Free Republic
Browse · Search
News/Activism
Topics · Post Article

Skip to comments.

Tax hike for wealthy Americans won't kill growth:CBO
Reuters ^ | Nov 8, 2012 | David Lawder and Kim Dixon

Posted on 11/08/2012 4:15:39 PM PST by mdittmar

(Reuters) - Allowing income tax rates to rise for wealthy Americans, and maintaining rates for the less affluent, would not hurt U.S. economic growth much in 2013, the Congressional Budget Office said on Thursday, stepping into a dispute between Republicans and Democrats over how to resolve the so-called "fiscal cliff."

The report by the authoritative non-partisan arm of Congress is expected to fuel President Barack Obama's demand for higher taxes on the rich, part of his proposal to avoid the full impact of the expiring tax cuts and across-the-board spending reductions set to begin in early 2013 unless Congress acts.

Republicans argue that any tax increases would be devastating to the economy, particularly to small businesses, and to U.S. employment rates.

They have held firm to their position that none of the cuts, which originated during the administration of President George W. Bush, should be allowed to expire.

The CBO said the tax hikes for the wealthy would reduce job growth by around 200,000 jobs, much less than the 700,000 in job losses claimed by Republican Speaker of the House John A. Boehner.

(Excerpt) Read more at reuters.com ...


TOPICS: Business/Economy; News/Current Events
KEYWORDS:
Navigation: use the links below to view more comments.
first 1-5051 next last
See,there is always a silver cloud;)
1 posted on 11/08/2012 4:15:42 PM PST by mdittmar
[ Post Reply | Private Reply | View Replies]

To: mdittmar

(Hahahaha!!!) How the @#$% do they KNOW that!? Lies, lies, lies, and more lies, layered and sprinkled with more lies....


2 posted on 11/08/2012 4:17:01 PM PST by Thorliveshere
[ Post Reply | Private Reply | To 1 | View Replies]

To: mdittmar

Operative word conveniently omitted

“much”


3 posted on 11/08/2012 4:17:21 PM PST by A_Former_Democrat
[ Post Reply | Private Reply | To 1 | View Replies]

To: mdittmar
"The report by the authoritative non-partisan arm of Congress"

Either this "non-partisan" (snort) office is populated by retards or overeducated Keynesians, for which there is scarcely a difference.

4 posted on 11/08/2012 4:21:10 PM PST by fieldmarshaldj (Resist We Much)
[ Post Reply | Private Reply | To 1 | View Replies]

To: A_Former_Democrat

Boehner should just have a press conference and say Obama believes that tax increases will help this country. So we are reluctantly going along. Say it so it can be a republican campaign commercial in 2014 and the media cannot change it.

Then sit back and wait. We are going to have to bend over one way or the other. Might as well do it in a way that Obama cannot claim it was Congress’s fault.


5 posted on 11/08/2012 4:21:30 PM PST by EQAndyBuzz (Media goes nuts in 2004 because Bush went to the dentist 20 years ago. Benghazi? Nothing.)
[ Post Reply | Private Reply | To 3 | View Replies]

To: mdittmar

When tax cuts are stopped is it really a tax increase or really a return to the tax rates of when the tax cuts were implemented?


6 posted on 11/08/2012 4:21:48 PM PST by stuartcr ("When silence speaks, it speaks only to those that have already decided what they want to hear.")
[ Post Reply | Private Reply | To 1 | View Replies]

To: mdittmar
CBO

Communist Barack Obama.

7 posted on 11/08/2012 4:23:07 PM PST by tflabo
[ Post Reply | Private Reply | To 1 | View Replies]

To: mdittmar

200,000 jobs isn’t “much”? These people have e’fing families, mortgages, car payments, need to eat and care for their children!


8 posted on 11/08/2012 4:23:10 PM PST by Oldeconomybuyer (The problem with socialism is that you eventually run out of other people's money.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: mdittmar

how can it kill growth ?

there isn’t any growth now. It’ll just kill any remaining hope of growth for small businesses.

Parse the meaning correctly


9 posted on 11/08/2012 4:23:43 PM PST by mike_9958
[ Post Reply | Private Reply | To 1 | View Replies]

To: mdittmar

Assuming the CBO is telling the truth (which it isn’t), where but in the mind of a liberal MSM hack is the loss of 200,000 jobs not significant? Tell that to those 200,000 families that will have to rely on the welfare state to put food on the table,


10 posted on 11/08/2012 4:24:16 PM PST by NYRepublican72
[ Post Reply | Private Reply | To 1 | View Replies]

To: mdittmar

How about the 47% that PAY NO FEDERAL INCOME TAXES PAY SOMETHING??????? Hello????? EVERYONE needs some SKIN IN THE GAME!!!


11 posted on 11/08/2012 4:26:14 PM PST by Ann Archy ( ABORTION...the HUMAN Sacrifice to the god of Convenience.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: EQAndyBuzz
Might as well do it in a way that Obama cannot claim it was Congress’s fault.

Interesting set-up for 2014: We did it his way, and look where it got us.

But probably too effective a strategy to warrant consideration by Boner.

12 posted on 11/08/2012 4:27:07 PM PST by kevao (Hey, Obama: The 1930s called, they want their economic policy back.)
[ Post Reply | Private Reply | To 5 | View Replies]

To: A_Former_Democrat
Cooking Books Officially
13 posted on 11/08/2012 4:27:07 PM PST by tflabo
[ Post Reply | Private Reply | To 3 | View Replies]

To: tflabo

IT may not... but OBAMACARE will....


14 posted on 11/08/2012 4:28:39 PM PST by Hojczyk
[ Post Reply | Private Reply | To 13 | View Replies]

To: mdittmar

” would not hurt U.S. economic growth much”

This won’t hurt you...much. - WC Fields, The Dentist


15 posted on 11/08/2012 4:28:39 PM PST by lowbridge (Joe Biden: "Look, the Taliban per se is not our enemy.")
[ Post Reply | Private Reply | To 1 | View Replies]

To: mdittmar

The Bush Tax were passed as a bundle so let them die as a bundle.


16 posted on 11/08/2012 4:29:51 PM PST by tobyhill
[ Post Reply | Private Reply | To 1 | View Replies]

To: mdittmar
You see the words “wealthy Americans” and think the folks in the Forbes 400 issue. The government sees those words and thinks folks making 250 grand a year.

“...Do I really need to say it?”

17 posted on 11/08/2012 4:29:57 PM PST by RichInOC (Palin 2016: The Perfect Storm.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Thorliveshere

The wealthy will leave and who is left? the middleclass, you know the middleclass that you heard him and the other ass clown spew at nausium. Thier sites are on the “middleclass” me and you to pay. We will be brought down to the poverty level like everyone else and then they will have thier utopia the dependents and the elitists


18 posted on 11/08/2012 4:29:57 PM PST by ronnie raygun (bb)
[ Post Reply | Private Reply | To 2 | View Replies]

To: mdittmar

When my taxes go up to 39.5, my spending and investments go down - it is that simple.


19 posted on 11/08/2012 4:30:37 PM PST by PMAS (All that is necessary for the triumph of evil is that good men do nothing)
[ Post Reply | Private Reply | To 1 | View Replies]

To: mdittmar
The same CBO that told us the Affordable Healthcare Act would cost under $900 billion?

Hilarious.

20 posted on 11/08/2012 4:31:06 PM PST by skeeter
[ Post Reply | Private Reply | To 1 | View Replies]

To: mdittmar

The cbo has absolutley no credibility with the American people. The economy is passing up their lies... on its way to hell.

LLS


21 posted on 11/08/2012 4:32:26 PM PST by LibLieSlayer (I AM JOHN GALT)
[ Post Reply | Private Reply | To 1 | View Replies]

To: mdittmar
"CBO said the tax hikes for the wealthy would reduce job growth by around 200,000 jobs, much less than the 700,000 in job losses claimed by Republican Speaker of the House John A. Boehner."

It's bad, but not as bad as we thought.

How can you kill something that's already dead?

22 posted on 11/08/2012 4:32:59 PM PST by Paladin2 (.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: mdittmar

The CBO propaganda memo not playing too well with the John Galt Society. Jobs are dropping off like the stock market.


23 posted on 11/08/2012 4:32:59 PM PST by tflabo
[ Post Reply | Private Reply | To 1 | View Replies]

To: Ann Archy

Those 47% don’t care about tax increases, where have I heard that before?


24 posted on 11/08/2012 4:33:53 PM PST by PMAS (All that is necessary for the triumph of evil is that good men do nothing)
[ Post Reply | Private Reply | To 11 | View Replies]

To: EQAndyBuzz
Boehner should just have a press conference and say Obama believes that tax increases will help this country. So we are reluctantly going along. Say it so it can be a republican campaign commercial in 2014 and the media cannot change it.

John Roberts could not have said it better. Bohner now is negotiating with himself. Obama needs to do nothing.

25 posted on 11/08/2012 4:34:07 PM PST by Texas Songwriter (,)
[ Post Reply | Private Reply | To 5 | View Replies]

To: tflabo

That’s the problem with trying to model human economic behavior based on history.


26 posted on 11/08/2012 4:34:41 PM PST by Paladin2 (.)
[ Post Reply | Private Reply | To 23 | View Replies]

To: mdittmar
would not hurt U.S. economic growth much in 2013 because there isn't going to be any growth to hurt.
27 posted on 11/08/2012 4:36:13 PM PST by Son House (Romney Plan: Cap Spending At 20 Percent Of GDP.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Texas Songwriter
"John Roberts could not have said it better."

That was my thought earlier to-nite: John Boner, the Traitor Roberts of the House.

28 posted on 11/08/2012 4:36:30 PM PST by Paladin2 (.)
[ Post Reply | Private Reply | To 25 | View Replies]

To: mdittmar

IIRC the CBO only processes the numbers it is given by whomever requested the calculations. If the numbers are provided by Dhims then it’s all rainbows and skittles. If by RINOs then either rainbows or skittles, not both.


29 posted on 11/08/2012 4:40:51 PM PST by PLMerite (Shut the Beyotch Down! Burn, baby, burn!)
[ Post Reply | Private Reply | To 1 | View Replies]

To: A_Former_Democrat

I think another operative word is 2013. I suspect a lot of taxpayers won’t see the real impact until they file their 2013 taxes in April 2014 and find themselves writing a big check to Uncle Sam because too little was withheld in 2013. In 2014 we will see those taxpayers assessing the real cost and doing tax planning to the extent possible. Whatever slowdown happens in 2013 is likely to pale compared to 2014 defensive tax planning.


30 posted on 11/08/2012 4:41:14 PM PST by caseinpoint (Don't get thickly involved in thin things.)
[ Post Reply | Private Reply | To 3 | View Replies]

To: mdittmar

You know....Intrade should do these projections /sarc. or not


31 posted on 11/08/2012 4:48:08 PM PST by libertarian27 (Check my profile page for the FReeper Online Cookbook 2011)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Son House

Yep. I’m going to do my part to spend as little money into the economy as possible. ESPECIALLY in the case of left-leaning businesses.


32 posted on 11/08/2012 4:51:43 PM PST by tickedoffnow (No more...)
[ Post Reply | Private Reply | To 27 | View Replies]

To: mdittmar

I wonder if Vegas will make Odds on this?? Who are the nimrods running CBO?? Couldn’t find tag from The Onion anywhere in story??


33 posted on 11/08/2012 4:56:03 PM PST by eyeamok
[ Post Reply | Private Reply | To 1 | View Replies]

To: mdittmar

Hmm... Well it sure won’t help the national debt either no will it.


34 posted on 11/08/2012 4:58:33 PM PST by vpintheak (Occupy your Brain!)
[ Post Reply | Private Reply | To 1 | View Replies]

To: ronnie raygun
It is so simple! The lafer curve has been correct 100% to the time, even as you look back 2500 years. basically it says when government takes more than 18% of GNP then economy starts to shrink and tax revenues also decline causing debt to increase.

It is because government first becomes inefficient, then incompetent, then corrupt. We have reached the corrupt stage.

35 posted on 11/08/2012 5:03:43 PM PST by stubernx98 (cranky, but reasonable)
[ Post Reply | Private Reply | To 18 | View Replies]

To: ronnie raygun
Thier sites are on the “middleclass” me and you to pay.

What's scary is, it wouldn't take much to nudge me and my family over the poverty line. I suppose I better get in line for those "bennies."

Maybe I should become a cage fighter....

Sorry, just being random.
36 posted on 11/08/2012 5:06:06 PM PST by Thorliveshere
[ Post Reply | Private Reply | To 18 | View Replies]

To: mdittmar

Sure, sure. A modest increase in tax rates for the wealthy won’t really hurt anybody. It also won’t solve the problem, even slightly.

A massive increase in taxes on the middle class and upward in income would be necessary to make any real progress in deficit reduction, but would also kill jobs and send us into another recession, defeating the entire purpose.

Then deficits would skyrocket, as nanny state entitlements would necessarily skyrocket, but tax revenue would crash, creating greater and greater debt, at an even faster rate than before.

And does anyone think that any real budget cuts, or even a reduction in the rate of increase in social spending will be agreed to by Obama and Reid? Of course not. We are heading over the cliff to Recessionville in short order.


37 posted on 11/08/2012 5:09:33 PM PST by Richard Axtell (put your money into canned food and shotguns)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Oldeconomybuyer

You hit it on the head. Those “200,000 jobs” are done by people, not bean-counter numbers.

Watch the rich take their money offshore and stop making investments in the US.

Yeah, that’s the way to help the American economy, Obama. Drive out the money that creates jobs while you print worthless Weimar Republic trillion-dollar notes.

You sure are a man of the people, just not our people. Red China loves you, as does Putin. Way to go, Comrade!


38 posted on 11/08/2012 5:09:46 PM PST by MadMax, the Grinning Reaper
[ Post Reply | Private Reply | To 8 | View Replies]

To: mdittmar

LOL! Okay, we will see.


39 posted on 11/08/2012 5:15:01 PM PST by SoFloFreeper
[ Post Reply | Private Reply | To 1 | View Replies]

To: mdittmar
If Boehner is going to agree to raise taxes on the rich, then he needs to make sure it's on people who make enough to be able to afford to get out, and by enough to insure that they do it.

They'll be back when things settle down.....

40 posted on 11/08/2012 5:15:07 PM PST by tacticalogic ("Oh, bother!" said Pooh, as he chambered his last round.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: mdittmar

how come liberals want higher cigarette taxes to reduce smoking, higher alcohol taxes to reduce drinking, higher gas taxes to save the earth, but think that higher income tax rates have no economic effect ?

here is my challenge to liberals: you want faster economic growth with more jobs, think of what you would do to encourage more people to smoke cigarettes and apply that logic to the entire economy.


41 posted on 11/08/2012 5:22:13 PM PST by Reverend Wright (Obama explains the ALCS: the Yankees actually played great but lost due to mistakes by Joe Torre)
[ Post Reply | Private Reply | To 1 | View Replies]

To: mdittmar

CBO = Static Scoring (using baseline budgeting)

=>

UTTERLY MEANINGLESS AND USELESS.


42 posted on 11/08/2012 5:30:40 PM PST by indianrightwinger
[ Post Reply | Private Reply | To 1 | View Replies]

To: mdittmar

Ah, yes, the CBO — which conveniently said Obamacare would cost less than $1 trillion in the first decade (so it would pass). Then they revised it to $2.6 trillion after the SCOTUS decision. The CBO has zero credibility.


43 posted on 11/08/2012 5:41:57 PM PST by Schatze (It's better to keep your mouth shut and appear stupid than to open it and remove all doubt.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: tickedoffnow
ESPECIALLY in the case of left-leaning businesses.

Here's a link to a site that will help with that: http://shopyourpolitics.com/

44 posted on 11/08/2012 5:58:16 PM PST by Schatze (It's better to keep your mouth shut and appear stupid than to open it and remove all doubt.)
[ Post Reply | Private Reply | To 32 | View Replies]

To: mdittmar

GROWTH = INFLATION.

Or, fill in the blank, a tax hike for the wealthy won’t kill __________ growth.


45 posted on 11/08/2012 5:58:52 PM PST by grumpygresh (Democrats delenda est; zero sera dans l'enfer bientot)
[ Post Reply | Private Reply | To 1 | View Replies]

To: mdittmar

Ahem....

I know someone who has been overpaying for many years because it really did not matter much. That stops as of this week. They are going to take every damn deduction there is!

And, like a lot of other people someone is looking to move the business offshore.


46 posted on 11/08/2012 6:08:42 PM PST by isthisnickcool (Sharia? No thanks!)
[ Post Reply | Private Reply | To 1 | View Replies]

To: tickedoffnow

Agreed, Inflation is a good reason to plan ahead by saving too. Bernake’s plan to electronically transfer (print) money is as infinite as the National debt and spending.


47 posted on 11/08/2012 6:52:54 PM PST by Son House (Romney Plan: Cap Spending At 20 Percent Of GDP.)
[ Post Reply | Private Reply | To 32 | View Replies]

To: MadMax, the Grinning Reaper

And business owners will close down, and never come back leaving at best inexperienced entrepreneurs and high unemployment.


48 posted on 11/08/2012 7:04:25 PM PST by Son House (Romney Plan: Cap Spending At 20 Percent Of GDP.)
[ Post Reply | Private Reply | To 38 | View Replies]

To: mdittmar

They don’t pay taxes based on salary. See Warren Buffet, Denise Rich Mark Anthony.

Nor does the lower class.

Only one class does.

and they will increase spending based on an assumptions of increased revenues.

Guess who gets left holding the bag?


49 posted on 11/08/2012 9:04:33 PM PST by NoLibZone ("When the people find they can vote themselves money, that will herald the end of the republic")
[ Post Reply | Private Reply | To 1 | View Replies]

To: mdittmar

They don’t pay taxes based on salary. See Warren Buffet, Denise Rich Mark Anthony.

Nor does the lower class.

Only one class does.

and they will increase spending based on an assumptions of increased revenues.

Guess who gets left holding the bag?


50 posted on 11/08/2012 10:02:29 PM PST by NoLibZone ("When the people find they can vote themselves money, that will herald the end of the republic")
[ Post Reply | Private Reply | To 1 | View Replies]


Navigation: use the links below to view more comments.
first 1-5051 next last

Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.

Free Republic
Browse · Search
News/Activism
Topics · Post Article

FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson