akuma587 said:
TheRealMafoo said:
akuma587 said:
TheRealMafoo said:
akuma587 said:
TheRealMafoo said:
akuma587 said:
Its pretty plain and simple. Raise taxes and cut spending. But doing either of those during a particularly bad recession is not a good idea. |
This is 100% true. It’s just that simple.
So, why is our spending double and tripling, and our taxes staying the same or lowering?
And why is doing it a good idea? If it’s not, how should we avoid it?
My opinion is to not spend more money, and collect more taxes (the opposite of what this administration is doing).
P.S. before anyone complains that Bush did the same thing, I agree, but there is nothing Bush can do about it now.
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I'm all for what you are saying. Once the economy turns around, we should decrease government spending as a percentage of GDP and raise taxes. But those who are fiscally conservative should not complain when we raise taxes, although they are entitled to complain if spending increases.
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So you're for at least keeping the spending the same until we find a way to collect more money?
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Government spending will almost always increase over time as the economy grows larger. People who huff and puff about that are just plain stupid. Its much more important to look at how much government is spending as a percentage of GDP rather than the dollar amount. One is a "real" increase while the other is a "perceived" increase.
This is also the only way to account for inflation. Not taking inflation into account is equally dumb.
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Ok From 1950 to today...
Income:
Spending:
The tax rate for the rich in that time as been as high as 92% in 1952, and as low as 28% in 1990.
It seems no matter what we do with the tax rates, we collect about the same vs GDP.
How are we going to cover these expenses? The answer is we can’t. It’s crazy to propose something when we have no solution of how we are going to pay for it.
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Do you know how much more money just a few percentage points is when you are talking about GDP as a whole? A SHITLOAD of money. That 5% drop following the Bush tax cuts was substantial in terms of how much revenue it means we lost. Did you even read what I posted article about increases in real revenue?
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The lowest we collected was 16%, the highest ever was 21%. So a deviation is 5% is a shitload? Ok, I will give you that. In the next year, we expect to increase spending by 19%... 19%!!!!
If 5% is a shitload, what would you call 19%?
And if you look at the best we have ever done, it’s collect 21% of GPD. No administration has ever collected more. With trying ever possible tax bracket from 92% to 28%, we have never done better than 21%. This means there is no proven methodology to eclipse that number. Why then is it ok to have an expense of 45%? Even when it gets better by Obama’s standards, it’s still sitting at 42%.
Come on man, you can’t think this is a good idea?
