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Congress Helps Its Own

Posted on August 13 2010 12:15 pm
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by Diana Furchtgott-Roth

Although private sector employment has declined by 7.8 million since December 2007, on Tuesday President Obama signed into law the Education Jobs and Medicaid Assistance Act, a bill that would spend $10 billion on state and local government workers and $16 billion on state Medicaid payments. Not a penny for the private sector.

The $26 billion will be funded primarily by higher taxes beginning in 2011 on multinational corporations ($10 billion over the next decade) and cuts to the Food Stamps program in 2014 ($12 billion). No one seriously thinks that the Food Stamps cuts will materialize, and Speaker Nancy Pelosi specifically stated in her description of the bill, “House Democrats will work to restore this funding before cuts are implemented.”

Read the whole thing.

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