Arthur Brooks: 80% of the new fiscal cliff revenues will go to Obama’s wealthy cronies
Think about that. 80% of the new revenues that the government will collect as a result of the fiscal cliff deal will go to Obama’s wealthy corporate cronies. I wonder what Obama’s low-information voters, to whom I referred yesterday, would think of that. Brooks, Joe Kernen and the rest of the Squawk Box crew discuss a few other things as well, including how meaningless this fiscal cliff exercise was in terms of actual deficit reduction. Click the image below to watch. It’s eye-opening.
Arthur Brooks, president of the American Enterprise Institute, discusses the fiscal cliff deal on CNBC’s “Squawk Box.”
JOE KERNEN: The fiscal cliff fight’s over, a battle that is still looming large. Our guest host today is Arthur Brooks, president of the American Enterprise Institute, author of “The Road to Freedom.” Arthur, I want to just start just quickly with you. OK, your point — and we were talking about it in welcome, it’s good to see you — out of the $62 billion, we’ve got a trillion dollar deficit, this raises how much in revenue? $62 billion or so?
BROOKS: About $62 billion a year, $620 billion over 10 years.
KERNEN: Your work is that $50 billion out of $62 billion is to corporate cronies?
BROOKS: Yeah, the first two years, $100 billion is going to corporate cronies, payoffs to corporate clients of the government effectively. And all kinds of crazy stuff: algae producers, rum producers.
KERNEN: Renewable crap.