Why extend the Bush tax cuts?

Discussion in 'Politics' started by captaingeech, Aug 2, 2010.

  1. captaingeech
    Offline

    captaingeech Member

    Joined:
    Jun 19, 2010
    Messages:
    55
    Thanks Received:
    6
    Trophy Points:
    6
    Ratings:
    +6
    According to Moody's, extending the Bush tax cuts has far less of an effect than extending Unemployment Insurance benefits, increasing food stamps, or giving aid to state and local governments. So why push for extending these tax cuts?




    Table 1: Fiscal Economic Bang for the Buck
    One year $ change in real GDP for a given $ reduction in federal tax revenue or increase
    in spending

    Tax CutsNon-refundable lump-sum tax rebate 1.02
    Refundable lump-sum tax rebate 1.26

    Temporary tax cutspayroll tax holiday 1.29
    Across the board tax cut 1.03
    Accelerated depreciation 0.27
    Permanent tax cuts
    Extend alternative minimum tax patch 0.48
    Make Bush income tax cuts permanent 0.29
    Make dividend and capital gains tax cuts permanent 0.37
    Cut in corporate tax rate 0.30

    Spending IncreasesExtending UI benefits 1.64
    Temporary increase in food stamps 1.73
    General aid to state governments 1.36
    Increased infrastructure spending 1.59
    Source: Moody's Economy.com

    http://www.economy.com/mark-zandi/documents/assissing-the-impact-of-the-fiscal-stimulus.pdf
     
  2. Political Junky
    Online

    Political Junky Gold Member

    Joined:
    May 27, 2009
    Messages:
    19,544
    Thanks Received:
    2,948
    Trophy Points:
    260
    Ratings:
    +5,534
    Thanks for the link.
    I saw those figures on TV.
     
  3. VaYank5150
    Offline

    VaYank5150 Gold Member

    Joined:
    Aug 3, 2009
    Messages:
    11,779
    Thanks Received:
    1,047
    Trophy Points:
    138
    Location:
    Virginia
    Ratings:
    +1,055
    Because it is a GOP idea?
     
  4. topspin
    Offline

    topspin BANNED

    Joined:
    Apr 29, 2010
    Messages:
    4,149
    Thanks Received:
    196
    Trophy Points:
    0
    Ratings:
    +196
    He will, just not for the top 5 percent.
     
  5. Richard-H
    Offline

    Richard-H Gold Member

    Joined:
    Aug 19, 2008
    Messages:
    2,285
    Thanks Received:
    385
    Trophy Points:
    130
    Ratings:
    +510
    What in the world makes anyone think that by putting more money in the pockets of wealthy people means that they will go out and invest it in growth oriented, job creating investments?

    The wealthy prefer highly secure, low risk, non-job creating investments. It's only when their feet are held to the fire that they will accept higher risk and create jobs.

    High taxation, in and of itself, will do more to force the wealthy into creating jobs then all the tax cuts in the world.

    If you think that wealthy people give a shit about creating jobs, you are fucking nuts.

    There is always investment capital available, if there are people willing to take risk - or to just accept a lower return on investment. But when you create a low risk, high return on investment, they sure as hell aren't going to go for risk.

    After all, the reason this economy is in the drink is that the wealthiest people plain refuse to invest in job creating types of investments.

    I really wonder why anyone even looks at the governement as being responsible for the state of the economy - it's the wealthy who are responsible and who have the power to turn the economy around.
     
  6. The Rabbi
    Offline

    The Rabbi Diamond Member

    Joined:
    Sep 16, 2009
    Messages:
    67,619
    Thanks Received:
    7,821
    Trophy Points:
    1,840
    Location:
    Nashville
    Ratings:
    +18,214
    How about because increasing taxes during a recession is a really really stupid idea?
     
    • Thank You! Thank You! x 1
  7. Nosmo King
    Offline

    Nosmo King Gold Member

    Joined:
    Aug 31, 2009
    Messages:
    15,996
    Thanks Received:
    3,307
    Trophy Points:
    290
    Location:
    Buckle of the Rust Belt
    Ratings:
    +6,299
    Is it as stupid as not raising taxes to pay for two simultaneous wars?
     
  8. GHook93
    Offline

    GHook93 Aristotle

    Joined:
    Apr 22, 2007
    Messages:
    17,915
    Thanks Received:
    3,126
    Trophy Points:
    255
    Location:
    Chicago
    Ratings:
    +4,926
    Because raising everyone income tax by 2% (yes everyone, I posted the percentages, if you make more than $6K then your taxes will increase) and capital gains tax (tax on investments) by 5% during a poor economy is an absolute plan for disaster!

    What needs to be done is: (1) Cut spending and (2) Cuts taxes more!
     
  9. topspin
    Offline

    topspin BANNED

    Joined:
    Apr 29, 2010
    Messages:
    4,149
    Thanks Received:
    196
    Trophy Points:
    0
    Ratings:
    +196
    I say the top 5 percent can pay, and fuck the warmongerers who don't want to pay for their murderous ways.
     
  10. The Rabbi
    Offline

    The Rabbi Diamond Member

    Joined:
    Sep 16, 2009
    Messages:
    67,619
    Thanks Received:
    7,821
    Trophy Points:
    1,840
    Location:
    Nashville
    Ratings:
    +18,214
    And that boosted the deficit to what? And now Obama has come and doubled it. How stupid is that?
     

Share This Page