Bush's invisible tax increase

[Chris]

When you print more money, your money is worth less.

Simple economics....

Price jump worst since '91 on record gas, higher food - Jul. 16, 2008

 

[Stefan]

Yes, that's called inflation. But now, what follows?

 

[Diuretic]

Stagflation again?

 

[Stefan]

Perhaps. But history does not repeat itself.

 

[Diuretic]

No? What about history repeating itself first as tragedy and then as farce?

Hah, it's okay, just joshing.

No, really stagflation has occurred a few times in our industrialised economies I think. I remember it in the early 1970s. It was a fair bastard of a thing. Connected to an oil shock too. I reckon we're up for it right now.

 

[editec]

We are in a period of stagflation right now, folks.

If you're comparing Carter inflation rate to the inflation rate the government is reporting now, your are being mislead.

The Government CHANGED changed the methodology for computing inflation since the Carter years.

Depending on whose ecometrics you believe, if we computed inflation the same way we did back in the Carter years, inflation would be 10-12% APR..

So...

We have high inflation. Business activity is down. The stock market is way down, the bond market fibrilating, the real estate market way down.

Sure as hell seems like stagflation to me.

 

[Stefan]

Well, but the US economy still seems strong for me for all being down. And Europe the same.

 

[Wow]

When you print more money, your money is worth less.

Simple economics....

Price jump worst since '91 on record gas, higher food - Jul. 16, 2008

Democrats in Congress are screwing up the entire world economy by blocking drilling for oil in the USA.

Democrats blocking drilling is devaluing the US dollar and is killing exports in foreign countries.

President Bush lifted the drilling ban on his end of it and oil prices had the sharpest decrease in 18 years.

The world hates Democrats in the US Congress.

 

[busara]

Democrats in Congress are screwing up the entire world economy by blocking drilling for oil in the USA.

ummmmm..... ok. you are welcome to your opinion. but it seems to me a more direct cause is the gross overspending by the bush administration which has pushed the US deeper and deeper into debt.

can you clarify your opinion and provide some facts to back it up?

 

[MarlPot]

When you print more money, your money is worth less.

Simple economics....

Price jump worst since '91 on record gas, higher food - Jul. 16, 2008

And this is Bush's fault why? The Federal Reserve prints money, and they're a independent entity within the government.

 

[editec]

Well, but the US economy still seems strong for me for all being down. And Europe the same.

Define "strong"

 

[Wow]

ummmmm..... ok. you are welcome to your opinion. but it seems to me a more direct cause is the gross overspending by the bush administration which has pushed the US deeper and deeper into debt.

can you clarify your opinion and provide some facts to back it up?

Deficits: 911 cost the US Govt over $1 Trillion and improved national security has added another $500 Billion.
Record tax revenues: $2.6 Trillion in 2007.
You need to pay your fair share to fight terrorism.

The economy was doing great until Democrats took over Congress.
Since then, the price of oil has tripled and the cost of gasoline has almost doubled. This is happening all over the world and it started in the US.

Now, Democrats are blocking alternative fuels and drilling to get Obama elected.

This is not a complex subject. Democrats are screwing up the world economy for political purposes.

 

[Wow]

Bush's tax cut has been great for the poor and middle-class.
I wrote off more of my healthcare and equipment expenses. My employees got tax cuts and I invested more in technology!

The tax cuts for the poor expire in 2009 and Democrats do not want to renew them. That means the poor will pay 5% more in income taxes and the ultra poor will start paying income taxes again!
Why do Democrats want to punish the poor and middle-class?

 

[Chris]

Bush's tax cut has been great for the poor and middle-class.
I wrote off more of my healthcare and equipment expenses. My employees got tax cuts and I invested more in technology!

The tax cuts for the poor expire in 2009 and Democrats do not want to renew them. That means the poor will pay 5% more in income taxes and the ultra poor will start paying income taxes again!
Why do Democrats want to punish the poor and middle-class?

Bush did not cut taxes, he increased deficit spending by a huge amount. That is an invisible tax. Most people are too ignorant to realize that. Now that our money is worth less, and we have $4 a gallon gas.

It is simple economics. If you increase the supply of something, in this case money, it is worth less.

 

[editec]

And this is Bush's fault why? The Federal Reserve prints money, and they're a independent entity within the government.

No, the Fed don't print money.Actually the treasury does that printing and minting business.

But the banking system we have doe make it possible for US (that would be you and me us, not United States US) to print money...we do that whenever we TAKE OUT A LOAN OR BUY ON CREDIT.

Most of the "money" that is "circulation" exists only as digital information on a computer somewhere.

 

[Wow]

Bush did not cut taxes, he increased deficit spending by a huge amount. That is an invisible tax. Most people are too ignorant to realize that. Now that our money is worth less, and we have $4 a gallon gas.

It is simple economics. If you increase the supply of something, in this case money, it is worth less.

What?
Are you saying the revised tax table I received from the Treasury Dept and the revised tax schedule that my accountant received are all fake?
This would mean Millions of people would be evading taxes based on information from the Treasury Dept. LOL

You Bush haters are fuuuuuuuuuny!

 

[Chris]

What?
Are you saying the revised tax table I received from the Treasury Dept and the revised tax schedule that my accountant received are all fake?
This would mean Millions of people would be evading taxes based on information from the Treasury Dept. LOL

You Bush haters are fuuuuuuuuuny!

If you ever go to college, you may want to take economics. Bush increased taxes by increasing deficit spending. If the government increases the supply of money(deficit spending), it makes the money we have worth less. It is an invisible tax. It is called inflation. Inflation went up 1.1% last month. So in addition to the taxes you already pay, your money was worth 1.1% less in one month because of deficit spending. Thus, the invisible tax.

Since the price of oil is tied to the dollar, when the dollar is worth less the price of oil goes up. The dollar is worth less because of the tax cut and spend deficit, so oil goes to $4 a gallon. It's a brilliant political shell game because the average person doesn't understand what is going on.

 

[Wow]

If you ever go to college, you may want to take economics. Bush increased taxes by increasing deficit spending. If the government increases the supply of money(deficit spending), it makes the money we have worth less. It is an invisible tax. It is called inflation. Inflation went up 1.1% last month. So in addition to the taxes you already pay, your money was worth 1.1% less in one month because of deficit spending. Thus, the invisible tax.

Since the price of oil is tied to the dollar, when the dollar is worth less the price of oil goes up. The dollar is worth less because of the tax cut and spend deficit, so oil goes to $4 a gallon. It's a brilliant political shell game because the average person doesn't understand what is going on.

LOL
So, if spending was cut and a surplus was created, would that be an invisible tax cut?

Since oil is traded in USD, what would the value of the USD have to do with speculators adding a $80 premium to each barrel of oil? This created inflation because the value of the USD has not changed much.

Oil was $51 a barrel when Democrats took over Congress in 2007, now it's $130.
As you can see the value of the USD has very little to do with oil speculation.
Here are the values of the USD.

1999 2000 2001 2002 2003 2004 2005 2006 2007
Euro 0.9387 1.0832 1.1171 1.0578 0.8833 0.8040 0.8033 0.7960 0.7293
Japanese yen 113.73 107.80 121.57 125.22 115.94 108.15 110.11 116.31 117.76
Pound sterling 0.6184 0.6598 0.6946 0.6656 0.6117 0.5456 0.5493 0.5425 0.4995
Renminbi 8.2781 8.2784 8.2770 8.2771 8.2772 8.2768 8.1936 7.9723 7.6058
Singapore Dollar 1.6951 1.7361 1.7930 1.7908 1.7429 1.6902 1.6738 1.5882 1.421
Canadian dollar 1.4858 1.4855 1.5487 1.5704 1.4008 1.3017 1.2115 1.1340 1.0734
Mexican peso 9.553 9.459 9.337 9.663 10.793 11.290 10.894 10.906 10.928

I did go to a private college on full scholarship, one of the finer ones in America.

 

[Chris]

LOL
So, if spending was cut and a surplus was created, would that be an invisible tax cut?

Since oil is traded in USD, what would the value of the USD have to do with speculators adding a $80 premium to each barrel of oil? This created inflation because the value of the USD has not changed much.

Oil was $51 a barrel when Democrats took over Congress in 2007, now it's $130.
As you can see the value of the USD has very little to do with oil speculation.
Here are the values of the USD.

1999 2000 2001 2002 2003 2004 2005 2006 2007
Euro 0.9387 1.0832 1.1171 1.0578 0.8833 0.8040 0.8033 0.7960 0.7293
Japanese yen 113.73 107.80 121.57 125.22 115.94 108.15 110.11 116.31 117.76
Pound sterling 0.6184 0.6598 0.6946 0.6656 0.6117 0.5456 0.5493 0.5425 0.4995
Renminbi 8.2781 8.2784 8.2770 8.2771 8.2772 8.2768 8.1936 7.9723 7.6058
Singapore Dollar 1.6951 1.7361 1.7930 1.7908 1.7429 1.6902 1.6738 1.5882 1.421
Canadian dollar 1.4858 1.4855 1.5487 1.5704 1.4008 1.3017 1.2115 1.1340 1.0734
Mexican peso 9.553 9.459 9.337 9.663 10.793 11.290 10.894 10.906 10.928

I did go to a private college on full scholarship, one of the finer ones in America.

Too bad you never took economics. By spending more than you take in, you have to make up the difference by borrowing. Then you have to pay interest on the money you borrowed. Unfortunately we borrowed a good deal of the money from the Chinese.

Reagan and Bush played the "tax cut" and spend routine to the hilt. Unfortunately for George Bush Sr., Reagan's deficit borrowing cost him a second term.

Even if the government never took in a penny of taxes, if they were spending money, it would be a tax because anytime you increase the supply of money, it makes the money in circulation worth less. Thus, the invisible tax.

I am suprised that the Dems never have called Bush on this, but to some extent the politicians are all in cahoots anyway.

 

[Wow]

Too bad you never took economics. By spending more than you take in, you have to make up the difference by borrowing. Then you have to pay interest on the money you borrowed. Unfortunately we borrowed a good deal of the money from the Chinese.

Reagan and Bush played the "tax cut" and spend routine to the hilt. Unfortunately for George Bush Sr., Reagan's deficit borrowing cost him a second term.

Even if the government never took in a penny of taxes, if they were spending money, it would be a tax because anytime you increase the supply of money, it makes the money in circulation worth less. Thus, the invisible tax.

I am suprised that the Dems never have called Bush on this, but to some extent the politicians are all in cahoots anyway.

LOL
Now you are talking about tax cuts.
Try again, stay on the topic.