Sen. Rand Paul (R-KY) opened today’s Cashin’ In by promoting his plan to rescue Detroit. Host Eric Bolling introduced Paul by saying, “A beam of bright light is emerging from the right. This is an exclusive interview you’ll only see right here on Cashin’ In.” Even though the segment was called the “Hot Seat,” Bolling nodded in agreement most of the time. Some hot seat.
Paul explained his plan - which looks a lot like tax cuts for the rich. He said, “This is a free market plan to rescue Detroit. We don’t rescue Detroit by taking money from Houston or Atlanta and bringing it to Detroit. We rescue Detroit by leaving more money in Detroit.” He said he would “dramatically lower taxes in Detroit. Bring the corporate income tax down to 5%, the personal income tax down to 5%. Make the capital gains tax zero. Take the payroll tax, bring it down for the employee and the employer, and the amazing thing is, without bringing in any new money to Detroit, just leaving money in Detroit, is over a billion dollars that would stimulate Detroit’s economy.”
Bolling said, “So basically a flat tax at different levels, but flat nonetheless.”
“Absolutely," Paul agreed. "Flat and very low. We also look at regulations and we try to get rid of some of the onerous regulations that is making it very expensive for city government and for businesses to locate in Detroit.” He said it could be “the model for how you rescue cities across the country, but also any impoverished area.”
Bolling, not surprisingly, used the segment to bash President Obama. He asked, “Where has Obamanomics failed Detroit?”
Paul replied, “The President says, 'Let me tax Houston, send it to Washington, and then I’ll pass it out to some other part of the country.' But by doing so, he picks the winners and losers. …Too often, this becomes sort of a crony capitalism where the government takes money from somebody else who is succeeding in business and then gives it to somebody who they think might succeed in business. …What our plan does is, we don’t pick who the money goes to, the consumer does.”
Bolling said approvingly, “Sounds a lot like, I don’t know, capitalism." Then he prodded for more attacks on Obama: “Senator, President Obama promised not to let Detroit go bankrupt. …Did the President lie?”
Rand thought so. He continued, “Democrats are always promising you something but not coming through with the promise. Republicans are promising a real solution.” He wanted a “free market stimulus where the money gets in the hands of those businesses that can use it successfully to create new jobs.”
At the end of the interview, Bolling gave Paul the stamp of approval. “The economic freedom plan, the zone, the plan sounds great.”
In August, Jason Easley at Politicususa described Paul’s plan “as tax cuts for the rich and union busting for everyone else.” Easley also cited the results of a 2012 study finding that tax cuts don’t lead to economic growth.
Maybe Paul’s plan doesn’t sound so great. But there wasn’t a word of challenge from the host.