Obama needs to go big or something

Going big means immediate action to boost the economy, even though this will increase the short-term deficit. His proposals to continue the payroll tax cut, extend unemployment insurance and enact patent reform are good, but they are not enough…

Obama should not be shy about urging eventual tax increases, particularly on the wealthy. And let’s be clear: These would not be immediate tax hikes; they’d kick in a year or two from now.

Any plausible plan should include at least $2 trillion to $2.5 trillion in new revenue over a decade. Obama, who loves to quote financier Warren Buffett, should follow Buffett’s lead on this. Writing in the New York Times last week, Buffett proposed that “for those making more than $1 million — there were 236,883 such households in 2009 — I would raise rates immediately on taxable income in excess of $1 million, including, of course, dividends and capital gains. And for those who make $10 million or more — there were 8,274 in 2009 — I would suggest an additional increase in rate.”…

World leaders came together in 2009 and stopped the slide toward depression. Obama should take the lead in bringing them together to act in concert again.