Quantum Windbag
Gold Member
- May 9, 2010
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Tax rates for all earners (not just 'The rich,' ALL of them) are recklessly low, as evidenced by the skyrocketing deficits that replaced surpluses as soon as they were lowered.
It's really quite simple math here folks.
The tax revenues are low because people are not earning as much money, not because the rates were lowered.
It's both.
Revenues go up when people are making money, sure. But if you look at taxation as a constant, it's higher highs and higher lows at a higher rate; Lower highs and lower lows at a lower rate. It's not that complicated.
It's true that they went up after the 2003 tax cuts, but that's because the economy was doing well (on the surface, anyway). Now we're in a recession and revenues are down. After Clinton's first term tax hikes, revenues also went up every year for nearly a decade - Again because the economy was doing well.
Then the problem here is obviously that the government is spending too much. Glad we can agree.