Originally Published: January 5, 2011 9:56 p.m.
Mr. Fowler's letter Dec. 15 on the Bush tax cuts is way off base. He believes the myth that maintaining cuts for wealthy Americans will create jobs. The fact is, those earning more than $250,000 are not the small business entrepreneurs that are the engine of job creation. Ninety-seven percent of the small business owners earn less than $250,000. The people earning more are typically Wall Street brokers, commodity traders, specialty doctors, big corporation lawyers, movie stars, CEOs and CFOs. These mostly overpaid folks do not create jobs; they only create wealth for themselves.
The second myth is that extending the tax cuts for the rich will stimulate the economy. It does make sense to extend the cuts for the middle class, since they will spend most of the extra income. However, those making over $250,000 will only spend 10-30 cents on the dollar and save the rest.
A third myth is that extending the tax cuts permanently, as the Republicans have said they would, will lead to long-term growth. The Bush tax cuts already account for 25 percent of the debt and, if they are extended for all Americans, it increases the debt so much that the effect is negative in the long run. Thus, a temporary extension for the middle class makes sense.
Mr. Fowler goes to great lengths to discredit our president and other Democrats, but his argument lacks facts and is misleading. His last statement is especially telling, in which he says Democrats and the liberal media are full of distortions and lies, and that is why the Republicans cannot work with them. The obvious fact is that the Republicans never intended to work with this administration and have been purposeful obstructionists from the very beginning. Unfortunately, that probably will not change.