Do tax cuts for the wealthy stimulate the economy?  Sure they do, but not as effectively as direct investment in research and development, education and retraining workers, and infrastructure repair and replacement.

The plan is not just to eliminate the Bush tax cuts for the wealthy, but it is to replace them with something more effective.  In other words, redeploy the Bush tax cuts to something more effective.  What Democrat would be afraid to support such a plan?

As long as the Democrats allow the Republicans to cast the debate as to whether or not tax cuts for the wealthy stimulate the economy, then the Democrats are on the losing side of the debate.

The real debate is whether or not we can find a better stimulus than the tax cuts to the wealthy.  The Democrats have a plan, but the Republicans do not.

Don’t dismiss retraining because you think all the good jobs are outsourced already.  Even the PBS Nightly Business Report had a feature on how a business wanted to expand but they could not find qualified operators for their new robotics production equipment.  They said that their staff was too small to spare anybody to train a new employee.  What a terrific case for the need for government funded training.

2010/09/05 Update

The Dems find themselves in a bind.  They decry the effect on the long term debt of the Bush Tax cuts for the wealthy.  I guess the redeployment of this part of the tax cut can only be able cover the next few years.  Then the stimulus will end and the out lying years we will use the funds to cut the deficit.  The message gets more complicated.

In response to E.J. Dionne, Jr. piece What’s on Obama’s Next Page?, there were various comments adding to the carping about the Obama Presidency.

I explained to the complainers how to solve their problems.

You know how to solve your disappointment with Obama?  Put the Republicans back in office.

They will repeal the health reform act as they have promised.  There won’t be any more stimulus packages from Republicans.  We know they prefer bank bailouts.  The TARP was Bush’s answer to the financial crisis.

Tax cuts for the middle class, sure after they give some more tax cuts for the wealthy.

Repairing crumbling bridges and roads? Naw, that would hinder private enterprise.

Research using embryonic stem cells?  No way.  We’d rather throw away those frozen embryos than discover a cure for Parkinson’s disease.

Increase the number of bank examiners and go after fraudulent bank executives?  What a waste of money.  We know how successful Reagan was in preventing the S&L disaster by refusing to let examiners examine the insolvent S&Ls;.  He cut the examiners budgets and refused to pay them decently or give them computers.  Now that’s the way a Republican carries out his executive responsibilities.

If you don’t like the intelligence reports that had doubts about whether Saddam Hussein had WMDs, then form your own defense intelligence agency to tell you what you already know for sure is the real truth.

While we’re at it, let’s get rid of the Arab speaking intelligence officers.  They might be able to understand what the terrorists are saying, but we can’t have gay people in the military.  It ruins unit cohesion.

These are all policies your friendly Republicans have brought to you.  They will be glad to bring them back.

But wait! There is even more.  This time it will be the Republican Tea Party.  If you thought the old Republicans were extreme, you ain’t seen nothing yet.