What Happens If Republicans Keep Cutting Taxes?

Ever hear of %26quot;Starving the beast%26quot;? It%26#039;s an American conservative political strategy which uses budget deficits to attempt to force future reductions in government expenditure, especially spending on socially progressive programs. The term %26quot;beast%26quot; is used to denote government and the social programs it funds, including publicly-funded health care, welfare, educational financial aid, and Social Security. Some empirical evidence shows that the strategy may actually be counterproductive, with higher taxes actually corresponding to lower spending: %26quot;Controlling for the unemployment rate, federal spending [from 1981 to 2000] increased by about one-half percent of GDP for each one percentage point decline in the relative level of federal tax revenues.%26quot; The article (written by William Niskanen and Peter Van Doren of the Cato Institute) shows that %26quot;a tax increase may be the most effective policy to reduce the relative level of federal spending.%26quot;

What Happens If Republicans Keep Cutting Taxes?credit repair

Anyone with an ounce of sense knows that cutting taxes coupled with increased government spending and inflation only leads to ever-increasing deficits. The %26quot;tax cuts%26quot; are meant to increase individual spending in support of our economy. Unfortunately, the tax cuts are of benefit only to the very rich - the average American worker can spend their tax cut benefit on one family meal at a fast food restaurant.

It%26#039;s a credit card economy that has been spoon-fed to the American people. Unchecked, your kids and grand-kids will suffocate when it all collapses.

Republicans have tagged a tax increase as an evil wrought by the Devil. Almost every item and service in our economy has steadily increased in price over the years. A large part of our %26quot;freedom%26quot; is paid for by our taxes. Until we accept the fact that tax increases must reflect inflation and the increasing price of consumer goods, we%26#039;re in deep trouble.

What Happens If Republicans Keep Cutting Taxes?

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They%26#039;ll just raise the taxes somewhere else. It%26#039;s what all politicians do.|||Im a Republican and I think we should decrease taxes for the really poor people and raise taxes for the really rich people. But no matter what we need to increase taxes to pay for our military and public services like schools and everything. And im sorry but i dont feel like reading everything you wrote in your question.|||Confiscate all wealth above $10 million. Greatly increase penalties for government corruption and incompetence.

Make only the top 10% of wage earner pay income taxes.

Punish corporate irresponsibility harshly. Nationalize the oil companies. Get America off the oil addiction.

THINK LONG TERM!|||This is the most boneheaded idea I have ever read. Tax rates have nothing to do with government spending. All spending measures have to start in Congress. The problem with deficits is that Congress spends more than the government taxes in, in taxes...no matter how much is taken in.

When Ronald Reagan cut tax rates, total tax revenues increased dramatically. Although Democrats in Congress agreed to cut spending, they did not do it.

When George W. Bush cut tax rates, the total dollar amount of taxes increased dramatically. Again, Congress is outspending the revenues. Even with record high spending, the deficit is expected to be less than the projected 171 billion.

When citizens have more money to spend, they spend it. This is why the economy has been booming non-stop for the past several years.|||My head asplode.|||sounds good to me|||The glutton (and downfall) of many politicians is having too much tax money at their disposal and not having enough ways to spend it.

So, they find ways to spend it, many of which are absolutely ridiculous. PORK SPENDING.

So other necessities that need to be addressed, aren%26#039;t.

Then there%26#039;s the great problem Minnesota faces (and other states.) They end up with a huge surplus and blow it.

We had 2 Billion dollars in surplus and they couldn%26#039;t fix a damn bridge.

Interesting concept huh?|||the economy keeps growing|||For those of you who think Reagan%26#039;s policies actually did what you are describing, I recommend:

%26quot;President Reagan, role of a lifetime%26quot; by Lou Cannon.

http://books.google.com/books?id=I5Yoz3d...

Cannon has written five books on Reagan, and is considered the foremost biographer of Reagan.|||Working people, that includes the democrats, get to keep more of thier money. Duhhhhh|||Your %26quot;question%26quot; is typical liberal new-speak. What you are advocating is socialism/communism, taking from those who earn and giving it to those who do not. Rather than depending on the %26quot;government%26quot; to take care of you, accept some personal responsibility for your actions or inactions. So many liberals conveniently neglect to mention %26quot; publicly funded%26quot; means paid for through taxes, money taken from those who worked for it.|||WOW what the hell was all that?

what ever happened to keep it simple.

In easy terms

my wife=balanced budget

me=congressional spending

get a good balanced budget take my access to spending away and the numbers will come together!