Obama's plan to strenghthen the Middle Class

[southern_belle]

Back to the issues that really matter... It's not good for the Democratic party to be at war with each other. The Republican's are laughing at us and the media keeps adding fuel to the fire. How about we start ignoring the flame bait and start talking about (and recommending) threads about the ISSUES. :hi:

"In America we rise and fall together. If we are going to be the country we want to be, we cannot have a booming Wall Street and a crumbling Main Street. While some Americans have prospered in this new global economy, wages for most have been largely stagnant for decades, while costs are mounting on working families. Even as productivity grows, American workers are falling behind. The policies of the Bush Administration and the Republicans – from corporate tax loopholes to lax trade enforcement to an assault on organized labor – have made our economy less fair and
less equal. And by giving tax cuts to the wealthy while waging a trillion dollar war, George Bush’s Washington has saddled our country with a crippling debt that’s stopping us from making much-needed investments in America and the American people. We have to change this disastrous leadership.
To truly bring the change we need, and give all Americans a chance to share in the growth of our economy, we must defeat the power of special interests in Washington who push their narrow agendas
at the expense of everyday Americans and our country’s future. We need a leader who can bring us together, with an eye on the next generation and not just the next election. And we must have
a long-term economic strategy that will value work and not just wealth, strengthen the middle class and make the investments we need for long-term growth.

The time has come to bridge the growing divide between Main Street and Wall Street. The American
Dream is slipping out of reach for many families whose paychecks aren’t meeting the increased costs of their medical bills and tuition payments. Four months ago I said it was time to put a middle-class tax cut worth $1000 per family into the pockets of workers who deserve it. A tax cut that would eliminate income taxes for seniors who make under $50,000. We can’t wait for the next president to act. We need that middle-class tax cut now more than ever - not five months from now or five weeks from now, but now. I’m announcing a plan to jumpstart the economy by putting money in
the pockets of those who need it most and will spend it quickly.”
-- Barack Obama, January 13, 2008

I've been reading about where Senator Obama stands on the many important issues affecting this country and wanted to bring attention to where he stands on strengthening the Economy. Please note that this plan is not copyrighted and is posted "as-is".

About Strengthening the Middle Class -

At a Glance
• Provide an immediate $250 tax cut for workers and their families
• Provide an immediate, temporary $250 bonus to seniors in their Social Security checks
• Provide an additional $250 tax cut to workers and an additional $250 to seniors if the economy continues to worsen
• Provide relief to homeowners hit by the housing crisis
• Provide aid to states hardest-hit by the housing crisis to avoid a slash in services
• Extend and expand unemployment insurance

THE PROBLEM
Wages are Stagnant as Prices Rise
While wages remain flat, the costs of basic necessities are increasing. The cost of in-state college tuition has grown 35 percent over the past five years. Health care costs have risen four times faster than wages over the past six years. And the personal savings rate is now the lowest it’s been since the Great Depression.

Rising Unemployment and Limited Job Growth
Recent data reveals that the unemployment rate has experienced its sharpest monthly increase since 2001, the last time the economy fell into recession. Jobs have been lost in a wide range of industries, including construction, manufacturing, retail and the financial services.

Growing Economic Anxiety for Most Americans
Consumer confidence levels are the lowest they have been since Hurricane Katrina. Consumers are starting to cut back on spending, as evidenced by lower-than-expected holiday sales. Automobile purchases have fallen to their lowest level in a decade.

BARACK OBAMA'S PLAN

Provide An Immediate Tax Cut For Workers & Their Families
Barack Obama believes we must restore fairness to the tax code. In September, recognizing the squeeze
on working people in this country and the economic difficulties they were confronting, Obama proposed
tax relief of up to $500 for 150 million workers. This refundable income tax cut will provide direct relief to American workers facing the regressive payroll tax system, offsetting the payroll tax on the first $8,100 of earnings while preserving the important principle of a dedicated revenue source for Social Security. The economy has weakened significantly. Obama believes we cannot wait until he becomes president to give workers the tax relief they need. He believes we should make half of the tax cut, $250 per worker, available immediately in order to quickly get money into the pockets of Americans. This will help maintain consumer spending, strengthen the economy and ease the squeeze so many Americans are currently experiencing. If there is a three-month cumulative decline in employment, Obama believes we should immediately provide the remaining portion of that tax cut, an additional $250 per worker.
Stimulus: $35 billion. Additional Reserve: $35 billion.

Provide An Immediate Supplement To Social Security For Low- And Middle-Income Seniors
Research suggests that older Americans are particularly likely to spend rather than save additional money they receive. Obama understands that seniors living on fixed incomes are squeezed by higher prices. Obama is calling for providing middle- and low-income seniors – who would not benefit from the workers’ tax credit – an immediate, one-time $250 supplement to their Social Security benefit. And if there is a three month cumulative decline in employment an additional temporary supplement of $250 per Social Security beneficiary should be provided. These payments would not alter the Social Security program and would not use revenue from the Social Security trust funds. This would provide immediate consumer spending in a feasible way. By piggy-backing on the Social Security Administration’s highly efficient payment system, these supplemental payments will stimulate consumer spending in the most rapid way possible.
Stimulus: $10 billion. Additional Reserve: $10 billion.

Establish A $10 Billion Fund To Help Families Avoid Foreclosure
In addition to taking important steps to prevent mortgage fraud from occurring in the future and to prevent credit cards from turning into the next subprime housing crisis, Barack Obama has called for establishing short and long-term programs to help responsible homeowners facing foreclosure. Obama’s plan will help people stay in their homes and renegotiate with their lenders. It will not help speculators, people buying vacation homes or people that falsely represented their incomes. It is meant to help responsible homeowners through this difficult period. Given the downturn in the economy, Obama is calling for immediate creation of his Foreclosure Prevention Fund that will dramatically increase emergency pre-foreclosure counseling, and will work through the Federal Housing Administration, Fannie Mae and Freddie Mac to allow families facing foreclosure to responsibly refinance their mortgages or sell their homes. By helping families avoid losing
their homes and preventing a further decline in property values, this measure will help lessen the impact of a national foreclosure crisis on state, local and family budgets. Obama was one of the first to speak out about the risks of fraudulent and deceptive lending practices. He will build off of that experience and his work with community based organizations to bring American homeowners and housing markets effective relief when he is president.

Provide $10 Billion In Relief For State & Local Governments Hardest-Hit By the Housing Crisis To
Prevent Cuts In Services Such As Health, Education & Infrastructure
Because of the housing crisis and the weakening economy, many state and local governments are facing
significant revenue shortfalls. Already, 19 states have a projected budget shortfall for their next financial year and balanced budget requirements in most states will force them to cut programs or raise taxes in the face of the downturn. This will worsen America’s economic slowdown and leave millions without a safety net. State and local governments provide important services to low and middle-income families, including health care, housing, and income assistance that are particularly necessary during a recession. In addition, as the economy slows, it is important that state and local governments not postpone major infrastructure spending since doing so would exacerbate the economic slowdown. Barack Obama believes that in the areas hardest hit by the housing crisis we should provide immediate, temporary funding to state and local governments so that the decline in property values does not cause them to slash critical public services and cut vital infrastructure spending. Obama’s plan will provide $10 billion in immediate relief to the states and localities
hardest hit by the housing crisis. Stimulus: $10 billion.

Extend And Expand Unemployment Insurance
The last time America had a jump in the unemployment rate as large as the most recent one it indicated the start of a recession. But in many ways, our current situation is worse than when the 2001 recession began. The long-term unemployment rate – the share of workers having been unemployed for at least six months – is nearly twice as high now as it was then. Barack Obama believes we must extend and strengthen the Unemployment Insurance (UI) program to address the needs of the long-term unemployed, who currently make up nearly one-fifth of the unemployed and are often older workers who have lost their jobs in manufacturing or other industries and have a difficult time finding new employment. As job growth stagnates, the long-term unemployed face additional difficulties re-entering the job market. Providing these workers additional assistance in a time of economic distress is necessary to ensure consumer spending remains at an acceptable level and that they have a chance at restarting their careers. Expanding UI is one of the most effective ways to combat economic turmoil; every dollar invested in UI benefits results in $1.73 in economic output. Obama is calling for a temporary expansion of the UI program for those who have exhausted their current eligibility. Obama also believes that the extension of UI benefits should be coupled with an expansion of UI eligibility to more workers, including many part-time and non-traditional workers
who are currently left out of the program.
Stimulus: $10 billion.

OBAMA’S RECORD
Tax Relief:
In the Illinois State Senate, Barack Obama was the chief cosponsor of Illinois’ Earned Income Tax Credit, which provided over $100 million in tax relief to working families in Illinois.

Housing
In the U.S. Senate, Obama introduced the STOP FRAUD Act to increase penalties for mortgage fraud and
provide more protections for low-income homebuyers, well before the current subprime crisis began.

Predatory Lending
In the Illinois State Senate, Obama called attention to predatory lending issues. Obama sponsored
legislation to combat predatory payday loans, and he also was credited with encouraging the state to more closely regulate some of the most egregious predatory lending practices.

American Jobs
Barack Obama introduced the Patriot Employer Act of 2007 to provide a tax credit to companies that
maintain or increase the number of full-time workers in America relative to those outside the US; maintain their corporate headquarters in America; pay decent wages; prepare workers for retirement; provide health insurance; and support employees who serve in the military.

for more information
Read the Plan: (pdf warning)
http://www.barackobama.com/issues/economy/EconomicPolicyFullPlan.pdf

Read the Speech (pdf warning)
http://www.barackobama.com/2007/09/17/remarks_of_senator_barack_obam_24.php

[aquart]

1. Uh, Wall Street is NOT booming. Wake up, Barry.

Not one word of a federal jobs program. Not one. Just bonuses to industry if they fake adding jobs.

Privatization ain't ending with Obama.

[southern_belle]

2. Thanks for stopping by!

:hi:

[aint_no_life_nowhere]

3. We need to eliminate the bottomless money pit in Iraq to pay for this

I feel bad for the people of Iraq and the way we have demolished their country and their infrastructure. But we need to at least cut the military costs of our occupation and the corporate welfare going on over there.