Thursday, January 29, 2009

House Democrats reject tax cutting stimulus plan. Approve $850 Billion Obama plan

The Democrats in the US House of Representatives rejected a supply side economics centric plan designed to invigorate struggling businesses and put more money in the pockets of tax payers. The Republican-sponsored legislation was modeled after the historic tax policies of JFK, Ronald Reagan, and George W. Bush. In each of these cases, the national economy boomed and government revenue actually increased.

Instead the historically-large, $850 billion Obama stimulus plan was passed -- without a single Republican vote.

From the AP:

The party's leader, Rep. John Boehner of Ohio, said the measure "won't create many jobs, but it will create plenty of programs and projects through slow-moving government spending." A GOP alternative, comprised almost entirely of tax cuts, was defeated, 266-170, moments before the final vote.

Focus now shifts to the upper chamber, where debate on the companion legislation could begin this week.

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