Long Beach Mayor Bob Foster, a Democrat, on Thursday released a statement in support of President Obama’s decision to extend tax cuts for the rich.
The Mayor’s statement follows:
No one should underestimate the negative impact of incessant political debate on private sector hiring decisions. Is this framework perfect? No, but President Obama made a tough decision that cuts taxes for workers and provides significant investment incentives for business. Make no mistake, we are still in for a long slog but this agreement puts money back into the hands of taxpayers and provides a measure of certainty for business that sets the stage for resurgent hiring and continued growth in 2011.
Obama has been widely criticized for bowing to pressure from Republicans who refused to budge on the issue, insisting that tax cuts instituted under President Bush for those earning more than $250,000 annually should not be allowed to expire on January 1, 2011. The President says that the goal was to extend unemployment benefits and tax cuts for the middle class and that tax cuts for the rich were simply a necessary concession.
After overwhelming Republican victories in the recent November elections, Obama promised to extend his hand across party lines, but his fellow Democrats say that the decision will prove too costly, and that it lays a blueprint for Republicans to get what they want in the future. Tax cuts for the rich will be up for debate again in two years.