United States – Grover Norquist, only in America!
The World Can Not Afford A Second Fiscal Cliff After Europe’s Failed Attempt
Multiple articles each day now expend ink, paper, and computer screen space that discuss the U.S. ‘fiscal cliff’ and its possible ramifications, almost as if it is something new and different. There is nothing new and different about it. Simply put, if existing legislation isn’t amended, that will give rise to U.S. tax increases and budget cuts.
From my perspective, the results of last Tuesday’s U.S. election do not give rise to a clear path to a less polarized Washington. Enter Grover Norquist, the Washington lobbyist who has succeeded in getting what was reported this morning in The World Can Not Afford A Second Fiscal Cliff After Europe’s Failed Attempt as 238 U.S. Congressmen to sign a ‘witnessed pledge’ that he or she will:
- “oppose any and all efforts to increase the marginal income tax rate for individuals and business”; and,
- “oppose any net reduction or elimination of deductions and credits, unless matched dollar for dollar by further reducing tax rates”.
I suspect the number of signatories to this ‘Norquist witnessed pledge’ is different from 238 Congressmen today. Mr. Norquist’s ‘Americans for Tax Reform’ website shows 279 ‘Incumbent Signers’ and 286 ‘Challenger Signers’, and as of this morning seems not to be updated for numbers of elected House and Senate members who have signed ‘the Pledge’ following last week’s elections. That said, the ‘Grover Norquist factor’ may play an important part in what have to be upcoming debates and negotiations over fiscal cliff issues. While one might say that:
- a Grover Norquist ‘politician signed pledge concept’ could gain traction ‘only in America’; and,
- Mr. Norquist might succeed in bringing influence to bear on his ‘pledge signatories’ in the next few weeks
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Ian R. Campbell——Bio and Archives
Ian R. Campbell, FCA, FCBV, is a recognized Canadian business valuation authority who shares his perspective about the economy, mining and the oil & gas industry on each trading day. Ian is also the founder of Stock Research Portal, which provides stock market data, analysis and research on over 1,600 Mining, Oil and Gas Companies listed on the Toronto and Venture Exchanges.
Note: The Commentary and information above is provided ‘AS IS’ and solely for informational purposes, not for trading purposes or advice.
