Posted on 08/01/2010 5:14:05 PM PDT by fightinJAG
Tax reduction thus sets off a process that can bring gains for everyone, gains won by marshalling resources that would otherwise stand idle—workers without jobs and farm and factory capacity without markets. Yet many taxpayers seemed prepared to deny the nation the fruits of tax reduction because they question the financial soundness of reducing taxes when the federal budget is already in deficit. Let me make clear why, in today's economy, fiscal prudence and responsibility call for tax reduction even if it temporarily enlarged the federal deficit—why reducing taxes is the best way open to us to increase revenues.
—President John F. Kennedy, Economic Report of the President, anuary 1963
If only more of today's leaders thought like JFK. Sadly, in the debate over whether to extend the 2001 and 2003 tax cuts, and if so whether the cuts should be extended to those people who are in the highest tax bracket, there is a false presumption that higher tax rates on the top 1% of income earners will raise tax revenues.
Anyone who is familiar with the historical data available from the IRS knows full well that raising income tax rates on the top 1% of income earners will most likely reduce the direct tax receipts from the now higher taxed income—even without considering the secondary tax revenue effects, all of which will be negative. And who on Earth wants higher tax rates on anyone if it means larger deficits?
Since 1978, the U.S. has cut the highest marginal earned-income tax rate to 35% from 50%, the highest capital gains tax rate to 15% from about 50%, and the highest dividend tax rate to 15% from 70%.
(Excerpt) Read more at online.wsj.com ...
Cut the taxes. Cut the spending. Cut the government. It ain’t exactly rocket science. Even a Kennedy can figure it out.
Obama and his progressive regime just increased the size of government (spending) by 20 percent last year. They need to let the Bush tax cuts continue and reduce the size of government to at least back to 2008 levels with further reductions in the near future. That’s the tried and proven way to grow the economy.
When they ‘soak the rich’ the working class gets wet!
Nazi is to Jewish as Progressive is to any combination of rich, white, male
The point of the present government is to take as much money from the economy and pass it around to the moonbat controllers as can be done prior to being relieved.
Not only would I not buy a Guvmint Motors car at any price, I personally am on economic strike against the entire Obama administration. I am reducing my discretionary consumer spending to the lowest levels possible. If those cretins in D.C. won't stop spending, guess what: I WILL.
A widespread consumer strike is all we can do to protest Obama's economic policy garbage.
I know a consumer spending strike hurts the real economy in the short term, but compared to what Obama is doing to the structural economy -- there is NO comparison. Anyway we can hit back at them, throw obstacles in their way, hinder the destruction they are delibertely visiting upon our country -- we must do it.
Consumers don't have the spending power or mood right now to jumpstart the real economy anyway. So why spend "some" when it just props up Washington's delusions and delays the day Congress -- just maybe -- finally starts to listen to what the people are saying.
Just vote the bastards out in November (90 days).
Rebellion is brewing!!
Jan 07, 2009 · Will The Real Christina Romer Please Stand Up? ... A tax decrease of 1% of GDP raised GDP by about 3%, and, symmetrically, a tax increase of 1% of GDP reduced GDP by about 3%.
there’s no other way to prove to the ‘progressives’ the effect of raising taxes than to actually raise taxes. I hope everyone is preparing for the coming disaster.
What is on that one page in Out of Work that could change people’s minds? Just a simple table, giving unemployment rates for every month during the entire decade of the 1930s.
Those who think that the stock-market crash in October 1929 is what caused the huge unemployment rates of the 1930s will have a hard time reconciling that belief with the data in that table.
Although the big stock-market crash occurred in October 1929, unemployment never reached double digits in any of the 12 months after that crash. Unemployment peaked at 9 percent, two months after the stock market crashed — and then began drifting generally downward over the next six months, falling to 6.3 percent by June 1930.
This was what happened in the market, before the federal government decided to “do something.”
Check out the table at the link. Pass it around your email lists. Send it to talking heads. Never surrender.
That, too. In the meantime, it doesn’t hurt to bring them to their knees when the real economy numbers get worse and worse AND it maybe begins to dawn on them that they can pass all the garbage laws they want, THEY CAN’T MAKE ME SPEND MY MONEY.
Sigh...Obama doesn’t give a rip about November.
He will when he loses his congressional support. He will when we demand repeals and investigations. He will when he's facing impeachment. He will when he discovers he's a one term Jimmy. He will when he's booted from office in disgrace. He will when he spends the rest of his life explaining what went wrong.
Cram it down our throat today, we shove it up your donkey in November!
Remember in November!!
Cut spending by 10%. Cut taxes by 10%. Even if there is no increase in economic activity because of this sensible government action the deficit is reduced. Why? Because we spend far more than we take in with taxes. So the tax cut will be smaller than the spending cut.
The real effect would be electric. The economy would boom and the deficit would be significantly reduced.
I will never tire of standing for what is right...but I do tire of the "just around the corner" fight song. I've been listening to it for 16 months here on FR when we were going to "stop the stimulus" and "stop healthcare" and stop......
The next tax tables should be 10% on the 1st 10.000, 15% on the next 40,000, and 25-28% over that. Open up AK. oil work, build pipelines to lower 48, create an Alaska style fund for the entire nation, which would be not taxable, non reeportable, and the chks. expire after 90 days. Anyone that wants to put their money where their mouth is, step right up. Cancel the EPA, and several liberal feel-good outfits. Do it because we can and to hell wih what other Nations think of us.
I wish I had a link to that one question because to me that sums up his whole approach to taxes.
I agree and am doing the same.
Imagine the economic impact if “the rich” refused to spend a dime on 1 day of every week.
If instead of stopping our discrectionary spending, we should divert it to only buying firearms and ammunition, along with other tactical gear and sniper training schools. That should send some kind of message.
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