ManusJustus said:
You can't even read a graph. GDP didn't improve in those years, and from this weird graph you googled "electricity use" went up in those years. I'm starting to think that you are just messing with me, saying stupid stuff just to make me upset. |
You do realize Real GDP is the black line right? I mean black line going up means improving.
There is a huge GDP jump higher then any other jump on there.
There was a huge jump, then it leveled off from 1990 to 1991. Coincidentally when the tax rates went up. There was a stifle, Bush raised taxes in response, and things got worse.
The lowest taxes in the last 60 years also coincided with the longest economic growth since Kennedy-Johnson which had the benefit of the Vietnam war. During which... taxes fell.
Your whole argument stems on lowering taxes didn't stop a catastrophic country wide housing bubble from crashing the economy... Even though instances of tax increseases tend to show upswings in unemployment and slower GDP growth... while downsings in taxation tend to show greater GDP growth and less unemployment.
So lowering taxes didn't stop the bubble bursting... but you think raising taxes would of stopped it?
Raising taxes when times are bad is just suicidal.
People EVENTUALLY get used to higher taxes... and EVENTUALLY get used to lower taxes.
However it takes a while for people to get used to it years... hence why raising taxes is only a good idea during times of great growth caused by other factors... so that you can lower the taxes during times when you need to boost sales.
It's all relative... and common sense really.
Even then you can't raise taxes too high or you end up with the government being way to high a percentage of the workforce and controlling way to much of the countries money.
See Greece... or even France... where the government is forced to run deficits because way too many voters work for the government. Have you seen the protests in france lately?
Plus, in the modern era.... raise your taxes too high... and in an era of globalization all that money is going to go overseas.
Which is why if we are going to raise taxes much higher (when times are good) we need to COMPLETELY revamp how we collect taxes.
