TUESDAY, NOVEMBER 22, 2011
Concerning those dueling tax rates: Jonathan Chait has been explaining a certain state of affairs for at least the past year. E. J. Dionne cited Chait’s work in this area just last week.
Here goes. This isn’t complex:
The Bush tax rates are scheduled to expire at the end of 2012. If nothing is done by the Congress, the nation will return at that time to the Clinton-era tax rates and policies.
If we return to the Clinton-era tax rates, projected deficits shrink by a large factor. Our projected debt-and-deficit "crisis" suddenly disappears.
We’re not saying that it’s a good idea to return to the Clinton-era tax rates. But these simple facts should have been explained to the public long ago.
Sadly, we live in an idiocracy. Few things ever get explained.
This morning, as everyone runs for the airports and highways, Binyamin Applebaum finally explains these basic facts on the front page of the New York Times. Or does he? We’d call his work extremely murky, and limited besides.
But then, this is the New York Times. Do they know how to explain?