House Majority Leader Eric Cantor (R-Va.) just declined to give a much anticipated speech on inequality at Wharton (apparently giving a speech to the public was a deal breaker). The transcript, however, can be found here.
His opposition to the American Jobs Act was premised in an objection to progressive taxation (masquerading as concern for soup kitchens and the poor). Blocking funds to keep teachers in classrooms—exacerbating the widening teacher gap—will, of course, impede upward mobility. Now, he manages to turn concern about inequality into an argument against progressive taxation:
“Instead of talking about a fair share or spending time trying to push those at the top down, elected leaders in Washington should be trying to ensure that everyone has a fair shot and the opportunity to earn success up the ladder. The goal shouldn’t be for everyone to meet in the middle of the ladder. We should want all people to be moving up and no one to be pulled down. How do we do that? It cannot simply be about wealth redistribution. You don’t just take from the guy at the top to give to the guy at the bottom and expect our problems to be solved.
Instead, we must ensure fairness at every level. We must ensure that those who abuse the rules are punished. We must ensure that the solution to wealth disparity is wealth mobility. We must give everyone the chance to move up. Stability plus mobility equals agility. In an agile economy and an agile society, people are climbing and succeeding.”
So how does the House Republican 2012 budget Cantor pushed through the lower chamber go about giving everyone the chance to move up?
- Slashing Pell Grants
- Slashing food stamps (the old block-grant-and-defund trick)
- Slashing health care for children (Wisconsin Rep. Paul Ryan’s budget would halve federal spending on Medicaid over the next 20 years)
- Repealing the health care expansion to 34 million non-elderly adults
- Immediately cutting discretionary spending, which would cause 900,00 job losses in the first year alone
- Slashing the top corporate tax rates on individuals and businesses to 25 percent, then “broadening the base” to recoup this $2.5 trillion revenue loss through unspecified reforms. Who picks up the tab? Probably low and middle-income households
Two-thirds of the spending cuts in the Ryan budget would come from programs for lower-income families, according to Bob Greenstein. Nothing in the Ryan budget or their revealingly titled “House Republican Plan for America’s Job Creators” demonstrates sincere concern for inequality, poverty, upward mobility, or unemployment.