Eric Cantor: 'With Unemployment At 9.2%, What Economic Theory Validates President Obama's Desire To Raise Taxes?'

Source:House Majority Leader Eric Cantor- talking about President Obama, taxes, and the economy.

"With Unemployment At 9.2%, What Economic Theory Validates President Obama's Desire To Raise Taxes?"

From House Majority Leader Eric Cantor

In round one of the debt deal, there was a plan that was all about budget cuts, including in the Defense Department and no cuts in entitlement programs. 

Round two of the debt deal will be about entitlement reform and tax reform. I don't see this Republican House ever going for tax hikes on anyone, income tax hikes impossible. But would could happen from this Congressional Joint Committee (as I prefer to call them) is tax reform that closes tax loopholes, including corporate welfare, big oil and gas subsidy's eliminated and using that revenue to help pay down the debt. In exchange these company's would be able to have more areas to operate which would actually be good for the economy, because of the jobs it would create. 

I believe this is the best that Democrats and the President will be able to get from this Republican House. And is something that they and the Democratic Senate should fight for. As well as entitlement reform that saves these programs without hurting people who need them. But demanding that wealthier people who don't need them, pay more into them and take out less. 

As far as the rest of the social insurance programs in the Federal Government: I would like to see them taken off of the Federal and state budgets all together. And made independent of the Federal Government all together and turned into non-profit, good will services that would help people in need as well as empowering these people to become self-sufficient. But still regulated by the Federal Government. But I don't see that this Congressional Joint Committee coming up with this. But thats an idea I'll be pushing in the future. 

The problem with the economy isn't that taxes are too high on the wealthy. The problem with the economy has to do with lack of demand. People aren't spending enough money and purchasing enough items, for business's to make enough money to create enough economic growth that leads to strong job growth. 

And while we are waiting for the Congressional Joint Committee to hopefully draft round two of debt reduction, hopefully the economy will be the next focus.

The White House and Congress should be concentrating on the economy and creating more demand in it so people spend more money, to get economic and job growth going again. And they can do this without adding to the debt, which would be the easiest way to pay down the debt without hurting anyone. 

The economy should be Congress's main focus in September when they come back, things like a National Infrastructure Bank which would pay for itself which would also help with our manufacturing industry. Because the people who do these projects need the supplies to do this work. 

And we also need a comprehensive energy plan would help the economy as well and allow our energy company's to expand their presence in America. Which again would create a lot more jobs in exchange for cutting their corporate welfare. 

And last but never least, three trade deals stuck in Congress: Central America, Columbia and Korea, three major markets where we could export our goods.  

It's  good that round one of debt reduction is behind us and now Washington will have an opportunity to focus on the economy when Congress comes back in September along with the NFL, hint hint. And that has to be the biggest focus right now for several reasons but also without a strong economy, debt reduction means nothing.