Under current law, EITC tax filers can adjust their withholding to not get a big lump sum at the end of the year. With a stroke of the pen, Obama could increase everyone's income by directing that the IRS adjust withholding schedules to end large refunds. What will really grow the economy is a tax increase on the wealthy, which will take money out of speculative investment and put it into government spending - or into debt reduction - which will reduce net interest as well (which is an injection into the savings sector and therefore contractionary). To really increase consumption, boost the EITC and Child Tax Credit, making the latter refundable for more people and again, changing withholding. A migrant worker with 6 kids needs enough money so that the kids have decent housing and food. While workers may earn differential base pay due to their marketability, there is nothing that justifies that the children of one worker have a better life than the children of another worker. Neither child adds anything to the productivity of the employer or economy. If anything, the children of rich kids with a sense of entitlement are a drag on society. Compare the last five presidents. Two were wealthy as youth (the Bushes) and three were not (Reagan, Clinton, Obama). The jury is still out on Obama, but I think the comparison is meaninful.