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Jan. 28, 2014 - Rush Limbaugh Program
36:46
January 28, 2014, Tuesday, Hour #2
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Greetings to you.
Music lovers, thrill seekers, conversationalists all across the fruited plain.
You are tuned to the nation's most intriguing radio talk show, the most talked about radio talk show, most talked about host, most misquoted and taken on a context host.
And a host having more fun and a human being should be allowed to have.
It's all combined here.
One harmless, lovable little fuzzball package.
The phone number, if you want to be on the program's 800-282-2882.
If you're on hold, please be patient because we're going to start making a dent in the phone calls here ill quico.
Really, if you're going to do a drinking game tonight, you know, we've often suggested this.
Drinking games, uh, pick a word.
Every time you hear the word, you gotta take a shot.
You gotta take a hit.
If you want to do this and stay sober tonight, you tell your group that you will only consume adult beverages every time you hear the word Wisconsin mentioned.
Because I guarantee you, ladies and gentlemen, you won't hear Wisconsin mentioned because you will not hear from the president tonight.
You will not hear him take note of anything that's actually working.
And Wisconsin is working.
You won't hear what the governor there is doing.
You will not hear what the governor is doing that has worked so well.
You won't hear about that tonight.
And I still say that I would love to see the Republicans now and then put their arms around women who are married to other men and take pictures of themselves.
Selfies, like Obama did at the Mandela Memorial.
Wouldn't that be I mean, that would that would that would just be so great.
They could guarantee themselves capturing the house, holding on to the house if they did that.
There's also a circumstance I'll explain to you later in the program where I think they can actually help themselves by getting up and walking out.
And I'm serious.
I know that'll never happen either, but I will splain that later as the uh as the program unfolds.
This New York Times piece, I mentioned this right for the uh end of the first hour.
I mean, you talk about a total disconnect.
This is live by the limbaugh theorem and die by the limbaugh theorem, which is to say that you cannot claim that you have nothing to do with the economy, and then turn around and try to take credit for it when it supposedly improves.
Which it hasn't.
Now, in certain places, it has.
Where fracking is going on, it's booming.
Where conservative governors are implementing conservative policies, it's booming.
But anywhere this country is being run by liberal Democrats, there is no economic recovery happening at all.
The welfare state's expanding.
The private sectors in those states and the nation at large shrinking.
And yet here comes the New York Times, Jackie Kalmus is the writer.
Story is Obama's puzzle.
Economy rarely better, approval rarely worse.
And they're troubled out there, and they're wringing their hands over the fact no matter where you look, Obama's personal polling numbers are tanking.
Uh not just about Obama personally, but but people's opinions about the future of the country.
Everything's tanking.
Obamacare, you name it, except in states where either economic activity, like the oil industry, fracking or Scott Walker, conservative governors uh overriding what's happening nationally.
There are pockets of exceptions to this.
President Obama will pronounce on the state of the coup for the fifth time tonight.
Never during his time in office has the state of the economy been better.
Even that, folks, that never during the time he's been in office has the state of the economy been better.
And yet rarely has he gotten such low marks from the public for his handling of it.
This is hilarious.
Never mind, this is still the worst economic recovery in the history of this nation.
And the reality is, I'm gonna tell you what the reality is he's not getting enough blame for this.
And they're sitting around here trying to figure out why he's not getting credit for a phantom recovery.
Let me explain it to you one more time.
You understand it.
I'm talking about, I'm gonna explain it here to the drive-bys.
The president has had an active behavior philosophy since he assumed office, and that is to appear to be not in charge, to appear to be not really governing, to appear to be not responsible for what's happening, to appear to be not accountable.
That's why Obama's constantly, for five years been on the campaign trail, acting as though he's running against what's happening in Washington, even though what's happening in Washington is by virtue of his pen, by virtue of his ideas.
This is the limbaugh theorem.
Obama escapes all accountability except the Times run out now.
Now he is being held accountable.
This philosophy, this idea practice can only work for so long.
And at some point there's got to be an uptick, and there isn't and hasn't been an uptick.
And now starting into year six, even low information peers.
Wait a minute.
How can this be Bush's fault?
Or what do you mean, Mr. President?
You're out there campaigning against what's happening in Washington.
You're you are Washington.
And you're out there talking about using executive powers and going around Congress.
So the reality is you can't claim to have nothing to do with the economy.
You can't claim to be a victim of invisible powerful forces trying to sabotage you every day.
You can't claim to be a victim of that and then turn around and try to take credit for the economy when it supposedly improves.
And I emphasize supposedly most of what uh Obama and the New York Times say about the economy is blatant hogwash in this story, as you would expect it to be.
Remember how Obama used to worry during the campaign that Romney would get elected and take credit for the economy turning around.
You remember that?
I have never forgotten that one of the things that Obama when I was telling his fundraisers at these little uh private party fundraising, one of the things he really worried about, he's trying to gin up his base.
He was trying to rev up the base.
He's worried, you know, if it really worries me that that Romney's gonna win the election, and our recovery is gonna kick in shortly after, and he's gonna get the credit for what we did, and we can't let that happen.
Because Obama predicted it would take off right after the election, this last past election.
Now here we are, 14 months since the election, and the economy still hasn't taken off, and nobody's worried about getting the credit for it.
Heck, even the New York Times can't make a convincing case that it is improving.
They just put it in the headline.
Now, Ron Fournier, this is this is kind of curious to me.
Ron Fournier, the former Bureau chief AP, White House correspondent, now at the National Journal, he has been somewhat and occasionally hypercritical of Obama in recent months.
He's got a piece out today.
And he says the problem is you, Barack.
It's not Rush Limbaugh, and it's not Fox News.
Now he doesn't specifically say that, but that is his point.
A pen, a phone, and a flailing president.
The White House's problem might not be strategies, might not be tactics.
It might be Obama himself.
And he cites here a Democrat strategy memo confirming the Obama critique, distant, unfocused, communications are poor, somebody who is not engaged, distant in meetings before the disastrous health care rollout.
All the things that have been learned.
That Obama didn't know this and he didn't know that.
And Fournier is simply remembering all of that.
Hey, you can sit there and you can blame all these other people, but the problem is you, and the problem is your White House.
Now, if Fournier had this published in the New York Times, it would make the rest of the media.
As such, it will remain buried.
There's an NBC News Wall Street Journal poll that has the drive-bys panicked.
Just 31% say they are better off since Obama.
39% say it's gotten worse since Obama.
31% say the country is better off.
A deep pessimism continues to fuel the national mood.
Most respondents, and by the way, this 31%, this is the NBC Wall Street Journal poll that 31% is probably closer to 25, because they always goose their results.
And on the eve of Tuesday's state of the coup address, more than six in ten Americans say the nation is headed in the wrong direction, and 70% are dissatisfied with the economy.
And it's against this backdrop that the president makes his state of the coup address tonight, and it's going to focus on immigration reform, inequality, uh, the minimum wage, you know, all of the go-to issues that the Democrat Party constantly retreats to when they're in trouble.
To rouse the dependence class, to rouse the welfare state, to rouse and rile up and awaken their base.
Washington Post headline, Democrats hope Obama's state of the coup speech will be the start of a populist agenda.
They hope that what Obama's going to do is actually break away from class warfare.
And Democrats in this story quoted as suggesting that the Democrats need to get away from bread and butter issues and go to bread and butter issues, and less of this talk about inequality.
Stop talking about income inequality, stop talking about welfare state, stop talking about unfairness and all that.
So I think the Democrats outside the beltway, well, inside the beltway too, I think to whatever.
In looking through their prism of electability, they think things are in a mess and in trouble.
But you have to understand this too.
These are true believers.
They really believed that everything Obama was going to do was going to create a utopia.
They really believe this stuff.
When Pete Singer sang, they bought it all.
Peter Paul and Mary sing it too, they buy it all.
They thought this was all going to create a utopia.
They thought Obama was going to be universally loved.
They thought they were being set up for lifetime rule over Washington, D.C. This, and these people live and die by polls.
They do not make direct connections with individual voters.
The only way they are in touch with public moods and attitudes is by virtue of polls and then the occasional election.
So they only know you by what you say to pollsters.
And they look at these latest polls and they are apoplectic about it.
It wasn't supposed to be this way.
They think the Republicans are the absolute best enemy they could have.
Nobody likes them.
They're the biggest villains in the world.
By virtue of that alone, people ought to be willing to make Obama king, in their view.
But it isn't working that way.
American people, and I to me, this is very uplifting positive stuff, frankly.
As we have sat around for years now and wondered, are we losing the country?
And we and and when would they realize how long it was going to take them?
The power of the presidency is an amazing thing to average Americans.
The occupant of that office is given latitude, leeway, time.
It takes a long time for people on their own to sour on a president.
It took the media how many years to get them to sour on Bush?
Six.
Between four and six.
How many years did it take them to get the media to sour on Nixon?
Before Watergate.
They hated Nixon from day one.
They were unable to sour the people on Reagan.
But they tried.
To you and I, it's been obvious since about the first week that we were headed for disaster.
And then the Tea Party figured it out and formed in 2000 uh 2010.
And we've been wondering when are the people of this country going to figure it out, and why haven't they figured it out?
And that is why I came up with the limbaugh theorem to explain it, because Obama actually has positioned himself as to be unaccountable.
He's not responsible for it.
He hates it too, is what people thought.
Look at he's always out there.
He's talking about how bad the job market, he's working hard on that, and he's upset about income inequality, and he's upset about health care.
He's working so hard to fix it.
People give the president the benefit of the doubt much longer than any other elective office.
There's that reverence and respect for it.
And we've been saying, how long is it going to take people to see this guy?
And it looks like we knew once they did, there'd be no coming back from it.
You know, live by the media, die by the media, live by polls, die by polls, live by the limbaugh theorem, die by the limbaugh theorem.
Once the bloom was off the rows, we knew once Obama was seen for who he really is, once he lost this uh massive messianic appeal, that's not the kind of thing that they could b get back.
The Democrats have always thought they could get it back.
They can't.
And now they're they're non-plussed.
So this is why they're urging Obama.
Just screw it.
Just just use executive orders and use executive privilege and use executive actions and use executive to hell with it.
Just do it.
We're running out of time.
Just do it.
Nobody's gonna stop you.
Just do it.
They would love to do it with popular support for it.
They know they don't have it, so now it's ramming down our throats time.
To the phones we go, and we're gonna start in uh New Providence, uh in Rhode Island, I guess.
Bob High, great to have you on the EIB network, sir.
Hello.
Hi, uh uh Rush, I'm very glad to talk with you.
Uh first of all, that's New Providence, New Jersey.
I'm sorry.
Well, I had to guess because but still, this is the the uh the socialist utopia of New Jersey is another way to look at it.
We're blessed with the highest taxes in every category, income sales, real estate, debt, you name it, we pay it.
Yeah, and it's not helping them with traffic jams, is it?
Uh who would runs the caucuses on the second.
But anyway, the the main thing is that I I think when you're talking about the taxes, you're leaving a couple of things out with the football players like Pate Manning and so on and so on.
Wait a minute now.
Be very careful telling me that I've left things out.
What did I leave out?
Uh you left out the fact that whatever tax he pays in New Jersey, he gets a credit on his Colorado tax rate, or his Colorado tax return, not to the full amount of the New Jersey tax, but a prorated share based on the rate in Colorado, which is 4.63, and New Jersey, which is 7.97.
So in Colorado, he will get something like 52 percent of whatever he pays to New Jersey as a credit against his Colorado return.
Well, no, I don't but let me finish.
If you look at any Washington State player, there's no income tax in Washington State.
So in Washington State, if they win, whatever they pay in New Jersey, they pay, period.
They get no credit in the state of Colorado.
Exactly.
But I did I did mention that the jock tax, the players there is an accounting made in their home state for the state paid in the state they're working.
I didn't get into the detail of the percentages that you did, but I did I missed that.
Yeah, I did mention it.
But it but I I I the rate I've got here is you said 7.9 in New Jersey rate I've got is 8.9.
I'm sorry, eight it's eight point nine seven I'm sorry, eight point nine seven in New Jersey.
Okay, well hang on just Bob hang hang on just a second.
I gotta take a break here and I've got a couple more things I want to ask you about don't think you're finished I said.
Meeting and surpassing all audience expectations every day El Rushbow and the Limbaugh Institute for advanced conservative studies back now to Bob in New Providence, New Jersey.
Were you through making your point we ran out of time there and I Well yeah you know I more or less was but I I think I would just make a couple of other wrap up points and that is that number one I do have some sympathy for the players and the tax that they have to pay but they use tax advisors, they use CPAs, they have they really have a lot of help in trying to at least maintain a logical level of taxes that they're paying.
The bigger issue really is the residents in the state of New Jersey where we're on our own.
Now we've had Governor Christie as governor for four years.
He's into his fifth year our taxes have gone up.
Now they he says they haven't gone up but they've gone up my property tax have gone up thirteen percent since he's been governor.
That's on a gross basis but it really went up by about 25 percent when you take out the we've not getting property tax rebates anymore.
Let me ask you a question about pay.
Let's go back to Manning because he's the example used in the story.
If they win the Super Bowl Manning will make ninety two grand.
Yes.
Now did you hear me say that their paydays end the last week of the regular season.
Once the playoffs start they're not making any money.
That's correct.
They only earn whatever they win per playoff game and get by losing one.
I think in a wild card round if you lose you get nothing.
But anyway the Super Bowl game by itself is ninety two grand.
It doesn't I don't think that counts the uh the the previous rounds where they've won.
So it's $92,000.
Now the way this has been calculated for Peyton Manning to owe fifty seven thousand dollars there obviously whoever calculated this including earnings in New Jersey this year beyond the Super Bowl not necessarily now again the answer is it all depends.
If he retires immediately after the Super Bowl game then he only worked in New Jersey for 33 days which would be the month of January and two days in February and he made himself a whole lot of money.
Wait, wait, wait, wait, wait.
He had he didn't get to New Jersey until Sunday night.
He admitted Uh I think they're going to count the entire month of January.
No they don't do that.
No no they can't in fact I'll tell you let me use me I it's a per diem I have to tell the State of New York the number of days that I was working in the state earning income and it's just those days that I am required to pay taxes on.
Now I haven't been to New York and work in four years and they audit me every year anyway.
So he doesn't have to pay four that that would be outrageous.
My question to you is going to be do you think that these jock taxes are even legit?
Why should Pate Manning doesn't live in New Jersey why should he have to pay anything to New Jersey just because he happened through he had no choice.
He has to go there.
Is it legit no I don't believe it is but at the same time there are 41 states that have an income tax on out of state residents and in state residents there are seven taxes with or seven states with no income tax Washington State being one of them and there are two states that just tax interest and dividends that would be New Hampshire and Tennessee.
Right.
But if you take the the way the taxes are applied, it's not just as simple as saying only the days you worked in the state.
The way New York and New Jersey do, and I believe most other states with an income tax do the same thing.
They take the number of days that you worked in the state divided by the number of days you worked for the entire year any place.
And the number of days for that denominator is going to be 365 minus weekends off, holidays.
It's 250 days, basically.
And all that stuff.
It's 250 days, they calculate.
No, no, you and you and I might work 250 days, but somebody who's a a football player might only work 80 days, 100 days a year when you take training camps, games, it's and so on.
So that his denominator is smaller, it makes the numerator have a more powerful impact in how that allocation is going to be to a given state.
And it again, I'm not going to tell you that I know exactly how the jock tax works precisely, but I'm talking about the New York and New Jersey.
It's very common for people to live in New Jersey, work in New York.
And we go through this.
It's a back and forth back.
That's a whole different thing.
Yeah, yeah, yeah.
That's a whole different thing.
That that's that's but that that doesn't that doesn't describe Peyton Manning.
It doesn't describe any of the other jocks.
I mean, he lives in fact I actually think I'm I uh I think he maintains his residence still in Indianapolis, to be honest with you, but I don't I don't know that for sure.
But but if he does, then then Ohio, uh I'm sorry, Indiana is going to be the base state, and whatever their max tax rate is, it'll the he he will see he'll be taxed on the city.
Well, but he's gonna be paying taxes, he's gonna be paying taxes in Colorado.
He's gonna be paying taxes in Indianapolis and now New Jersey, and every other state that he's gone to.
Every other state, but every dollar of tax he pays in any state where he is not a resident, all those dollars are.
Right, he gets a credit, but you just explained he gets shafted on the credit.
Uh he gets shafted on the credit because New Jersey at 8.97 and Colorado, if he lived in Colorado, which is 4.63, that means that every dollar, if he pays uh $10,000 to New Jersey, he only gets a credit for $5200 in his home state.
Right.
Well, here is here's the money quote from the Forbes piece they got a list started.
If Manning is able to play next season, his New Jersey income tax would be forty-six thousand dollars, I'm rounding it up on ninety-two thousand dollars for winning the Super Bowl, or fifty one point zero eight percent.
If they lose, and he plays this year, later this season, he will pay New Jersey forty-six thousand dollars, forty-six thousand eight hundred and forty-four dollars on the forty-six thousand he will earn.
If the Broncos lose, Peyton Manning will owe the state of New Jersey more money in tax than he will earn from the game if Denver loses.
That amounts to a 101.83% tax on his actual Super Bowl earnings in the state, and this does not even consider federal taxes.
So the Forbes calculation was specifically based on Manning not retiring.
Now, if you want to add even more to this, in the just concluded season, which is the tax year 2013, for which everybody has to file by April 15th of this year, both the Seahawks and the Broncos played the Giants in New Jersey.
So he's already been to New Jersey once last year, and has already or will have to pay taxes in New Jersey for that trip.
And that tax rate will be based on his $15 million annual salary.
Now he was in New Jersey for two days.
Actually 36 hours.
The visiting team will arrive at four o'clock in the afternoon on Saturday, they'll play the game on Sunday and then hightail it back home.
So that's a length of time he's in the state.
It's considered a full working day, I'm sure.
So whatever he what prorated per game, New Jersey's gonna get their take of it for that day.
Seahawk, same Thing.
But as you say, the Seattle players owe the state of Washington nothing because there's no state income tax there.
I've I've always thought this was weird when I was first exposed to it.
Uh and I first told what it was going to cost me per day to go back to New York to work after I left.
I'll tell you, folks, I I uh since I learned what I know about income taxes, they really do influence the way I live.
And I can't tell you how that frustrates friends of mine in California.
I can't tell you.
You know, you are you you are tax phobic.
And I said, I'm not tax phobic, I'm just tax smart.
And well, why don't you get a place out here?
I mean, you love coming out here, and we love having you out here.
Why don't you get a place out here for like five months or four months a year?
Because I don't want the state of California to find out I'm there.
Because that's just going to be another agency auditing me left and right, and I don't want to give them the money.
So I I I my lifestyle, the way uh where you know where I determine that I will go is indeed affected by taxes.
Now I'm sure some of you people are saying, and I wouldn't blame you if you are.
Well, wait a minute, you can afford it.
Not the point.
To me, it's principle.
I disagree with it, and if I don't have to pay it, I'm not going.
I'm not, I'm not going to sit here.
Uh when I when I weigh the two things, how much enjoyment, fun, whatever do I get, going to New York and working for a couple days versus not going there and not having to pay taxes.
And given what the that stupid previous governor has said, I mean, why would I want to spend any time in New York when the governor there has basically applauded my leaving?
And the current governor has made it clear that he doesn't want any conservatives in his state.
Why should I go make myself a target of these people?
I already am one.
So I am one, and I'm I don't know, uh probably more extreme about this than most other people.
Most people probably don't care about it.
Just have the accountant figure it out, send the money and all with it and don't even think about it.
But I do, because it's a matter of principle to me.
And I so I I pay uh attention to this kind of stuff, and it just it irritates me that these football players are going to owe the state of New Jersey money whether they win or lose.
I'm sure some of you disagree.
Well, Rush, they're in the state when they're earning it, and the state should get their take.
Yeah, but the state isn't paying them.
And they have no choice in this case but to go there.
It's a job requirement and this kind of thing.
And but Rush, they get a credit for it.
Yeah, but as explained, sometimes the credit's not fully offset.
It ends up costing the money based on all the different criteria.
Then look at how much you got to pay the accountants and lawyers to keep you legal and all this.
After you do all that, that's why I love home.
No, I'm t people telling me, hey, did you see what Obama just said?
Do you see his tribute to Pete Seeger?
I said, don't surprise me.
Pete Seeger is a god that he's I'm telling you, Pete Seeger, this folk singer stuff.
I mean, he may as well be Yelinski Jr., I guarantee you.
Well, uh, I don't guarantee.
I'm just gonna tell you, if there is a moment of silence for Pete Seeger tonight at the state of the coup, I will not be surprised.
This is a deeply meaningful passing to people on the left.
Here's uh here's Dan in Clark Summit, Pennsylvania.
Great to have you on the EIB network.
Hi.
Hey, Rush, thank you for taking my call to the honor to speak with you.
You bet.
Uh Rush, I just wanted to say this minimum wage issue.
Um I see it coming down the line.
They're gonna be out there appealing to everyone's emotion.
They want to raise the minimum wage, and if you're against it, then you hate poor people.
The the thing is, Milton Freeman always said, the Nobel Prize winning economists, no single law has caused more poverty or hurt more people than the minimum wage law, because what it does is it artificially prices unskilled labor out of the workforce.
So I think the Republicans need to call Obama's bluff.
I think that we should say that we want to raise it to 30 or 50 or something ridiculous, and let them explain why we shouldn't.
Well, you know, I have often used that very trick in discussion with leftists and Democrats.
And what happens is this you eventually will get to a dollar figure minimum wage per hour that they will even say, no, that's too much.
And at that point, you've got them.
Exactly.
Because then they say, well, why why if if if if $25 an hour is okay, why is $50 too high?
Well, you can't pay somebody to know what they're doing.
$50.
At some point, it doesn't matter.
It changes in purse to person.
But right now Obama's pushing what for $10 an hour minimum wage.
Why not make it 15, Mr. President?
I've heard $15.
I think it was in Seattle or somewhere they had they're passing a law.
It has to be $15 an hour.
And that's $31,000 a year.
And and yeah, that'd be good.
Okay, well, how about $20?
Oh, yeah, even better.
How about well, let's let's get serious here.
How about $25 an hour minimum wage?
Yeah, and finally you'll read a point reach a point where they say it's too much, and at that point you say, well, wait a minute, why is that too much?
And they start explaining, and then you own them.
At that point, you have won the argument that the minimum wage is artificial and phony and is destructive.
But what you know Milton Friedman was one of my uh idols, uh one of those brains I wish I'd had.
And unfortunately, what you said at the very beginning in quoting Friedman that it is the single greatest destructive thing in pricing.
What did you describe it?
What kind of labor?
Unskilled labor.
Unskilled labor.
Do you realize how few people understand it?
To most people, the minimum wage, it's the that's right.
The reason the Democrats go back to it and go back to it is because it works.
Uh at tugging people's heartstrings.
It makes an emotional connection.
Everybody wants the poor to have more.
Everybody wants the poor to do better.
And if essentially me and you and everyone else.
Yeah.
So when you do it is to tell employers this is the minimum you can pay someone, because then if someone's value as a laborer is less than that number, they cannot be employed.
Unless it's through charity.
You and I know that, but people don't look, they look at the minimum wage as a welfare benefit.
And they look at businesses' unwillingness to pay it as selfishness and greed.
They're not this is I I'm I'm probably I hope I'm wrong about this, but the number of people who even understand the concept of the way Milton Friedman explains it, it makes total you know, economics is is is one of the simplest, most complicated subjects that you can encounter.
It is it is it's intimidatingly tough to understand until somebody who understands it can explain it to you logically, and then it all makes perfect sense.
And the minimum wage, as you say, is basically unskilled, unexperienced labor.
Now we want people like that in the job market because we want them learning, and we want them getting experience.
We want them learning to show up.
We want them learning the requirements of responsibility and achievement and following through on the work and advancing.
Um for the government or any other entity to place an artificial value on that labor is totally gumming up the market.
The people that hire those people know what those jobs are worth.
And if, as you say, that kind of worker is not worth $10 an hour, he's not going to be hired.
Absolutely and so it's self-defeating, but which perpetuates unemployment and which allows the Democrats to keep coming back to it and to keep portraying business owners as greedy and selfish and unfeeling and no compassion and all of that.
And that's why they benefit from it, is because they they play off of people's lack of understanding of uh you know labor, skilled labor, uh job market uh all these nefarious things.
My fear of your theory is if you suggested, as the Republicans suggested to Obama to make it 30 that he'd go for it.
That he'd take it just like that.
And come back with why not forty and still make the Republicans look like the cheapskins.
Those of you running OS ten Mavericks, 10.9 Mavericks, we just sent out a Safari push notification from Rush Limbaugh.com.
Just to let you know, it's simply alerting you to something of note that I said on the program today that is now clickable at Rush Limbaugh.com.
I love this idea.
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