up is the new down

When referring to Obama's tax policy, Sarah Palin said in an interview with CNN:

"I'm not going to call him a socialist, but as 'Joe the Plumber' has said, it looks like socialism to him," she said of Joe "the plumber" Wurzelbacher.

The GOP ticket and their supporters have invoked Joe the Plumber numerous times ever since the Ohio man confronted Obama about his tax policy in an impromptu campaign moment.

Palin said Wurzelbacher is representative of "Jane the engineer and Molly the dental hygienist and Chuck the teacher."

Where do I start?

1) According to the ever reliable Wikipedia, "Economically, socialism denotes an economic system of state ownership and / or worker ownership of the means of production and distribution."

How exactly is a 3% increase on the top tax bracket a move toward state and/or worker ownership of the means of production and distribution? Do they consider Bill Clinton a socialist? Because this is the very plan he implemented in the 1990s, the decade that left us with surpluses as far as the eye could see.

2) Does she really believe that Jane the engineer and Molly the dental hygienist and Chuck the teacher are making more than $250,000 a year? Can you say "out of touch"?

3) Let's assume Joe the Plumber really was a licensed plumber, who really was seeking "to buy a company that makes" (his words) up to $280,000 per year (none of which turns out to be true). Under Obama's tax plan, Joe would see tax breaks not tax increases.

Obama's plan is to restore Bill Clinton's tax on people making $250,000 per year in personal income not in gross business receipts. Assuming Joe's new company has expenses and investments exceeding $29,999 per year, it is safe to assume Joe will not yield a personal income higher than $250,000. Therefore, he would see no tax increase under Obama's plan and would see a tax cut if he makes less than $250,000. In addition, as a small business owner, he would receive a 50% tax credit for each employee's healthcare costs and would pay no capital gains tax on business investments.

Lastly, and most importantly, his customer base would also see personal income tax breaks making them more able to afford his services.

The real Joe Wurzelbacher, who makes closer to $40,000 per year would net a personal income tax break under Obama that's three to seven times larger the one he would net under McCain.

So how is it that Sarah Palin is still holding up Joe the Plumber as an example of the "real American" the McCain/Palin campaign is trying to help? You got me. But then this is the same woman who when found to have abused her power by violating the Alaska Executive Branch Ethics Act said, "I'm very, very pleased to be cleared of any legal wrongdoing, any hint of any kind of unethical activity there."

Up is indeed the new down in Palin World.