Biden discussed President Obamas plan to raise the top two marginal tax rates. If that were to occur, the economy would create 710,000 fewer jobs, according the accounting firm Ernst & Young. Jobs would suffer badly because, even though the Vice President said only 3 percent would pay those higher rates, those 3 percent are the biggest, most successful small businesses that do all the hiring. The Ernst & Young study found the Obama tax hike would devastate jobs because those businesses that would pay the higher rates employ 54 percent of the private workforce.
On the other hand, tax reform like Governor Mitt Romney and Ryan propose would lower rates to encourage growth and do so without reducing revenue or shifting the tax burden from high income taxpayers to middle income families. Even the Tax Policy Center, which is the group Obama and Biden cite to criticize the Romney tax plan, does not claim the Romney plan would reduce revenue never mind by $5 trillion.
Curtis Dubay, Senior Policy Analyst, Tax Policy, Thomas A. Roe Institute for Economic Policy Studies
On the other hand, tax reform like Governor Mitt Romney and Ryan propose would lower rates to encourage growth and do so without reducing revenue or shifting the tax burden from high income taxpayers to middle income families. Even the Tax Policy Center, which is the group Obama and Biden cite to criticize the Romney tax plan, does not claim the Romney plan would reduce revenue never mind by $5 trillion.
Curtis Dubay, Senior Policy Analyst, Tax Policy, Thomas A. Roe Institute for Economic Policy Studies
