Trumka: All we need is to raise taxes to create jobs

posted at 2:00 pm on February 27, 2011 by Bruce McQuain

If ever there was an example of the complete cluelessness much of the left commonly displays when it comes to economic matters, the AFL-CIO’s (and Obama advisor) Richard Trumka provides it:

What’s the best way to get Americans back to work?

Raise taxes, according to AFL-CIO President Richard Trumka. Specifically, he wants to raise the federal gas tax as a means to fund infrastructure spending. “We need a dedicated source of revenue to create infrastructure in this country,” he tells Aaron Task in the accompanying clip.

“We need to create jobs. The best way to do that is through infrastructure development.” Simply maintaining the existing infrastructure in this country will cost $2.2 trillion over five years, according to the American Society of Civil Engineers. That doesn’t include Obama’s objective of high-speed rails and green energy projects.

So, to sum up, raise one of the most regressive taxes there is (it hits the poor the hardest at the gas pump because they end up having to pay a larger portion of their disposable income for gasoline) and declare this will help “create jobs”.

What it will actually do, if that were to occur, is create more union jobs. And if the poor have to cut back on food or shelter, well, you know, a few eggs have to be cracked to make an omelet.   The key to economic recovery, per Trumka, is government created jobs with money taken from taxpayers who just might have a much different priority for it.  It calls for another “new revenue stream”.  And he has no qualms at all laying claim to your dollars to fund his nonsense.

Trumka didn’t say specifically how much he would raise the gas tax, but mentioned he’s shown the President a $256 billion plan to improve infrastructure.  If every billion spent on infrastructure creates 35,000 jobs, as he claims, this package would create close to 9 million jobs over the next five years.

The idea would also improve America’s fiscal and competitive future, says Trumka. “There’s also a downstream effect, you put people back to work, they pay taxes, they don’t use services, they’re contributing, other jobs are created along the way as well,” he explains.

Fantasy.  A) it is, as usual, the left’s answer to everything – tax and spend.  Someone tell Mr. Trumka that it is precisely that mindset that the majority of Americans have rejected.   B) it assumes something not in evidence.  We just spent over $800 billion on “infrastructure” – look around you, did you see the unemployment rate dip significantly or go up?  C) after the stimulus was spent there has apparently been no down-stream effect for jobs, service use is up and tax revenue is down.

If Trumka’s solution had any credibility, unemployment would be down below 8% (that was the promise, remember – spend the money on infrastructure and see jobs created) and we’d be riding the recovery train.  We have a million little signs up everywhere in America right now touting infrastructure projects – and the unemployment rate?

In fact, what Trumka is doing is asking for more to be spent on a plan that has already failed miserably and expecting different results.  Isn’t that the definition of “insanity”?

That’s precisely what this plan is – insane.  Government has wasted trillions on nonsense like this.  The solution to this isn’t government creating jobs.  It is private industry doing so.  That requires low taxes and a stable business atmosphere where government hasn’t declared war on business and corporations.  That requires less government, not more – something the Richard Trumkas and Barack Obamas of the world can’t quite seem to get through their heads.  In their world, government is always the answer.   Unfortunately, we’re living in their world right now.

Happy with it?

Are you better off now than you were 4 years ago?

Bruce McQuain blogs at Questions and Observations (QandO), Blackfive, the Washington Examiner and the Green Room.

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I really hate the idea of going down this road, but I’m becoming more and more wary that our economy is purposefully being subverted. These guys can’t possibly be this moronic…

lynncgb on February 27, 2011 at 8:25 PM

Isn’t that the definition of “insanity”?

Again with Einstein’s flip insult of Quantum Mechanics?

Count to 10 on February 27, 2011 at 8:28 PM

Medieval doctors insisted that bleeding patients would improve their health. If that didn’t work, bleed them some more. If they died, they weren’t bled enough.

Meet Dr. Trumka and Obama…

karl9000 on February 27, 2011 at 8:28 PM

Count to 10 on February 27, 2011 at 8:28 PM

It has been done to death, hasn’t it?

MJBrutus on February 27, 2011 at 8:31 PM

lynncgb on February 27, 2011 at 8:25 PM

Scary that it just might be stupidity.

dogsoldier on February 27, 2011 at 8:46 PM

To paraphrase a remark from one of Winston Churchill’s early campaigns,”A society attempting to tax its way to prosperity is like a man trying to lift himself by standing in a bucket and pulling up on the handle!”
Says it all for me!

Lew on February 27, 2011 at 10:16 PM

Well, if Mr. Trumka would make public his tax returns thereby showing that he has paid greater than the required amount of taxes for his gross income (not adjusted), then I would be willing to consider his suggestion.

I feel safe saying this, as most liberals have plenty of tax shelters and other creative means to avoid paying any tax. So, you first!

jackal40 on February 27, 2011 at 10:56 PM

Only idiots believe raising taxes makes jobs. All Liberals believe it. So that means that all Liberals are idiots. But we already knew that.

old war horse on February 28, 2011 at 12:52 AM

What it will actually do, if that were to occur, is create more union jobs.

Apparently Trumka needs to make the siphon bigger. The siphon which sucks up tax dollars into unions dues which go to payoff politicians to expand the siphon

I have a hard time dealing with phonies from the AFL-CIO talking about making jobs, when they support amnesty which locks in about 20 million jobs to people from other counties in return for a voter registration card

The unions have found a two tiered solution in the new caste syste. They have ‘union workers’ to get the gravy jobs with special work rules, and protected benefits, and they want the green card workers to do the fruit picking and toilet cleaning in return for food stamps, Wick cards, and a chance to vote themselves more benefits out of the tax revenues

entagor on February 28, 2011 at 3:44 AM

A Nobel Prize in economics can’t be too far off for this Joe Stalin wannabe.

nimrod on February 28, 2011 at 5:50 AM

Trumka makes Paul Krugman look like a Nobel Prize winning economist.

Wait a minute . . .

BigAlSouth on February 28, 2011 at 6:49 AM

“We need to create jobs. The best way to do that is through infrastructure development taking your money away from you.”

olesparkie on February 28, 2011 at 7:07 AM

The photo associated with this article is sooooo appropriate. Hide behind anyone or program that insist raising taxes is essential or required to get U.S. out of the bind we are in.

MSGTAS on February 28, 2011 at 9:09 AM

Interesting, the Chamber said the same thing in 2009 and I don’t remember anyone getting upset about it?
I wonder why it’s news this time?
“”Do it! Just damn do it” I believe is what Tom Donohue was quoted as saying.

greataunty on February 28, 2011 at 5:26 PM