax incentives taking effect Jan. 1, Lt. Gov. Barbara Lawton said.
…
Wisconsin couldn't lure a Hollywood production if not for the upcoming tax breaks, Lawton said. "Without it, they never would have come knocking on our door," she said. "They wouldn't have given us a second glance."
Amen, sister. When something costs less, more of it happens. Of course, the opposite must then also be true: the more something costs, the less of it happens.
That's fundamental conservative philosophy. No, wait: it's not. It's fundamental economics. The Laws of Supply and Demand. Rep. Sheridan and Lt. Gov. Lawton are displaying a sound understanding of these Laws, how they affect real life, and how government can use them to better the real lives of Wisconsinites.
They understand!
But, waitaminute…if they understand so well, how do we explain the recently-passed (and signed) state budget?
Among billions of dollars in other tax and fee increases, this state budget – passed last week after hours upon hours of backroom negotiations and dealing – raises taxes on investment. By $240 million or so.
A tax increase. At a time when we need, most of all, to "spark economic development, boost Wisconsin businesses and create good jobs.” Jobs. Protecting jobs, creating jobs, getting people back to work and keeping them there. It's the single biggest issue in the state. In the nation.
If tax incentives were supposed to keep GM here, what will this tax increase do?
This tax increase means that, for investors, there's more opportunity elsewhere. It means less security for small businesses. It's a disincentive to invest. Always a bad idea, but particularly so when investment is what we need most.
If lower taxes helped convince Hollywood to invest here…if lower taxes were our big strategy for convincing GM to invest here…then these higher taxes will convince investors to invest elsewhere.
You can't argue one side, and ignore the other.
And yet, Rep. Mark Pocan (D-Madison) described the budget this way:
"We all wanted to protect public education, public safety, we wanted to help create jobs in a bad economy…and I think we've accomplished all of that." Either he doesn't get it, or he's ignoring it. Rep. Sheridan, too, for all his apparent understanding, voted yes. Yes! Increase those taxes! And if Lt. Gov. Lawton opposes it, she's sure keeping it to herself.
Lance Burri is a contributor to the Badger Blog Alliance and The TrogloPundit.
COMMENTS
Oh they get it allright. But look at who they are trying to encourage to come by cutting taxes. They were dangling the carrot in front of GM, one of the largest UNION employers in the nation. They want the UNION employees to be happily employed but don't give a rip about employees who work for small business because those folks aren't part of their "power base".
Hollywood. The PR machine for the left. Always good to be 'friends' with the Speilbergs of the nation. It never hurts to have a little Hollywood money in the ol' campaign fund.
They get it ... exactly. They get how to pick winners and make the opponent a loser.
This isn't as much about economics as it is about "who you are". The 180 degree opposite of what our nation was meant to be.
Jeff Riedl (Tue Jun 30 08:24:17 2009)
What do you mean Democrats? Is Mark Sanford a Democrat? Or doesn't he count? Or are Republicans entitled to throw stones at Democratic adulterers, but not the other way around?
As Maureen Dowd wrote in the New York Times on Sunday, "The Republican Party will never revive itself until its sanctimonious pantheon — Sanford, Gingrich, Limbaugh, Palin, Ensign, Vitter and hypocrites yet to be exposed — stop being two-faced."
Rich Eggleston (Tue Jun 30 10:38:16 2009)
Geez Rich. Address the point Lance is making. How best and whether to offer a consistent, reasonable tax policy to attract and retain business in Wisconsin?
Jo (Tue Jun 30 10:52:21 2009)
Rich, read the frickin' column before you comment.
Lance (Tue Jun 30 12:09:31 2009)
He's probably a Democrat. They don't even read bills before they vote on them.
Duke (Tue Jun 30 22:56:37 2009)
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