McCain Proposes Tax Cuts, Curbs on Spending

In a speech timed to coincide with the deadline for filing federal income tax returns and to reach the media covering the Democratic primary, John McCain outlined his economic policies in Pittsburgh today.

McCain’s plan rejects the upper-class orientation of George Bush, embracing instead the populism and pro-growth policies of Ronald Reagan.

The Arizona senator’s tax plan calls for doubling the exemption for dependents from $3500 to $7000, establishing a simplified two-tier tax schedule, eliminating the alternative minimum tax, and suspending gasoline taxes over the summer. In addition, McCain would extend Bush’s tax cuts, reduce corporate taxes significantly, and give tax benefits to businesses for research and purchases of equipment.

In addition to these tax policies, McCain wooed working- and middle-class voters with the promise of readily available student loan funds, government-guaranteed mortgages for homeowners at risk of foreclosure, and a continuation of unemployment insurance for displaced workers.

In terms of government spending, McCain would freeze nonmilitary discretionary spending at current levels for one year while reviewing government programs for waste and fraud, increase Medicare premiums for wealthy retirees, veto any bill that includes earmarks.

McCain’s plan combines tax cuts with curbs on federal spending, a breath of fresh air compared to the irrationally expensive proposals of the two Democratic presidential hopefuls and the equally irrational Bush policy of cutting taxes while dramatically raising spending.

Newsprism finds McCain’s proposals substantive, centrist, and sensible, and therefore likely to be quickly overshadowed by the next irrelevant gaffe or contrived Bittergate.

Newsprism