Does Obama agree to avoiding tax increases?

In another of the reversals that have become common lately, the Obama administration has sent out mixed messages with regard to whether or not the President agrees to avoid the tax increases scheduled for next year. For the last three years Obama has been saying that there should be no increase for the middle class, but that the rich should not be protected from the acheduled increases. To Obama, the rich include any couple with income in excess of $250,000 per year. Before the election, when it became clear that the GOP would win a sizable victory, word leaked out that Obama was ready for a compromise that would permanently fix the tax rates for the middle class but which would only temporarily keep the rates for the rich from rising. Indeed, at his press conference on the day after election day, obama made clear that he was ready to compromise with the Republicans (who want no tax increases at all). Obama's position was not surprising since many of the Democrats in the House and Senate had come out against any tax increases in the current rates. Indeed, all three of the new senators who will take their places in the lame duck session have said that they want all current tax rates extended. After the election results, it is hard to believe that Obama's original position could have gained strength in the congress.

The latest developments are these: The Huffington Post reported that David Axelrod had told them that Obama was prepared to just extend all of the tax rates. This led to some consternation among the far left, so Axelrod then announced that Obama was not ready to agree to this course of action. Once again, confusion reigns.

Personally, I fully expect Obama to make a public announcement upon his return from Asia. If he is true to form, Obama will state to all Americans, "If you like your current tax rates, you will be able to keep them." Then Obama will immediately endorse a tax increase for the rich. After all, why would he start telling the truth now?

Inview of the confusion from the White House, however, I doubt that the lame duck session of Congress will pass any tax bill, and that will be a disaster. People need to know what their tax rates will be next year in order to plan their activities. Confusion on taxes will mean fewer new jobs for the unemployed. Sadly, obama's lack of clear leadership will once again hurt the economy and leave the American people to suffer.