Thursday, October 4, 2012

Fact Checking Romney's Debate Claims


MITT ROMNEY’S TOP DEBATE LINES:

1. Romney said Obama is “cutting $716 billion from Medicare.” TRUE.
"The law made significant reductions to Medicare Advantage, a subset of Medicare plans ... the health care law scales back the payments... Hospitals, too, will be paid less if they have too many re-admissions...  [T]he CBO looked at the years 2013 to 2022 and determined the health care law affected Medicare outlays by $716 billion." Source: PolitiFact Oct 3, 2012
2. Romney said there are 23 million Americans out of work. TRUE.
"[O]fficial government job data.. counts 12.8 million people as unemployed... add in unemployed people who are not counted in that total... that number rises to just over 15.3 million... also count part-time workers who wish they were working full-time. That adds just over 8.2 million. Total: about 23.6 million." Source: CNN Aug 31, 2012
 3. Romney said there is no tax provision that gives companies a tax deduction for moving jobs overseas. TRUE.

Here is a great explanation on how there is no deduction for "moving jobs overseas" and how the deductions being described that way are really from a reduction in depreciation for selling facilities as is required under GAAP rules for accounting.
"Joint Committee on Taxation estimated that ending the deduction... would raise just $168 million over a decade.
In the federal government with an annual budget deficit of more than $1 trillion, that’s what you call a rounding error." Source: Washington Post Fact Check Oct 3, 2012
4. Romney said that Obamacare “puts in place an unelected board that's going to tell people ultimately what kind of treatments they can have.” TRUE.
"Just how will the IPAB work? [B]oard must propose spending cuts... cuts to providers such as doctors, device makers, and — after 2020 — hospitals... as Romney put it, “ultimately” hurt seniors, if providers respond to the cuts by skimping on care or dropping out of Medicare." Source: Washington Post Oct 3, 2012
5. Romney disagreed with Obama saying that Romney planned a $5 trillion tax cut over the next decade.” TRUE.
"The claim is based on a study done by the Tax Policy Center... The center estimated that altogether, the lost revenues would total $480 billion by 2015... [A]s Obama himself noted... the lost revenues [are offset] by closing loopholes and deductions." Source: PolitiFact Oct 3, 2012
6. Romney said incomes are down $4,300 since Obama took office. TRUE.
"[R]eal median household income in March was down $4,300 since Obama took office in January 2009." Source: Bloomberg May 1, 2012
7. Romney said he “…will not reduce the share (of taxes)” paid by high-income individuals.” TRUE.
"[A]s Obama himself noted... the lost revenues [are offset] by closing loopholes and deductions." Source: PolitiFact Oct 3, 2012
8. Romney said that Obama “...provided $90 billion in breaks to the green energy world” and that that figure amounts to 50 years’ worth of what oil and gas receives (in tax breaks).” TRUE.
"[B]ig oil companies have... subsidies that add up to a little more than $2 billion per year..." Source: US News & World Report Mar 29, 2012
Here comes some of that math Clinton and Obama like so much:  90 divided by 2 = 45, rounded to the nearest tens equals 50.

2 comments:

Political Dissent said...

Your post above is as incorrect as Romney's statements:

1) The $716 billion in Medicare cuts are planned future cuts. These cuts scale back the payments made to healthcare providers and insurers, not to seniors. The cuts in no way affect the individual recipients and to state otherwise or to try and spin it as such is just blatantly incorrect and only serves the purpose of misleading people.

2) Unemployment is, by definition, those individuals who do not have a job. As such, you cannot and should not count those who are employed part-time. If you are going to include this demographic, then why not just include people who are employed full-time but seeking a better job! The simple fact is, there are 12.5 million UNEMPLOYED people in this country. That number gets even lower when you subtract the number of people who have decided to go back to school instead of seeking employment.

3) There is a specific loophole that allows companies to deduct the expenses associated with moving jobs overseas. Below is how the nonpartisan Joint Committe on Taxation described it:

“Under present law, there are no specific tax credits or disallowances of deductions solely for locating jobs in the United States or overseas. Deductions generally are allowed for all ordinary and necessary expenses paid or incurred by the taxpayer during the taxable year in carrying on any trade or business, which includes the relocation of business units.”

Meaning companies are allowed to deduct from their taxes the cost of moving jobs overseas.

4) There is a IPAB board, but it's purpose is to curb the growing costs associated with health care. As the Washington Post, which quote, really puts it:

"On the surface, the IPAB appears aimed at doing the same thing as the House Republican Medicare plan — reducing the runaway costs of Medicare, except on a faster track. (The GOP plan would not kick in until 2021, just a few years before the Medicare hospital fund begins to run dry.)

The dispute really centers on a philosophical divide between the parties. Democrats would rely on independent experts (such as doctors and consumer advocates) to recommend the cuts; Republicans would rely on the insurance marketplace to control costs."

5) The $5 trillion figure comes from the fact that Romney has proposed to cut tax rates by 20 percent and eliminate the estate tax and alternative minimum tax. The nonpartisan Tax Policy Center says that would reduce tax revenue by nearly $500 billion in 2015, or about $5 trillion over 10 years

But Romney also has said he will make his plan “revenue neutral” by eliminating tax loopholes and deductions, although he has not provided the details.

The Tax Policy Center has analyzed the specifics of Romney’s plan thus far released and concluded that the numbers aren’t there to make it revenue neutral.

8) The math does not add up for this statement that Romney directed at Obama.

The president’s 2013 budget called for elimination of tax breaks for oil subsidies, which the White House estimated at $4 billion per year. Dividing $90 billion — the federal money that Romney claims went toward clean energy — by $4 billion in breaks for the oil industry amounts to 22.5 years, not 50 years.

It’s also worth noting that the $90 billion was not “breaks,” but a combination of loans, loan guarantees and grants through the stimulus program, and they were spread out over several years rather than one, as Romney claimed.

Furthermore, not all of the money went to the “green energy world.” About $23 billion went toward “clean coal,” energy-efficiency upgrades, updating the electricity grid and environmental clean-up, largely for old nuclear weapons sites. — Josh Hicks and Steven Mufson

Nice try at skewing the information and attempting to mislead people. As Clinton said, the problem with an ideology is you have to manipulate the evidence to support your perspective. You're perspective is obvious more about Republican politics and less about the actual truth!

And I dare you to allow this post to be displayed on your blog.

Anonymous said...

This exact thing is what is driving me crazy about this election, and politics in general: the average person CAN't FIND THE TRUTH. One side says this is true; the other side says no this is true. Which side or source is correct? The apparent conflict in facts leaves the voter wondering who is the right candidate with the right facts? Who really knows what is going on and what will help our country get better?