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Rep. Jim Jordan: ‘I Don’t Know If I’d Be Willing’ To Extend Tax Cuts For 95 Percent, Even With Cuts For Rich


As Congress considers extending the Bush tax cuts, Republicans have made it explicitly clear that they are prepared to go to the mat to extend the cuts for the wealthiest Americans. Now, White House officials are floating the possibility of including an extension of the so-called “Obama tax cuts” — middle-class cuts included in the economics stimulus package — as part of any larger tax deal. These cuts, such as The Making Work Pay tax credit, which reduced payroll taxes on 95 percent of working families, will expire in January unless Congress acts.


Asked about this potential deal yesterday by Fox News host Neil Cavuto, Rep. Jim Jordan (R-OH), who sits on the Budget Committee, suggested that congressional Republicans would not be willing to extend these middle-class tax cuts — which he called “much less effective” — even if the Bush cuts for rich are also extended:


CAVUTO: I know that extending it for everyone. But even if it included this provision that the White House, I guess, is now pushing?


JORDAN: Oh, the Making Work Pay and the tax credit? I think those are not near as effective, but I’d be willing to look for that if we keep all the Bush tax cuts in place


CAVUTO: So that’s what they just did. I think they offered you a negotiating point. And you would be willing to take it?


JORDAN: I have not seen that. Well, I don’t know if I would be willing to take it. I’d be willing to look at it.


Watch it:



Congressional Republicans have already been holding hostage the Bush tax cuts for those making less than $250,000 a year, threatening to let all Americans’ taxes go up if the cuts for wealthiest two percent are not extended as well. Yesterday, “Republicans were furious” that the House passed an extension of just the Bush cuts for the middle class, and Senate Minority Leader Mitch McConnell (R-KY) has threatened to filibuster a similar bill in the Senate.


But Jordan’s comments yesterday bring the GOP’s brinkmanship in defense of the rich to a new level. The Making Work Pay credit boosted paychecks for 110 million families and were “designed exclusively as a middle-class benefit.” These cuts only applied to payroll taxes, meaning people had be employed and earning a living to enjoy them. Yet these too will apparently be taken hostage so the rich can get their share.


And Jordan is wrong in suggesting these cuts were “not near as effective” as the Bush tax cuts for the rich. As the Center for American Progress’ Michael Ettlinger noted, the Bush tax cuts simply “didn’t deliver” on their promise to stimulate the economy. “The economy did not add a single new job during three years under the Bush tax cuts.” However, as Center on Budget and Policy Priorities’ Chuck Marr explained about the Obama tax cuts, “Most people may have no idea they received it and no idea that it’s going away. But what you can be certain of is that they’ll have less money and they’ll spend less — and this is a terrible time for the economy to lose $60 billion of spending.”





You wanna know what the mother of all bubbles was? Us. The human race.”


That’s Gordon Gekko in the distinctly-mediocre Wall Street: Money Never Sleeps.


This weekend brought a rush of stories about a “bubble” that may or may not be re-inflating in Silicon Valley. The New York Times kicked it off, venture capitalist Fred Wilson (who is featured prominently in the story) quickly responded, and then Newsweek weighed in just to make sure the “Bubble 2.0″ moniker was secure. Uh oh, right? Not so fast.


One giant nugget of information in the NYT piece (co-written by TechCrunch alum Evelyn Rusli) is a bit buried:


For starters, this is not a stock market bubble. None of the companies are publicly traded.


In other words, if this “bubble” were to pop, it wouldn’t be the mothers and fathers of the world hoping to put their children through school who would be getting screwed. It would be the private investors. It would be a handful of (mostly) rich people who would be out of some of their money.


I suppose the employees of the collapsing startups could also be screwed somewhat. But they’d undoubtedly find work again quickly. And the founders would start new companies. Just like after the first bubble.


Business Insider has a good rundown of the actually public tech companies — you know, the kind mom and pop can and do actually invest in. The consensus there? Pretty wonderful, actually. Not over-the-top outrageous, just very solid for the most part.


Now, that doesn’t mean a “Bubble 2.0″ couldn’t pop and adversely affect the overall ecosystem. In fact, I’m sure it would to some extent, mainly because less money coming in would mean less innovation across the board. But it wouldn’t cause everything to collapse.


We all just lived through a very real bubble. The housing bubble. The results of it popping almost completely brought down not only our own economy, but much of the world’s economy as well. Real people lost their life savings. People went to jail. More people should have been locked up forever. It’s almost insulting to mention this supposed new web bubble in the same breath as that.


Again, this “Bubble 2.0″, if it does exist, is mainly just troublesome for investors. Smaller angel investors, in particular, are getting squeezed out of deals because early stage valuations are getting ridiculously high in some cases.


Undoubtedly it’s true that some of those startups should not be accepting so much money at such valuations, but that’s on them. If they fail, it will be a lesson to other startups. Maybe the motto is: go big and go home (at least in the early stage).


Another underlying current here is that many private investors aren’t comfortable with the state of the startup ecosystem. And yet many of them continue to do deals that they may not be comfortable with. Again, that’s on them. They’re all doing due diligence. If they don’t think a deal is worth it, they obviously shouldn’t do it. But some don’t seem to be able to turn down their name being attached to a high-profile investment — even if projections have it panning out to be a 2x exit. (The horror!)


Maybe some of them would actually be more comfortable investing in what Wilson calls “The Mess“. That is, startups in their awkward years. They’re neither new and sexy nor mature and money-making. Not surprisingly, no one seems to want to invest in those, besides current investors. But maybe those are where some deals are to be found.


In the press, there are two kinds of sexy stories to write: over-exuberance and death. We just got done with a week’s worth of over–exuberance surrounding the Google/Groupon deal. Holy shit, $6 billion dollars for a company that has only really been at it for a little over a year? That’s awesome! Let the good times roll.


The deal ultimately fell apart and in came the death stories. There needs to be balance in the world, after all. We know this just as well as anyone. The $6 billion Groupon deal made web investing as hot as the sun for a few days. And now it’s a bubble.


But wait. “Bubble 2.0″ has existed before. Here it is in 2005 — with Wilson worrying about some of the same things he’s still worried about. And here it is again in 2007 — with John Dvorak worrying that social media among other things would pop the bubble. And wasn’t it for sure a bubble later that year when Microsoft invested in Facebook at a $15 billion valuation? I was sure I heard that over and over and over again. Turns out, that was a pretty damn awesome investment, strategic or not.


There are dozens of other examples as well.


So maybe this is actually “Bubble 4.0″ or “Bubble 5.0″. Or maybe it’s not a big bubble at all. After all, if it pops and gum gets over only a few faces, will anyone do anything other than point and laugh, then go on with their lives?


[image: 20th Century Fox]




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Rep. Jim Jordan: ‘I Don’t Know If I’d Be Willing’ To Extend Tax Cuts For 95 Percent, Even With Cuts For Rich


As Congress considers extending the Bush tax cuts, Republicans have made it explicitly clear that they are prepared to go to the mat to extend the cuts for the wealthiest Americans. Now, White House officials are floating the possibility of including an extension of the so-called “Obama tax cuts” — middle-class cuts included in the economics stimulus package — as part of any larger tax deal. These cuts, such as The Making Work Pay tax credit, which reduced payroll taxes on 95 percent of working families, will expire in January unless Congress acts.


Asked about this potential deal yesterday by Fox News host Neil Cavuto, Rep. Jim Jordan (R-OH), who sits on the Budget Committee, suggested that congressional Republicans would not be willing to extend these middle-class tax cuts — which he called “much less effective” — even if the Bush cuts for rich are also extended:


CAVUTO: I know that extending it for everyone. But even if it included this provision that the White House, I guess, is now pushing?


JORDAN: Oh, the Making Work Pay and the tax credit? I think those are not near as effective, but I’d be willing to look for that if we keep all the Bush tax cuts in place


CAVUTO: So that’s what they just did. I think they offered you a negotiating point. And you would be willing to take it?


JORDAN: I have not seen that. Well, I don’t know if I would be willing to take it. I’d be willing to look at it.


Watch it:



Congressional Republicans have already been holding hostage the Bush tax cuts for those making less than $250,000 a year, threatening to let all Americans’ taxes go up if the cuts for wealthiest two percent are not extended as well. Yesterday, “Republicans were furious” that the House passed an extension of just the Bush cuts for the middle class, and Senate Minority Leader Mitch McConnell (R-KY) has threatened to filibuster a similar bill in the Senate.


But Jordan’s comments yesterday bring the GOP’s brinkmanship in defense of the rich to a new level. The Making Work Pay credit boosted paychecks for 110 million families and were “designed exclusively as a middle-class benefit.” These cuts only applied to payroll taxes, meaning people had be employed and earning a living to enjoy them. Yet these too will apparently be taken hostage so the rich can get their share.


And Jordan is wrong in suggesting these cuts were “not near as effective” as the Bush tax cuts for the rich. As the Center for American Progress’ Michael Ettlinger noted, the Bush tax cuts simply “didn’t deliver” on their promise to stimulate the economy. “The economy did not add a single new job during three years under the Bush tax cuts.” However, as Center on Budget and Policy Priorities’ Chuck Marr explained about the Obama tax cuts, “Most people may have no idea they received it and no idea that it’s going away. But what you can be certain of is that they’ll have less money and they’ll spend less — and this is a terrible time for the economy to lose $60 billion of spending.”





You wanna know what the mother of all bubbles was? Us. The human race.”


That’s Gordon Gekko in the distinctly-mediocre Wall Street: Money Never Sleeps.


This weekend brought a rush of stories about a “bubble” that may or may not be re-inflating in Silicon Valley. The New York Times kicked it off, venture capitalist Fred Wilson (who is featured prominently in the story) quickly responded, and then Newsweek weighed in just to make sure the “Bubble 2.0″ moniker was secure. Uh oh, right? Not so fast.


One giant nugget of information in the NYT piece (co-written by TechCrunch alum Evelyn Rusli) is a bit buried:


For starters, this is not a stock market bubble. None of the companies are publicly traded.


In other words, if this “bubble” were to pop, it wouldn’t be the mothers and fathers of the world hoping to put their children through school who would be getting screwed. It would be the private investors. It would be a handful of (mostly) rich people who would be out of some of their money.


I suppose the employees of the collapsing startups could also be screwed somewhat. But they’d undoubtedly find work again quickly. And the founders would start new companies. Just like after the first bubble.


Business Insider has a good rundown of the actually public tech companies — you know, the kind mom and pop can and do actually invest in. The consensus there? Pretty wonderful, actually. Not over-the-top outrageous, just very solid for the most part.


Now, that doesn’t mean a “Bubble 2.0″ couldn’t pop and adversely affect the overall ecosystem. In fact, I’m sure it would to some extent, mainly because less money coming in would mean less innovation across the board. But it wouldn’t cause everything to collapse.


We all just lived through a very real bubble. The housing bubble. The results of it popping almost completely brought down not only our own economy, but much of the world’s economy as well. Real people lost their life savings. People went to jail. More people should have been locked up forever. It’s almost insulting to mention this supposed new web bubble in the same breath as that.


Again, this “Bubble 2.0″, if it does exist, is mainly just troublesome for investors. Smaller angel investors, in particular, are getting squeezed out of deals because early stage valuations are getting ridiculously high in some cases.


Undoubtedly it’s true that some of those startups should not be accepting so much money at such valuations, but that’s on them. If they fail, it will be a lesson to other startups. Maybe the motto is: go big and go home (at least in the early stage).


Another underlying current here is that many private investors aren’t comfortable with the state of the startup ecosystem. And yet many of them continue to do deals that they may not be comfortable with. Again, that’s on them. They’re all doing due diligence. If they don’t think a deal is worth it, they obviously shouldn’t do it. But some don’t seem to be able to turn down their name being attached to a high-profile investment — even if projections have it panning out to be a 2x exit. (The horror!)


Maybe some of them would actually be more comfortable investing in what Wilson calls “The Mess“. That is, startups in their awkward years. They’re neither new and sexy nor mature and money-making. Not surprisingly, no one seems to want to invest in those, besides current investors. But maybe those are where some deals are to be found.


In the press, there are two kinds of sexy stories to write: over-exuberance and death. We just got done with a week’s worth of over–exuberance surrounding the Google/Groupon deal. Holy shit, $6 billion dollars for a company that has only really been at it for a little over a year? That’s awesome! Let the good times roll.


The deal ultimately fell apart and in came the death stories. There needs to be balance in the world, after all. We know this just as well as anyone. The $6 billion Groupon deal made web investing as hot as the sun for a few days. And now it’s a bubble.


But wait. “Bubble 2.0″ has existed before. Here it is in 2005 — with Wilson worrying about some of the same things he’s still worried about. And here it is again in 2007 — with John Dvorak worrying that social media among other things would pop the bubble. And wasn’t it for sure a bubble later that year when Microsoft invested in Facebook at a $15 billion valuation? I was sure I heard that over and over and over again. Turns out, that was a pretty damn awesome investment, strategic or not.


There are dozens of other examples as well.


So maybe this is actually “Bubble 4.0″ or “Bubble 5.0″. Or maybe it’s not a big bubble at all. After all, if it pops and gum gets over only a few faces, will anyone do anything other than point and laugh, then go on with their lives?


[image: 20th Century Fox]




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Researchers create a lightfoil that can push small objects sideways.

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Sarah Palin isn't running…for one job at least. She doesn't appear to be a candidate to Chair the Republican National Committee. The Note, authored by ABC News' Rick Klein, covers politics, the White House, Congress, Democrats, ...



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Sarah Palin isn't running…for one job at least. She doesn't appear to be a candidate to Chair the Republican National Committee. The Note, authored by ABC News' Rick Klein, covers politics, the White House, Congress, Democrats, ...



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Rep. Jim Jordan: ‘I Don’t Know If I’d Be Willing’ To Extend Tax Cuts For 95 Percent, Even With Cuts For Rich


As Congress considers extending the Bush tax cuts, Republicans have made it explicitly clear that they are prepared to go to the mat to extend the cuts for the wealthiest Americans. Now, White House officials are floating the possibility of including an extension of the so-called “Obama tax cuts” — middle-class cuts included in the economics stimulus package — as part of any larger tax deal. These cuts, such as The Making Work Pay tax credit, which reduced payroll taxes on 95 percent of working families, will expire in January unless Congress acts.


Asked about this potential deal yesterday by Fox News host Neil Cavuto, Rep. Jim Jordan (R-OH), who sits on the Budget Committee, suggested that congressional Republicans would not be willing to extend these middle-class tax cuts — which he called “much less effective” — even if the Bush cuts for rich are also extended:


CAVUTO: I know that extending it for everyone. But even if it included this provision that the White House, I guess, is now pushing?


JORDAN: Oh, the Making Work Pay and the tax credit? I think those are not near as effective, but I’d be willing to look for that if we keep all the Bush tax cuts in place


CAVUTO: So that’s what they just did. I think they offered you a negotiating point. And you would be willing to take it?


JORDAN: I have not seen that. Well, I don’t know if I would be willing to take it. I’d be willing to look at it.


Watch it:



Congressional Republicans have already been holding hostage the Bush tax cuts for those making less than $250,000 a year, threatening to let all Americans’ taxes go up if the cuts for wealthiest two percent are not extended as well. Yesterday, “Republicans were furious” that the House passed an extension of just the Bush cuts for the middle class, and Senate Minority Leader Mitch McConnell (R-KY) has threatened to filibuster a similar bill in the Senate.


But Jordan’s comments yesterday bring the GOP’s brinkmanship in defense of the rich to a new level. The Making Work Pay credit boosted paychecks for 110 million families and were “designed exclusively as a middle-class benefit.” These cuts only applied to payroll taxes, meaning people had be employed and earning a living to enjoy them. Yet these too will apparently be taken hostage so the rich can get their share.


And Jordan is wrong in suggesting these cuts were “not near as effective” as the Bush tax cuts for the rich. As the Center for American Progress’ Michael Ettlinger noted, the Bush tax cuts simply “didn’t deliver” on their promise to stimulate the economy. “The economy did not add a single new job during three years under the Bush tax cuts.” However, as Center on Budget and Policy Priorities’ Chuck Marr explained about the Obama tax cuts, “Most people may have no idea they received it and no idea that it’s going away. But what you can be certain of is that they’ll have less money and they’ll spend less — and this is a terrible time for the economy to lose $60 billion of spending.”





You wanna know what the mother of all bubbles was? Us. The human race.”


That’s Gordon Gekko in the distinctly-mediocre Wall Street: Money Never Sleeps.


This weekend brought a rush of stories about a “bubble” that may or may not be re-inflating in Silicon Valley. The New York Times kicked it off, venture capitalist Fred Wilson (who is featured prominently in the story) quickly responded, and then Newsweek weighed in just to make sure the “Bubble 2.0″ moniker was secure. Uh oh, right? Not so fast.


One giant nugget of information in the NYT piece (co-written by TechCrunch alum Evelyn Rusli) is a bit buried:


For starters, this is not a stock market bubble. None of the companies are publicly traded.


In other words, if this “bubble” were to pop, it wouldn’t be the mothers and fathers of the world hoping to put their children through school who would be getting screwed. It would be the private investors. It would be a handful of (mostly) rich people who would be out of some of their money.


I suppose the employees of the collapsing startups could also be screwed somewhat. But they’d undoubtedly find work again quickly. And the founders would start new companies. Just like after the first bubble.


Business Insider has a good rundown of the actually public tech companies — you know, the kind mom and pop can and do actually invest in. The consensus there? Pretty wonderful, actually. Not over-the-top outrageous, just very solid for the most part.


Now, that doesn’t mean a “Bubble 2.0″ couldn’t pop and adversely affect the overall ecosystem. In fact, I’m sure it would to some extent, mainly because less money coming in would mean less innovation across the board. But it wouldn’t cause everything to collapse.


We all just lived through a very real bubble. The housing bubble. The results of it popping almost completely brought down not only our own economy, but much of the world’s economy as well. Real people lost their life savings. People went to jail. More people should have been locked up forever. It’s almost insulting to mention this supposed new web bubble in the same breath as that.


Again, this “Bubble 2.0″, if it does exist, is mainly just troublesome for investors. Smaller angel investors, in particular, are getting squeezed out of deals because early stage valuations are getting ridiculously high in some cases.


Undoubtedly it’s true that some of those startups should not be accepting so much money at such valuations, but that’s on them. If they fail, it will be a lesson to other startups. Maybe the motto is: go big and go home (at least in the early stage).


Another underlying current here is that many private investors aren’t comfortable with the state of the startup ecosystem. And yet many of them continue to do deals that they may not be comfortable with. Again, that’s on them. They’re all doing due diligence. If they don’t think a deal is worth it, they obviously shouldn’t do it. But some don’t seem to be able to turn down their name being attached to a high-profile investment — even if projections have it panning out to be a 2x exit. (The horror!)


Maybe some of them would actually be more comfortable investing in what Wilson calls “The Mess“. That is, startups in their awkward years. They’re neither new and sexy nor mature and money-making. Not surprisingly, no one seems to want to invest in those, besides current investors. But maybe those are where some deals are to be found.


In the press, there are two kinds of sexy stories to write: over-exuberance and death. We just got done with a week’s worth of over–exuberance surrounding the Google/Groupon deal. Holy shit, $6 billion dollars for a company that has only really been at it for a little over a year? That’s awesome! Let the good times roll.


The deal ultimately fell apart and in came the death stories. There needs to be balance in the world, after all. We know this just as well as anyone. The $6 billion Groupon deal made web investing as hot as the sun for a few days. And now it’s a bubble.


But wait. “Bubble 2.0″ has existed before. Here it is in 2005 — with Wilson worrying about some of the same things he’s still worried about. And here it is again in 2007 — with John Dvorak worrying that social media among other things would pop the bubble. And wasn’t it for sure a bubble later that year when Microsoft invested in Facebook at a $15 billion valuation? I was sure I heard that over and over and over again. Turns out, that was a pretty damn awesome investment, strategic or not.


There are dozens of other examples as well.


So maybe this is actually “Bubble 4.0″ or “Bubble 5.0″. Or maybe it’s not a big bubble at all. After all, if it pops and gum gets over only a few faces, will anyone do anything other than point and laugh, then go on with their lives?


[image: 20th Century Fox]




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Facebook Profile Changes: More Media Play Than <b>News</b>?

Facebook sure has arrived when it comes to the traditional media set as it used 60 Minutes (in more ways ...

Light Can Generate Lift - Science <b>News</b>

Researchers create a lightfoil that can push small objects sideways.

Sarah Palin Passes On RNC - The Note

Sarah Palin isn't running…for one job at least. She doesn't appear to be a candidate to Chair the Republican National Committee. The Note, authored by ABC News' Rick Klein, covers politics, the White House, Congress, Democrats, ...



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Facebook Profile Changes: More Media Play Than <b>News</b>?

Facebook sure has arrived when it comes to the traditional media set as it used 60 Minutes (in more ways ...

Light Can Generate Lift - Science <b>News</b>

Researchers create a lightfoil that can push small objects sideways.

Sarah Palin Passes On RNC - The Note

Sarah Palin isn't running…for one job at least. She doesn't appear to be a candidate to Chair the Republican National Committee. The Note, authored by ABC News' Rick Klein, covers politics, the White House, Congress, Democrats, ...



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Facebook Profile Changes: More Media Play Than <b>News</b>?

Facebook sure has arrived when it comes to the traditional media set as it used 60 Minutes (in more ways ...

Light Can Generate Lift - Science <b>News</b>

Researchers create a lightfoil that can push small objects sideways.

Sarah Palin Passes On RNC - The Note

Sarah Palin isn't running…for one job at least. She doesn't appear to be a candidate to Chair the Republican National Committee. The Note, authored by ABC News' Rick Klein, covers politics, the White House, Congress, Democrats, ...



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