After quoting Doug Mataconis and citing the LATimes and Brad Plumer on Michele Bachmann and other conservatives skeptical about the payroll tax cut, Steven L. Taylor at Outside the Beltway concludes:
First, opposing cuts to payroll taxes undercuts several key Republican claims in regards to fiscal policy, including the notion that it’s “the people’s money, not the governments” and therefore any time you can let the people keep their money it is an unvarnished good.
Second, this then raises the potential that we can actually have a rational dialog* about taxes and spending, because if (as per Bachmann, Sessions and Price above) the payroll tax cut might not be worth the cost, then perhaps other tax proposals might should be evaluated in that fashion.
Third, I must confess, the GOP response to this particular tax cut does raise the issue of why they are in favor universally for tax cuts that help upper income earners, but lose their zeal for a tax cut that predominantly help lower income earners. Now, this may well be that the basis of the GOP economic theory, i.e., that only upper income earners can stimulate the economy. However, politically it will raise questions and opposition to the payroll tax cut will provide a line of attack for the Democrats.
One last thought: this entire debate should be a reminder to everyone that, yes, everyone pays taxes, even low income earners (contra those who like to cite only income taxes as taxes, such as in the infamous formulation: 47% of the population doesn’t pay taxes!).
Great points, each and every one of them!