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Why does everybody blame tax cuts for our problems?
Holy Cow! - Maybe republicans do, but conservatives would lower spending first, then cut taxes.
Everytime I look, it seems that tax cuts are the problem, and we need to increase taxes to compensate.
Taxes are necessary for government spending. If taxes go up, that means government spending goes up.
Can people understand that spending is the problem.
If the government would cut unnecessary spending, and get a handle on the bureaucracy that is the federal government, they would have more than enough money, without raising taxes. One department alone is said to have between 70B and 120B worth of waste fraud and abuse. Imagine if the other departments were actually audited properly and the reports came out.
Bush's tax cuts were not the problem. Either were Reagans. The problems is, if you lower your income, you must cut spending.
So what do you think?
12 Answers
- 1 decade agoFavorite Answer
I agree. The problem is not that we need to increase govt profit (taxes) but they need to learn how to spend wisely. They need to look at their income and rebudget themselves to cut wasteful spending. the problem with that is they are ALL politicians and try to appease everyone for votes. We need a new congress FOR the people, BY the people, OF the people.
I wish it was a private business so they would have to learn how to spend wisely, then they would just fail with their money.
- LowFussLv 61 decade ago
The problem is career politicians spending billions on pork projects. There is no legislation that leaves congress or the senate without some kind of spending attached. Raising taxes lowers tax receipts and lowers the ability of the private sector grow and create jobs. They just do not get it. The clowns in Washington are separated from reality and should be separated from government. I say vote every incumbent out of office in 2010 to send them this message. This will clear out the house and 1/3 of the senate. These people are supposed to be working for us, not the other way around. If you or I continually did not do what we are supposed to at work, we would be fired. It is time to fire our employees who do not do what we want them to do.
- ?Lv 41 decade ago
If people blame tax cuts for our problems, they also need to blame the stimulus bills, the bailouts, and an expansionary monetary policy.
Deficit spending has been a major policy of the current administration as well.
FYI: Imagine if the Federal Reserve was audited properly. We would probably balance our budgets just from that alone.
- Anonymous1 decade ago
You got it *wrong*.
An increase in taxes doesn't mean an "increase in spending".
If that were the case, Clinton would've spent us into a deeper hole--instead of handing Bush II a surplus at the end of his term and a reduced national debt.
Reagan, Bush I and II *lowered* taxes and spent our country deeper into debt through deficit-spending.
Their approach to cutting taxes meant that the bulk of the tax burden would land squarely on the shoulders, while the rich and the elite would either get a "free ride" or a reduced tax rate and other perks--according to their level of opulent income.
As a result of their lowered tax rates and taxes, most state governments quickly fell into deficits because of negative tax revenue growth by the federal government.
A healthy tax rate would've prevented this and still lowered our national debt. But Bush and Reagan belong to that group of neoconservatives whom don't believe in "budgeting" or retaining a healthy tax rate which would benefit the country as a whole.
Clinton did and that's why we had a booming economy in the 90s and a failed "jobless recovery" economy in the 2000s.
Cutting unnecessary spending wouldn't do anything by itself *either*. You can cut out all the billions in wasted monies by our own government, but you'd still be faced with a mounting twin-deficit problem.
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- Anonymous1 decade ago
I'd like to know why we working stiffs have to pay 41% tax on our overtime pay while the rich get tax breaks? Maybe it's because the government need a few saps to help offset the affluence's tax cuts.
- Philip HLv 71 decade ago
Power Corrupts.
Money is Power.
Taxes take money (power) from you and places it in the hands of individuals who can use that power against what you consider to be in the best interests of you and your family.
Anyone who wants to raise your taxes is a tyrant, or a best an elitist despot.
- Holy Cow!Lv 71 decade ago
They don't.
However, the conservatives seem to be stuck in the delusion that tax cuts fix everything.
Borrow and spend should be their mantra.
Douglas Elmendorf, the director of the Congressional Budget Office, gave a speech the other day at the Association for Public Policy Analysis and Management. In it, he nicely summarized the federal government’s long-term fiscal problem in one sentence:
“The country faces a fundamental disconnect between the services the people expect the government to provide, particularly in the form of benefits for older Americans, and the tax revenues that people are willing to send to the government to finance those services,” he said.
- pozziLv 44 years ago
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- Anonymous1 decade ago
Because they are like lab rats. They say what they have been conditioned to say. Tax cuts bad, Tax spending good. **grunt**