Posted on 07/13/2011 11:10:34 AM PDT by Vintage Freeper
Polls show that most Americans are opposed to raising the federal debt ceiling. Even when the Pew Research Center included the consequences in its question — a national default that would damage the economy — slightly more people were against raising the ceiling than were for it...
Free lunchism is ultimately the problem with the no-new-taxes pledge that so many politicians have adopted. A refusal to raise taxes, no matter how principled, cannot take us back to the good old days. It would instead lead to a very different American society. For taxes to remain where they are, Washington would need to end Medicare as we know it, end Social Security as we know it, severely shrink the military — or do some combination of the above.
(Excerpt) Read more at finance.yahoo.com ...
Hauser’s Law applies to this too! (19% of GDP as tax revenue)
Christina Romer wrote a paper about the effect of a 1% tax increase. It initially lowers GDP by about 3.2%, then levels off at about -2.1%.
Capital Strike!
Yep. And increasing taxes beyond equilibrium not only reduces revenue, it fuels the appetite of the state for more spending and removes incentives for restraint.
Laffer makes it clear in his writings that that equilibrium point can be anywhere between 0 and 100% (exclusive of those extremes). The Laffer curve is not necessarily a bell shaped curve. (Not that you said it was, but the illustration might lead some to believe that.)
What evidence do you have to support that the tax rates are on the LEFT side of the inflection point?
However, my perception would certainly be that tax rates are too high given that the Bush tax cuts produced record revenues .
That statement is asinine, but understandable coming from the New York Slimes... Most American's couldn't tell you what a 'debt ceiling' is and when asked the question, it is likely that most of the respondents thought they were being asked a question about construction methods, rather than the actual national debt of the United States. LOL
The Pew Research Center is a joke, but the New York Slimes constantly rely on their nonsensical polls to justify their gobbly gook.
At a certain point people will be driven to an underground economy. Then the government will become even more tyrannical in enforcing taxes further destroying the economy of the country. In the end the economy will collapse and the U.S. will breakup into smaller countries. It happened to the USSR it will happen here.
The socialists need to revive the Kennedy family’s “profile in courage” award.
That’s where socialists celebrate “heros” in office who defy the will and best interest of American citizens in order to force them to ingest rotten peas.
Fine, we can start by extending the Federal Income Tax to the approximately 47% of the public who does not pay it.
The socialists need to revive the Kennedy family’s “profile in courage” award.
That’s where socialists celebrate “heros” in office who defy the will and best interest of American citizens in order to force them to ingest rotten peas.
I believe that the very first recipient of that award was Lowell Weicker after he imposed a state income tax on Connecticut.
What a courageious hero!
If the GOP stays fractured (which the dem/MSM axis is continues to fervently desire) taxes are likely to rise.
“This article isn’t that bad. He is liberal but points out the problem clearly — Americans want a free lunch. His solution is a tax hike. He says the Republicans won’t be able to force a spending cut through because Middle America won’t stand for entitlement cuts. He sees a general tax increase with a pretty severe tax increase for the “rich.” Quite frankly, as much as I hate it and as much as I’d fight it, he may be right. Way too many Americans want a free ride paid for by “the rich.” We can’t get around that. Its depressing but true.”
You’re right. Just do what I’ve done in the past and talk about SERIOUS Social Security reform...the kind of reform needed to help the government live within its means. I’m talking making it a means-tested welfare program. The oldies here, maybe half of them overall, HAVE A FIT. They are fine with balancing the budget, but I can go to hell if I expect them to be part of it...instead they want MY kids and (future) grandkids to give them a free ride.
There is an old adage that says all good things come to an end. Paraphrasing Maggie Thatcher, the free lunches end when you run out of other people's money. The reaction of global markets to QE, QE2, the European debt crisis, and our own debt problems should be a shot a cross the bow for anybody that running out of OPM is pretty darn close.
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.