Robbing Hoods: Gang of Six Takes from Poor, Gives to Rich

Published on Friday, July 22, 2011 by Facing South

Gang of Six Takes from Poor, Gives to Rich

A look at the numbers

by Sue Sturgis

Under the Senate's so-called "Gang of Six"* debt plan unveiled this week, percent of deficit reduction that comes through spending cuts to social programs including health care, education and environmental protection: 100

The Gang of Six includes Republican Senators Saxby Chambliss of Georgia, Tom Coburn of Oklahoma and Mike Crapo of Idaho (in top row of photo, left to right), and Democratic Senators Kent Conrad of North Dakota, Dick Durbin of Illinois and Mark Warner of Virginia (in bottom row of photo, left to right).

Amount by which the plan cuts Medicare, the health care program for seniors, over a decade: at least $298 billion

Amount by which it would cut military benefit programs, such as health plans for soldiers and veterans: $80 billion

Portion of the immediate deficit reduction savings outlined in the proposal that would come from reducing Social Security benefits: 1/5

Under the plan, amount less per year the average Social Security recipient would receive at age 75: $560

At age 85: $1,000

Current top marginal income tax rate for the wealthiest Americans and most profitable corporations: 35%

Lowest rate to which that would be reduced by the Gang of Six proposal: 23%

Estimated amount in profits being held offshore by U.S. companies, which under the plan would see an end to taxation of most of their overseas profits: $1 trillion

Amount by which the Gang of Six plan claims to reduce deficits over the next decade: almost $4 trillion

Amount by which the plan would actually reduce revenue by 2021, compared to the Congressional Budget Office's current law baseline: $1.5 trillion

Number of weeks left to reach a deal before the U.S. could begin to default on its debt obligations: less than 2

© 2011 Facing South

Sue Sturgis is the Director and regular contributor to the Institute for Southern Study's online magazine, Facing South, with a focus on energy and environmental issues. Sue is the author or co-author of five Institute reports, including Faith in the Gulf (Aug/Sept 2008), Hurricane Katrina and the Guiding Principles on Internal Displacement (January 2008) and Blueprint for Gulf Renewal (Aug/Sept 2007). Sue holds a Masters in Journalism from New York University.