No More Higher Taxes

Front page of the WSJ today talks about so called "McCainomics" put forth by Senator McCain. Taxes are always front and center in the race for the presidency. McCain wants to ensure that tax rates do not go up from their current positions, but in order to do that there must be substantial spending cuts from the government. Luckily McCain is a hawk on government spending shown through his policies while the senator of Arizona and will probably reduce the budget deficit if elected to the presidency. However, will this be enough? I don't think so because the gap is huge and his proposed actions on paper may add up, but will be a lot harder to push through Congress. For example he wants to get rid of the AMT, but doing so is very complicated because it creates a large deficit for the federal government. Even an attempt to modify the AMT will be costly for Washington because they have to get there money. Get ready for higher taxes.

Source: WSJ
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