Moneybox

House GOP Prepares To Surrender on Payroll Tax Extension

For months now, fully extending stimulative tax cuts into 2012 has been held hostage to Republicans’ moronic insistence that it be “paid for” with spending cuts even though not paying for the cuts is a large part of the point of doing fiscal stimulus. Democrats, however, didn’t counter with my analysis—instead they offered their own rival set of pay-fors in an effort to play “who can misunderstand the issue more” or something. Now, however, it looks like the House GOP is ready to cave and just enact the extension. If Democrats have the good sense to take yes for an answer, then this’ll be another sign that Recovery Winter is on track.