McCain, Obama challenge each other on economy

By David Lightman and Kevin G. Hall

McClatchy Newspapers

WASHINGTON — Sen. John McCain tried Monday to relaunch his campaign with a pledge to use broad-based tax cuts to revive the ailing economy — and a string of barbs contrasting his views with Sen. Barack Obama's.

”The choice in this election is stark and simple,“ McCain, the presumptive Republican nominee, told a town hall meeting in Denver. ”Senator Obama will raise your taxes. I won't. I will cut them where I can.“

Obama, the presumptive Democratic nominee, countered by challenging McCain and promising that he won't raise taxes on anyone who makes less than $250,000 a year. ”If Senator McCain wants a debate about taxes in this campaign,“ Obama told supporters in Charlotte, N.C., ”that's a debate I'm happy to have.“ Obama spoke to his backers through a telephone hookup after his Charlotte-bound plane was grounded in St. Louis because of maintenance trouble.

Neither candidate's address Monday contained new proposals. McCain's chief purpose was not only to shift his campaign's focus squarely to the economy but also to reignite his White House bid after weeks of organizational trouble.

Many of McCain's ideas are similar to or even identical to the President Bush's, notably his support for continuing key elements of the 2001 and 2003 tax cuts, which are scheduled for repeal during the next administration. Asked to list three ways that Bush and McCain differed on the economy, senior adviser Carly Fiorina struggled and listed only one, better job training for displaced workers.

Obama would restore higher Clinton-era income tax rates on people who earn more than $250,000. The top rates before 2001 were 36 and 39.5 percent; now, the top rates are 33 and 35 percent.