Biden Budget Seeks Minimum Tax On Households Worth $100 Million, a significant reorienting of the tax code

[DarthTrader]

Wen you are 30 trillion dollars in debt and both parties totally refuse to cut spending, this is the only real answer. Though I wish they would do it on everyone so we can feel the actual pain of all this spending.

Spending creates inflation, not saying that all of Modern Monetary Theory is correct, but they are right about deficit spending. If the intent is 2% inflation then you have to deficit spend somewhat.

Austerity is deflationary, which is generally considered a major problem.

Taxation is also a lever of deflation, so if inflation is too hot, raise taxes.

 

[OKTexas]

a no. Progressive taxation and surcharges are legal.

Really, show me in the text of the Constitution where one persons property can be taxed differently than another's, just because were it falls in an arbitrary stack.

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[bripat9643]

It's about time, the Middle Class in homes worth over a Million Dollars and not Mansions, but 3-4 bedrooms and 2-3 bathrooms got fucked by the Ryan/McConnell/trump axis. The H. or Rep was already giving the Democrats the Majority and Ryan was also a lame duck.

How did they get fucked by the "Ryan/McConnell/trump axis?"

 

[bripat9643]

Spending creates inflation, not saying that all of Modern Monetary Theory is correct, but they are right about deficit spending. If the intent is 2% inflation then you have to deficit spend somewhat.

Austerity is deflationary, which is generally considered a major problem.

Taxation is also a lever of deflation, so if inflation is too hot, raise taxes.

Taxes are only "a lever of inflation" in the sense that spending - tax revenue = deficit. Deficit spending is what causes inflation. It can't occur without the government creating money out of thin air.

Sudden drastic deflation can cause a recession, but we had a slow gradual deflation all through the 19th Century and our economy thrived.

 

[OKTexas]

Spending creates inflation, not saying that all of Modern Monetary Theory is correct, but they are right about deficit spending. If the intent is 2% inflation then you have to deficit spend somewhat.

Austerity is deflationary, which is generally considered a major problem.

Taxation is also a lever of deflation, so if inflation is too hot, raise taxes.

That would be great if the taxes were used to pay down the debt, effectively taking the money out of circulation. But we all know that won't happen, the govt will just spend it to buy votes, instead of the people that earned it.

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[DarthTrader]

That would be great if the taxes were used to pay down the debt, effectively taking the money out of circulation. But we all know that won't happen, the govt will just spend it to buy votes, instead of the people that earned it.

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It's irrelevant if the taxes pay down debt or not. It's only relevant to how it affects inflation. Any taxation increase will lower inflation even while there is still a deficit.

 

[DarthTrader]

Taxes are only "a lever of inflation" in the sense that spending - tax revenue = deficit. Deficit spending is what causes inflation. It can't occur without the government creating money out of thin air.

Sudden drastic deflation can cause a recession, but we had a slow gradual deflation all through the 19th Century and our economy thrived.

You don't need negative deficits (surpluses) to have deflationary pressure. If deficits cause inflation, then lowering deficits (raising taxes) lowers inflation.

Our problems now are much different though, yes, the government decided stupidly to rain $4.8 trillion from helicopters onto the peasantry.

 

[Rye Catcher]

Someone should tell this ldiot that the Constitution bans direct taxes.

Article 1 Section 8 Clause 1 | Constitution Annotated | Congress.gov | Library of Congress

constitution.congress.gov

Taxes can be either direct or indirect. A direct tax is one that the taxpayer pays directly to the government. These taxes cannot be shifted to any other person or group. An indirect tax is one that can be passed on-or shifted-to another person or group by the person or business that owes it.

 

[Rye Catcher]

Spending creates inflation, not saying that all of Modern Monetary Theory is correct, but they are right about deficit spending. If the intent is 2% inflation then you have to deficit spend somewhat.

Austerity is deflationary, which is generally considered a major problem.

Taxation is also a lever of deflation, so if inflation is too hot, raise taxes.

• Inflation is a measure of the rate of rising prices of goods and services in an economy.
• Inflation can occur when prices rise due to increases in production costs, such as raw materials and wages.
• A surge in demand for products and services can cause inflation as consumers are willing to pay more for the product.
• Some companies reap the rewards of inflation if they can charge more for their products as a result of the high demand for their goods.

What Causes Inflation? How It's Measured and How to Protect Against It

In this article, we examine the fundamental factors behind inflation, different types of inflation, and who benefits from it.

www.investopedia.com

 

[OKTexas]

It's irrelevant if the taxes pay down debt or not. It's only relevant to how it affects inflation. Any taxation increase will lower inflation even while there is still a deficit.

The point is, if the money remains in circulation it's irrelevant who's spending it, it will have zero effect on inflation. What do you fail to realize about too many dollars chasing too few goods. Also high fuel costs inflate the costs of goods at every level of production.

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[bripat9643]

You don't need negative deficits (surpluses) to have deflationary pressure. If deficits cause inflation, then lowering deficits (raising taxes) lowers inflation.

I think I just said that.

Our problems now are much different though, yes, the government decided stupidly to rain $4.8 trillion from helicopters onto the peasantry.

I believe the Dims are deliberately trying to make the economy collapse.