Something I thought of about tax cuts....

[Akvod]

famousringo said:

mrstickball said:
Akvod -

The problem is that even *if* you agree with that logic (and I don't. Grover Cleveland and many other presidents before him dealt with recessions without deficits), it still assumes that when out of the recession, your paying off the deficit. We haven't paid off the deficit since we started down this dark road in the 70's.

That's where it falls apart, all right. Countercyclical budgeting is a great idea, but organizations—both corporate and government—have a hard time keeping their financial goals long-term. Everybody loves government spending when times are tough, but when times are good and they see a surplus, they want tax cuts rather than repayment.

It is possible to have a government that will say no, and actually slay the deficit and start repaying debt, but there's a huge amount of political pressure not to do so. I mean who wouldn't want to have a credit card that you can make your kids pay off?

I mean, that's what we have to deal with a popular government =/ It's a trade off between democracy and political insularity.