With time running out for Washington to act before the deadline on the Fiscal Cliff, President Barack Obama is taking his message for Congressional Republicans to extend the Bush tax cuts for everyone but the rich to American public.
The president arrived Friday to a K'NEX toy manufacturing company in Hatfield, Pa. to a crowd of roughly 350 to talk about the need for Congress to come together and agree on a way to avoid the fiscal cliff in order to spare potentially devastating tax increases that would hurt middle class Americans.
President Obama's trip comes one day after Treasury Secretary Timothy Geithner met with congressional leaders to show them a plan to avoid the cliff that would create $1.6 trillion in higher taxes over the next decade, but maintaining the George W. Bush-era tax cuts for the middle class.
However, Republicans rejected that offer, and the Republican National Committee have labeled President Obama's public appeal campaign on the cliff as an election-style ploy, according to USA TODAY.
What is the Fiscal Cliff?
Since the conclusion of the Nov. 6 election, Republicans and Democrats have gone back and forth over how to steer clear the fiscal cliff- -which would result after last year's temporary payroll tax cuts and tax breaks for businesses and tens of millions of Americans expire on Jan. 1. In addition billions of dollars of federal spending cuts across-the-board would occur because Congress last year could not agree on a way to reduce the federal deficit by at least $1.2 trillion over ten years.
Federal Reserve Chairman Ben Bernanke has warned that the country could fall back into recession if Congress does not find a way to avoid the cliff.
Toy Factory Serving as Symbolic Backdrop for Obama's Message
The setting of the Pennsylvania toy factory, which has grown by 50 percent since 2009 and employed 200 more people, was no accident.
President Obama has picked the location to show that working class Americans such as those employed in the Hatfield plant, which is owned by the Rodon Group, could face devastating consequences, including possible forced layoffs, if Congress can't come to an agreement on the fiscal cliff.
"As we move into the holiday season, Democrats and Republicans should come together to renew middle-class tax cuts, so families have more certainty at this critical time for our economy," the White House said in an e-mail to reporters. " If we act quickly, we can prevent a hit to consumer spending, which is roughly 70% of the U.S. economy. That's good for middle-class families, and it's important for businesses like the Rodon Group."
On a side note, K'NEX CEO Michael Araten donated to Mr. Obama during the presidential campaign, CBS News reports.
Workers at the factory were eager to hear the President speak Friday.
"Its'a once-in-lifetime experience for the people here," company designer Rob Simon, 52, of Plumsteadville, Bucks County told the Philadelphia Inquirer.
While he didn't vote for the President, Simon added, "You've got to respect his position regardless of party affiliation."
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