I just saw this at Big Government. It is a good analysis of what must have been a very boring speech. You can find out more about the “framework” here. Of course the framework is nothing more than a load of crap that changes nothing and has the sole intention of ignoring the concerns of the TEA movement activists. It is nothing more than a Marxist solution on steroids.
I thought that our Marxist Prime Minister was bad enough with her rather stupid proposals but these proposals are even worse.
Here is an excerpt:
Called a “debt failsafe trigger,” Obama’s scheme would automatically raise taxes if politicians spend too much. According to the talking points distributed by the White House, the automatic tax increase would take effect “if, by 2014, the projected ratio of debt-to-GDP is not stabilized and declining toward the end of the decade.”
This approach goes well beyond what J.M.Keynes would have advised. In fact I doubt that Keynes ever advised anything so mad as this.
To refresh some memories of what Keynes advised:
1. during a time of war it may be necessary to raise taxes;
2. at other times lower taxes.
I will have to do another look-up on the Keynesian approach because yes he advocated temporary social security for the unemployed, and other things that are unpalatable to the pysche of people who want to provide for themselves. It is an approach that is problematical because it might be ok in the short term but not in the long term.