Trying to balance the budget by means of raising taxes is destructive of saving and capital formation to the degree that the additional taxes fall on saving and productive expenditure. Ironically, it is precisely taxes that fall heavily on saving and productive expenditure that today;s advocates of balancing the budget through tax increases favor. The taxes they wish to increase are precisely those which land on corporations and the so-called rich,.
If only we could double or triple the tax rates of ONLY those corporations that ONLY (well, primarily) sell to the 40+% who don't pay fed income taxes....