Quantum Windbag
Gold Member
- May 9, 2010
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- #181
The money is there but we choose not to pay for it by choosing not to tax ourselves. We can afford it but choose not to pay for it. We choose to put it on our credit card rather than pay it out of cash flow.
This from a guy that insist I am an ideologue.
We are not choosing any such thing. Congress is ignoring the fact that they do not have the money and putting it on our credit cards.
Cool story, thanks.
As a businessman, you know that profits are not merely a function of cost. If profits were only about costs, businessmen would do nothing but focus on costs. But you know that is not true. Businesses also focus on revenues. Profits are a function of costs AND revenues. Profits are not solely a function of costs. Profits are not solely a function of revenues. Profits are a function of both. If a business decides to stop selling into a profitable market, then the decision to stop selling into the market is the cause of the loss. Government is no different. If the government decides to forego revenue, it is the decision to stop taxing that causes the shortfall, just like the decision to stop selling into the market is why the business has the loss.
There is a difference between a business and the government, businesses do not have unlimited credit that enable them to ignore costs. A business that ignores the fact that they do not have the money to pay for everything that catches its fancy will fail pretty quickly, governments just keep on spending.
The tax cut does cause the shortfall, but the spending causes the problem.