I have seen some diaries on the Republican "immigration proposal" to allow foreign immigrants graduating from a US univeristy to get a green card. The law passed the House last week as the Republicans opening move to show their concern for "other ppeople". What may have passed notice is that buried in the bill is the classic Republican give a little with one hand and take a lot with the other - meet me below
The Wall Street Journal had a little side bar on the bill in its "Money and Investing" Section. The salient point jumped right out:
parts of it would be funded using an increase in the fee Fannie Mae and Freddie Mac charge to guarantee mortgages. This isn't the first time Congress used (these fees) as a revenue source. In late 2011, the fees were raised to help pay for the payroll-tax-cut extension
Fannie Mae and Freddie Mac fees are a regressive tax. Fannie Mae describes its role as:
Fannie Mae's mission is to help ensure that working families have access to mortgage credit to buy homes they can afford over the long term
Freddie Mac will only buy loans up to $417,000 in much of the country; $625,500 in high cost areas - not the 1% home loans.
Republicans always talk about any revenue increase as a "tax". So, to get the revenue for the Republican plan, they are perfectly happy to tax low and middle class home buyers - just leave high income earners alone. Place greater burdens on the real estate market for the vast majority of the real estate buying public to keep som income tax rates low.
How typical