There’s not really a revenue problem. Democrats correctly point out that federal tax revenues are now just 16.5 percent of GDP, well below the post–World War II average of roughly 18 percent. This would have meant a bigger budget deficit than usual even if spending hadn’t exploded in recent years. But much of that decline is due to the economic slowdown, not to the Bush tax cuts or other policy changes. In fact, the Congressional Budget Office predicts that as economic growth returns, federal tax revenues will grow by an average of 7.3 percent annually over the next ten years. By the end of the decade, taxes will have pushed back through the 18 percent level, and be headed toward 20 percent — all without any changes in tax policy. NRO
Let me remind the author that George Bush is responsible for much of the deficit, it exploded under his socialist watch, and his spending is what outran his taxes. It is true that Obama has become delusional, but that does not get lil Bush off the hook.
Second, the CBO is mandated by law to lie.
Third. Mike Tanner forgets one thing, it is the wealthy who push for budget cuts, they don't like higher taxes.
Let me repeat. Supply and Demand. If you reduce taxes on the wealthy then they will push for more spending, case in point, Reagan and lil Bush.
No comments:
Post a Comment