'Bush's Math: No Big Easy'

Newsweek ^ | 9-20-05 | Allan Sloan

[G-Man 1]

Cut ALL the pork out of the budget and it would rebuild two New Orleans. Nothing so hard about that math.

[andie74]

Then it's gotta be true.

HAHAHAHAHA! Thanks for the laugh. Nice tag line, by the way...another snicker!

[A. Pole]

Try to insert <P> between two passages and see what happens. You will be amazed!

[Pelham]

The Converse is demonstrably true and celebrated by Freepers and economists, i.e. that reducing tax rates increases revenues.

Reagan's economists never said that and actually disavow it in their writings, but since the claim gets endlessly repeated by radio hosts and FReepers I guess it has achieved the political version of urban myth. The only case where revenue actually increased was with the capital gains reductions. In all other cases revenue simply didn't fall as much as predicted by static analysis, some 2/3 of each dollar cut being recouped from economic growth. Which is what the Reagan economists expected and predicted.

[Pelham]

It didn't happen, and Reagan's economists have often disavowed that claim. Martin Anderson, Revolution, Niskanen, Reaganomics, Paul Craig Roberts in some of his online essays. Lawrence Lindsey published his Harvard study of the results of the Reagan cuts under the title The Growth Experiment, which addresses your question directly.

[Gipper08]

ping