CNN's Erin Burnett called out the truth-challenged Stephanie Cutter on the Obama campaign claims of a Mitt Romney $5 Trillion tax cut, saying that their fact-checkers show that the numbers don't add up.
Here's their exchange:
Erin Burnett: Stephanie, let me ask you about that. Because here at CNN, we fact checked that, that $5 trillion in tax cuts and we’ve come and said that’s not true. Mitt Romney has not promised that. because he’s also going to be closing loopholes and deductions. So his tax cut wouldn’t be anywhere near that size.
Stephanie Cutter: So you’re disputing the size of the tax cut? Or are you disputing also how he’s going to pay for it?
EB: We’re disputing the size.
SC: Erin, he has campaigned on lowering tax rates by 20% for everybody, including those in the top 1%. that was one of the main selling points in the Republican primary.
EB: So you’re saying if you lower them by 20% you get a $5 trillion tab, right?
SC: It’s a $5 trillion tab.
EB: But when he closes deductions he won’t be anywhere near $5 trillion. That’s our analysis.
SC: Well with, okay, stipulated, it won’t be near $5 trillion, but it’s also not going to be the sum of $5 trillion in the loopholes that he’s going to close.
I'm glad that there are finally some journalists who are finally calling the Obama campaign on some of the lies. Yes, I know. Both sides have been guilty of manipulating data throughout the years, But the sheer number of lies that Obama and his people have been able to get away with has been staggering. From shovel-ready jobs, to Libya, and now this, it appears that even some in the media may have had enough with cavalier attitude this Administration has when it comes to telling the truth.
One thing that Burnett does not challenge Cutter on is this myth that ALL tax cuts lead to reduced revenue to the government. This has been one of the most misunderstood things regarding how tax rates work. Lowering rates does not automatically equal less money coming into the government. At least over the long term. By the same token, raising rates does not equal long term increased revenue. When rates are lowered, entrepreneurs start businesses, companies expand, and more people are hired in the private sector. This influx of new jobs equates to more people paying taxes. Even at lower rates, when more people are paying into the system, tax revenues to the government increase. This explains how Reagan was able to lower tax rates from nearly over 70% down to 28%, which resulted in tax revenues to the government doubling. As Cutter so smugly says: "It simple math".
Kudo's to Erin Burnett and CNN for finally starting to step up to the plate and finally call Obama and his team on some of the crap they have been getting away with. We know that the freak show over at MSNBC won't.
Posted by Brian