Sunday, May 6, 2018

Record borrowing, bad corporates lead GOPs to regret tax bill they voted for

While the tax cuts passed by the GOP Congress and signed by President Trump haven't had much effect on job or wage growth so far, there is one clear effect that Piece of Shit has had so far.

The US Treasury is borrowing money at record levels.
Earlier on Monday the Treasury said net borrowing totaled $488 billion from January through March, a record for that period and about $47 billion more than it had previously estimated, according to a statement released in Washington. The end-of-March cash balance was $290 billion, compared with an initial estimate of $210 billion.

“By definition supply and demand will equate,” Mnuchin said. “I’m not concerned about that. I think that there are still a lot of buyers for U.S. Treasuries,” he said when asked about the risks of reduced demand for Treasuries and increased supply…

The Treasury expects to issue $75 billion in net marketable debt from April through June, assuming the cash balance continues to rise by the end of June to $360 billion, the department said. The April-June borrowing estimate is $101 billion less than its previous forecast, which was partly driven by the higher cash flows, the department said.

In the July-September quarter, the Treasury plans to borrow a net $273 billion, assuming a cash balance of $350 billion by the end of that period.
While some of that borrowing will be partially paid back by tax returns and related payments, the Economist now says total borrowing is projected to reach $1.1 trillion for this fiscal year. That's well above what was projected before Trump was elected.

And then you had US Senator Marco Rubio trying to play innocent on this tax scam by making the obvious observation that corporations are using their windfalls on themselves.
"There is still a lot of thinking on the right that if big corporations are happy, they're going to take the money they're saving and reinvest it in American workers," Rubio told The Economist last week in comments that were picked up by The Washington Post on Monday. "In fact, they bought back shares, a few gave out bonuses; there's no evidence whatsoever that the money's been massively poured back into the American worker."
Cool, so Rubio will work to reverse this Piece of Shit tax bill and stop having the field be so slanted for the rich and corporate, now that he admits trickle-down is a sham?

HAHAHA! I kid!!!
Asked to comment Tuesday, Olivia Perez-Cubas, a spokeswoman for Rubio, said the Florida Republican has "pushed for a better balance in the tax law between tax cuts for big businesses and families, as he's done for years. As he said when the tax law passed, cutting the corporate tax rate will make America a more competitive place to do business, but he tried to balance that with an even larger child tax credit for working Americans." Perez-Cubas did not say whether the plan would boost workers' wages or increase employment.

During negotiations for the tax cuts recently passed by Congress, Rubio initially withheld his support, saying he wanted to expand the child tax credit to be more refundable, something he argued would help lower-income people. In a revised version of the bill, which included a compromise on Rubio's child tax credit expansion, Rubio voted for the package.
In other words, Lil’ Marco is saying “PLEEEAAASSEEE KOCHS, DON’T CUT ME LOOSE! I’m just trying to position myself as someone different for the post-Trump world even though I’d vote for the same regressive GOP agenda.”

No, there are no “good Republicans.” Let me remind you that every GOP in the Senate not named Bob Corker voted for this Piece of Shit, and 95% of Republicans in the House went along with it (including all 5 Republican Congressmen from Wisconsin).

There is no walking back from it, especially because the fiscal and economic issues were easy to identify at the time, and anyone who voted for that Piece of Shit must be forced to defend and own that vote this November (and beyond, in the case of the Senators).

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