Low taxes and high health costs make U.S. choices tough

Discussion in 'Politics' started by Chris, Jul 27, 2011.

  1. Chris
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    Chris Gold Member

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    Wealthy countries all over the world are dealing with debts and strained budgets as they mop up after the Great Recession and brace for the budget-busting retirement of the baby boomer generation.

    But the United States is in a bigger fix than almost anyone else.

    The U.S. federal debt was equal to 95 percent of the overall economy in the first three months of 2011, the fifth-highest on the Associated Press Global Economy Tracker, an analysis of economic and financial data from 30 of the biggest economies.

    Every year that the U.S. government spends more than it collects in taxes, it records an annual budget deficit. The $14.3 trillion debt is the sum of all annual deficits and surpluses.

    As U.S. policymakers argue over raising the federal borrowing limit and slashing debts, America is hobbled in ways the others are not. Tax collections are low by historical and international standards. Health care costs are astronomical — and still rising. The political system is gridlocked.

    Those problems suggest the current impasse over raising the U.S. government's borrowing limit and cutting the deficit is a prelude to even more intense political combat.

    "We as a society will either have to pay more for our government, accept less in government services and benefits, or both," says Douglas Elmendorf, director of the nonpartisan Congressional Budget Office. "For many people, none of those choices is appealing — but they cannot be avoided for very long."

    Low taxes, high health costs make US choices tough
     
  2. Chris
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    Chris Gold Member

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    This year's federal tax revenues are forecast to equal 14.4 percent of gross domestic product, a broad measure of economic output, according to the Office of Management and Budget.

    That's the lowest share since 1950, long before Congress approved expensive programs such as Medicare. Tax collections have been reduced by the recession and by tax cuts enacted in 2001 and 2003. Among 29 countries ranked by the Organization for Economic Development and Cooperation, only Japan and Spain take in less tax revenue than the U.S. as a percentage of GDP.

    When it comes to health care, the U.S. spends the equivalent of 17.4 percent of its GDP — by far the highest percentage among wealthy nations. The next highest is the Netherlands, where health care spending equals 12 percent of GDP. Among the 34 wealthy countries that belong to the OECD, health care spending averages less than 9.5 percent of GDP.

    Low taxes, high health costs make US choices tough
     
  3. Stephanie
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    Stephanie Diamond Member Supporting Member

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    Oh jeeeze, ANOTHER article telling us we are ALL GOING TO DIE. if we don't have ENOUGH Government, and if we don't give these greedy bastards MORE OF OUR MONIES TO SPEND AS THEY WISH WITH NO LIMITS..

    And how bout them telling us TAXPAYERS that we AREN'T TAXED ENOUGH..
     
    Last edited: Jul 27, 2011
  4. kwc57
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    kwc57 BOHICA Obama

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    You don't give an alcoholic a drink. You don't give an addict a fix. You don't give the gubmint more money. It's called tough love and it works. Anything else is enabling. The gubmint takes in more than enough in "revenue" to pay for those things it is constitutionally obligated to do. We don't have a revenue problem, we have a spending problem. Like any household or business, you tighten the belt and reduce your excess spending and focus on the important bills like putting a roof over your head and food on the table. Do you get the full cable package? No. Do you get to go golfing every week? No. Do you get a new Lexus? No. Do you want them? Yes. Do you need them? No. My expectation of our gubmint leadership from both parties and the two branches of gubmint responsible for spending is to do the hard thing and say 20% budget cut across the board, all departments, agencies and programs. Pass a balanced budget amendment. Out gubmint has already proven that they can't spend money in an adult and responsible manner........why in hell would we give them MORE money?
     
  5. B. Kidd
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    B. Kidd Gold Member

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    We could tax those making over 250K at a 100 per cent rate and it would fall short of covering the deficit, no less even touch the debt.
    Wrap your heads around that if you think we do not need to drastically cut spending.
     
  6. Soggy in NOLA
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    Soggy in NOLA Platinum Member

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    And of course this has nothing to do with the fact that unemployment is probably around 15% and 50% pay no income taxes?

    Looka, I have no problem revamping the tax code via closing loopholes, etc. but I totally reject the notion that we need 40% - 50%+ rates of taxation to support a government that gives us everything from health care to cell phones.

    Fuck that.
     
  7. Claudette
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    Claudette Gold Member

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    Couldn't agree more.
     
  8. kwc57
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    kwc57 BOHICA Obama

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    Times are tough. So it's time to tighten the belt and ask your Democratic congress critters why they approved entitlement programs with no visible means of support.
     
  9. Chris
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    Chris Gold Member

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    No it's time to ask the Republicans why they got us involved in two unfunded wars and an unfunded Medicare drug progam and passed unfunded tax cuts for the wealthy?
     
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  10. Chris
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    Chris Gold Member

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    You can't pay off a $14 trillion dollar debt without raising taxes.

    Our taxes are too low.
     

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