It's now time for both sides to compromise.
For U.S. House Speaker John Boehner to say that increased taxes on the wealthy will cost 700,000 jobs is very difficult to accept. For the last 30 years the income gap between the middle class and the wealthy has been widening steadily. The only way I see to partially close that disparity gap is to increase taxes on the wealthy. I do not believe that a wealthy business owner, whose taxes are increased, will then let go some of his work force to compensate for the increased taxes. Such action defies logic and good sense.
The Democrats need to recognize that Medicare, being the greatest deficit problem, needs to be addressed and made more revenue neutral. My wife suggested a $20 co-pay each time a Medicare person visits the doctor or the hospital. Such a co-pay would not be that burdensome and it would very much help with the Medicare deficit. Additionally, it would reduce frivolous visits to see a doctor.
Tax reform must be a high priority item and both the president and the speaker acknowledge that. In my opinion, as a starter, we should do away with the mortgage interest deduction. People will continue to want to own a home whether or not they can take a mortgage deduction. The tax code is much too difficult for most taxpayers to understand and needs to be drastically simplified.
Lee R. Pitzer