During the first three years of the Bush administration, more than 3 million jobs in the U.S. have disappeared, been destroyed, dismantled, vanished. Not since the early years of the Great Depression of the 1930s has America experienced three consecutive years of net job destruction! Nor has any President since Herbert Hoover faced the prospect of leaving office with the economy having fewer jobs than when he entered.
The Bush recession began in March 2001 and was declared officially over in November 2001, six months later. Two major tax cuts, plus a series of additional corporate tax breaks, were enacted between mid-2001 and 2003 — tax cuts worth $2.1 Trillion — 80% of which went directly to benefit those with incomes over $147,000 a year!
American workers were promised at the time that these tax cuts were the answer to economic recovery and creating new jobs once again. It was Ronald Reagan's old 'trickle down economics' argument, brought out of the closet, dusted off, prepared for public consumption — but larger than ever before! Even a 'trickle' of that, a worker might argue, could produce significant improvements in jobs or wages. And that's not counting some share of the tax cut as well. But let's look at these two 'taxes and jobs' and how workers fared under George Bush the past three years.
To begin with, 84% of all taxpayers have incomes below $75,000. That's the American working class, the largest part of which earn between $40,000 and $50,000, and many more less than that. According to the Urban Institute, the tax cut in 2003 for workers in the $40-$50,000 median range amounted only to $380, and for those in the 50-$75,000 range, only $553.
In both cases, that's less than 1% of their annual income. In fact, with Bush's tax cuts half of all income tax payers had their taxes cut by less than $100. On the other hand, those with annual incomes more than $1 million received an average tax cut of $105,636 from Bush. That's more than 10% of their annual income. So much for benefits to workers from the tax cut. Let's look at jobs.