Two versions: McCain's Speech: McCain Unveils $52.5 Billion Economic Rescue Plan
John McCain is proposing the elimination of taxes on unemployment benefits, among other measures.
elections.foxnews.com
FOXNews.com
Tuesday, October 14, 2008
John McCain rolled out his own economic rescue plan Tuesday aimed at encouraging investment and providing relief to seniors and the unemployed -- his latest bid to inspire confidence in voters that he is the candidate to stabilize the turbulent economy.
The Republican presidential nominee's $52.5 billion plan would eliminate taxes on unemployment benefits -- a measure that could affect 3.6 million Americans who receive such benefits, according to the campaign.
If the government eliminated taxes on unemployment benefits, recipients would see an increase on average of nearly 10 percent, the campaign said.
The campaign is also proposing reducing the tax rate on retirement accounts to 10 percent on the first $50,000 withdrawn. The campaign estimated it would affect 9 million people over the age of 60.
McCain's plan would also cut the capital gains tax in half, to 7.5 percent, for the next two years.
McCain was formally rolling out his plan at a campaign rally in Blue Bell, Pa., just one day before the final presidential debate. He had previously proposed using $300 billion in federal economic rescue money to buy up and renegotiate cumbersome mortgages directly from homeowners.
But Barack Obama's campaign swiftly rebuked McCain for not proposing enough measures for the middle class Tuesday.
"John McCain's latest gambit is a day late and 101 million middle-class families short," Obama spokesman Bill Burton said in a statement. "Senator McCain also shows how little he understands the economy by offering lower capital gains rates in a year in which people don't have an awful lot of capital gains.
"His trickle-down, ideological recipes won't strengthen our economy and grow our middle-class, but Barack Obama's pro-jobs, pro-family economic policies will," he said.
Obama's economic plan announced Monday called for suspending the tax on unemployment benefits as well as extending benefits. The Democrat also proposed allowing people to withdraw up to $10,000 from their retirement accounts without any penalty this year and next, a 90-day moratorium on home foreclosures at some banks, and a two-year tax break for businesses that create new jobs.
McCain's proposal comes as Republican campaign veterans say he needs to do more than just criticize Obama in an economic environment that favors Democrats. Recent polling shows Obama with an edge on which candidate can do a better job handling the economy.
Obama leads in enough states to be within reach of the 270 Electoral College votes needed for victory while McCain is being forced to defend Republican turf where polls show the race close.
That's partly because of Obama's well-funded onslaught of TV ads and extensive network of field troops registering and canvassing voters; McCain trails on both fronts.
The Associated Press contributed to this report.
88888888888888
John McCain to unveil new economic measures
latimes.com
2008oct15,0,6800882.story
From the Los Angeles Times
By Maeve Reston
Los Angeles Times Staff Writer
5:38 AM PDT, October 14, 2008
PHILADELPHIA -- Seeking to address the economic woes of American families in this final stretch of the campaign, John McCain will unveil new economic measures today in Pennsylvania that would include slashing the top tax rate on capital gains in half -- a move the campaign hopes will help stimulate the shaky economy.
McCain's new proposals, some of which are targeted toward seniors facing retirement, come just three weeks before the election and on the eve of the final presidential debate between the Republican candidate and Democratic opponent Barack Obama at Hofstra University in Hempstead, N.Y. They are part of McCain's effort to right his campaign and regain voters' trust in his handling of the economy, an area in which more voters favor his opponent.
McCain's standing in the race has been hit hard by the nation's economic crisis, and there was new evidence of that trend in polls this morning from Quinnipiac University. Obama is now leading McCain in Colorado, Michigan, Minnesota and Wisconsin by significant margins, according to the poll conducted for the Wall Street Journal and washingtonpost.com.
McCain's campaign released limited details of his new "pension and family security plan" several hours before he will deliver an economic speech in Blue Bell, Pa., late this morning.
McCain will call for reducing the maximum tax rate on long-term capital gains by half from 15% to 7.5% in 2009 and 2010 -- a proposal his campaign hopes would restore liquidity to the markets.
In a measure aimed at seniors, he will call for taxing withdrawals from IRA and 401(k) accounts at 10%, the lowest rate, this year and next year. His campaign estimated that the proposal -- which would only apply to up to the first $50,000 withdrawn -- would give some 9 million seniors more flexibility with their retirement funds.
His campaign also put forward a new proposal to eliminate taxes on unemployment insurance benefits for Americans who were making less than $100,000 -- the tax suspension would be for 2008 and 2009.
McCain's economic advisor Douglas Holtz-Eakin said the new package's price tag would be $52.5 billion over two years.
McCain has already called for suspending rules that require seniors to sell their stocks at age 70½ in the midst of a financial crisis -- to avoid forcing them to sell at a time when their assets may be worth less.
The new measures McCain will talk about today in Pennsylvania would build on his recent proposal to use $300 billion of the government's $700-billion rescue package to buy up bad mortgages, resetting the terms more favorably for struggling homeowners. Obama castigated that proposal as a bailout for irresponsible lenders.
On Monday in Toledo, Obama outlined his own $60-billion package that included new tax credits for companies that create full-time jobs, a 90-day moratorium on home foreclosures and a relaxation of rules that would allow families to withdraw up to $10,000 from their retirement savings without penalty.
According to the new polls, Obama is leading McCain by 9 percentage points in Colorado and by 11 points in Minnesota. In Michigan, where McCain recently announced he would pull out to focus on other battlegrounds, Obama leads McCain 54% to 38%. In Wisconsin, where McCain campaigned last week, Obama edges McCain 51% to 37% in polling conducted after their second debate. |
