Ed over at Hot Air has the outline of McCain’s newest economic proposal.  It appears to be very good to seniors, which along with the previously announced removal of forced divesting at 70 1/2, should help swing his numbers among seniors back his way.  There’s no doubt the plan was designed that way. 

His plan also reduces the capital gains long-term rate for 2009 and 2010 to 7.5%.  The main goal is to get people to put money in the market now, knowing that they can pull it out next year or the year after and only get penalized half the normal amount.  He will also raise the cap on capital losses that can be written off.  Both could help stimulate the markets; however, McCain has no power to implement it really until after he’s sworn in. 

McCain also produces a better picture of the $300 B mortgage buyout plan.  Ed has a quote from the press release and a good summary of he pros and cons underneath.

All the details aside, McCain has to give a GREAT pitch.  He has to compare the costs of his plan (estimated to be about $53 B excluding the $300 B already in the bailout package) with Obama’s (I’ve seen numbers around $500 B for his, or 10x that of McCain’s).  He has to finally – FINALLY – explain how Obama’s tax cuts are NOT tax cuts — they are WELFARE.  He has to explain that Obama’s 95% number is a lie. 

Then, he has to remind people that in the current state of the economy, there is NO WAY Obama will be able to implement everything he’s promising, and Obama knows it.  He’s flat out LYING to people to get elected.  McCain needs to start adding it up ($700 B bailout, $200 B Fannie Mae, $150 B stimulus that Pelosi wants to put in after the election, $500 B net new Obama spending proposals [including welfare, health care, tax increases]) with all of it being DEFICIT spending.  All. Of. It.

McCain needs to come up with some metaphor that the people will understand and can relate to.  Maybe compare Obama’s plan to a new brand of car.  It’s shiny, has new styling, it looks great driving down the road.  Obama tells you all the features it comes with, like satellite radio, a navigation package, the entertainment system, top-of-the-line tires, etc.  And the price is FANTASTIC.  You tell him you’ll take it and place your order.  You’ll have to wait for it, since it is SO in demand.

So, a few months later when you actually get the car, Obama tells you that the factory just couldn’t put in all the things he promised.  The costs went up, and they just couldn’t afford to do it with the price you already paid for it.  He apologizes, smiles, and shows you the contract you signed which stated you were buying just the body and all the extras would be put in “as funding permits.”  At least you get to look at the shiny, stylish NEW car in your driveway that you’ll get to drive around for the next four years.