Obama: "Economy is in a shambles, contracting, probaly already in a recession"

[Amerigo Vespucci]

"Our economy is in a shambles," Obama said at a town hall meeting at a community college near Pittsburgh. "This economy is contracting, it is heading toward recession. We probably already are in one."

Besides calling for middle-class tax cuts this year, he hinted that he might reconsider his call to roll back Bush tax cuts on capital gains and dividends if market conditions continue to deteriorate.

Obama derided Bush for suggesting that the stimulus package should be given a chance to work and that policymakers shouldn't overreach. He said the Fed might have limited ammunition left and urged steps to deal with the human consequences.

"Real people are losing their homes or at risk of losing their homes. Businesses can't get the credit they need to keep their doors open. My approach would be to be pragmatic," Obama said.

http://www.huffingtonpost.com/2008/03/17/obama-clinton-cite-econo_n_91913.html

[GhostofSandpiper]

1. What does he know?

He has an uppity, opinionated preacher that eats white babies.

[KaptBunnyPants]

6. They call 'em grits.

[Coexist]

7. *snort*

[uponit7771]

8. LOL

[BumRushDaShow]

2. K & R for the issues brought back to the campaign!

:kick:

[no_hypocrisy]

3. About time SOMEBODY running for president said this.

[Beaverhausen]

10. Maybe you missed it but these are the issues John Edwards was discussing when he was in the race

I miss John.

[90-percent]

4. info please

a friend informed me households that earn over $90,000 are considered by Barack to be "high income" and would be subject to his highest tax rate.

Any insights into this?

Thanks

-90% Jimmy

[anigbrowl]

9. No, that's about social security

and the fact that currently you don't pay any on income over 90k. Obama has proposed that people making high incomes should, although ha hasn't definitely committed to the idea and says it might only be applied to those making over (I think) 250k.

[babylonsister]

11. This could be what you're talking about:

http://www.factcheck.org/clinton_vs_obama.html

A Trillion-Dollar Tax Increase

Clinton called Obama's proposal to raise Social Security taxes on earnings over $97,500 per year, the current upper limit on which any tax is levied, a trillion-dollar increase on "middle class families."

Clinton: I do not want to fix the problems of Social Security on the backs of middle class families and seniors. (Applause.) If you lift the cap completely, that is a $1 trillion tax increase. I don't think we need to do that.

ClintonTaxing all earnings would indeed amount to a $1.3 trillion increase over the next 10 years alone, according to estimates by Cato Institute Social Security expert Michael Tanner, who says he drew his figures from projections by the Social Security Administration staff. A similar estimate comes from Citizens for Tax Justice, which figures the measure would bring in $124 billion per year.

Obama defended his proposal by saying it would fall only on the "upper class."

Obama: I've heard you say this is a trillion dollar tax cut on the middle class by adjusting the cap. Understand that only 6 percent of Americans make more than $97,000 — (cheers, applause) — so 6 percent is not the middle class — it's the upper class.

[Iceburg]

5. Uh?...Hillary already made those points 6 weeks ago. Get in the game Obama./nt