A Debt-Ceiling Deal: $1 in Tax Hikes for Millionaires and Billionaires for Every $1 in Cuts

Washington, DC – Sen. Bernie Sanders (I-VT) has drawn a firm line in the sand over raising the debt ceiling and avoiding a catastrophic default on US bonds. Sen. Sanders suggested that for every dollar that is cut in investments for the public, a dollar must be raised from ending tax breaks for the wealthy and tax loopholes for big corporations.

Robert Borosage, co-director of the Campaign for America’s Future is encouraging Americans to send a message to the Congressional negotiators and to the White House echoing Senator Sanders call for shared sacrifice.

Borosage said, “It is time for Democrats to stand up against the extortion of Republican zealots, demanding deep spending cuts and no tax hikes on the wealthy as the price for lifting the debt ceiling. Democrats must speak independently: This is utterly unacceptable. It ignores the need for putting people back to work now. It threatens deep cuts in Medicare, Medicaid, Social Security and programs for low income mothers and children. It ignores the reality that the richest Americans are paying lower tax rates than the teachers of their children – and that big corporations are pocketing billions from tax dodges and subsidies.

“Democrats must make it clear they will not pass a plan that doesn’t demand shared sacrifice. Bernie Sanders (I-VT) has defined the minimum: for every dollar that is cut in investments for the public, a dollar must be raised from ending tax breaks for the wealthy and tax loopholes for big corporations. And the deficits caused largely by top end tax cuts, unfunded wars and the recession caused by Wall Street’s excesses cannot be balanced by cutting the core security promise made to Americans or by savaging programs for poor children and women.

Borosage said, “We need a strong common sense pole in this debate to prevent conservatives from taking the economy hostage, and using the threat of blowing up financial markets to extort devastating cuts in Social Security, Medicare and Medicaid. Congressional Democrats cannot continue to remain silent during backroom negotiations. Congressional Republicans cannot continue to shield the rich from paying their fair share.”

Given that the Bush tax cuts and the wars in Iraq and Afghanistan account for nearly half of the deficits projected for the next 10 years, with the costs of the economic collapse caused by Wall Street's excesses accounting for most of the rest, a sensible policy would have top end tax hikes and taxes on Wall Street gaming bear the vast majority of deficit reduction.

Go to Ourfuture.org/SharedSacrifice [1] and demand that your member of Congress reject any debt limit deal without a dollar raised in taxes on the wealthy for every dollar cut: www.ourfuture.org/sharedsacrifice. [1]

Link to an article on the one for one deal by Robert L. Borosage [2].