This is no surprise. The tinfoil hat people will have a field day with this information, However, this is mostly true. I could argue bias, however it just feels like a broken record that somebody needs to nudge the needle. Just like miracle Max. I offer to solve your problems with you paying me money.
You people act surprised to see that suddenly the rich are richer! Well they pay less taxes so of course they are richer! This is the whole point behind the tax cuts for the rich!
What did you people think would happen? That the rich would actually start spending because you gave them alittle more money?
Let me give you a little illustration about your so-called tax cuts for the rich. The Democrats proposed a new solution to taxes to solve the "problem" of tax-cuts for the rich. This illustration is borrowed from someone on the radio (can't remember who). Also please keep in mind that these numbers are fictional and just for illustration purposes.
Ok, so 50,000 people buy tickets to a baseball game. 1,000 of those people bought box seats for $300. 9,000 of those people bought really good seats right near the dugout for $150. 15,000 people bought average tickets for $75. 25,000 people bought nosebleed tickets for $25.
Well, wouldn't ya know it, the game gets cancelled. The owners of the stadium are Democrats and pass out refunds the same way Democrats want to hand out tax cuts: The 25,000 people get a refund of $50. $25 more than they actually payed for a ticket. Awesome eh? The 15,000 people get a refund of $100. Hey, they get $25 more too... The 9,000 people get a refund of only $125. What? They don't get all of their money back? The 1,000 people? Well, they don't get a refund. Instead, they pay $475 apiece.
That folks, is the math of democrats. Yes, its overexaggerating and silly, but its also a bit serious. Of course the rich are going to get more money back out of a tax cut. They paid more in the first place.
I think the point of giving the middle and lower-class a larger portion of the tax cuts is the fact that the money they get back could make the difference in sending their children to college, or improving their standard of living.
The money will most likely make no immediate difference in the lifestyle of the upper-class.
I think the point of giving the middle and lower-class a larger portion of the tax cuts is the fact that the money they get back could make the difference in sending their children to college, or improving their standard of living.
But doing the hand-outs so arbitrarily does nothing to guarantee their success. Do people in government really think they have mastered economics so well that they can change the face of society with a poiticially-motivated tax system? The current tax system is insane and is s
The issue with these tax cuts is rather simple. No one is arguing that these tax cuts are an attempt to remedy the unjust taxing of people. The purpose behind these tax cuts as advocated by Republicans is that they will spur economic growth.
The problem is that by definition, rich people are rich because they can buy whatever they want. Reducing their taxes is thus NOT going to have any impact on the economy because these people have no real incentive to spend more, the extra little bit of money is not going to have any impact.
Also, the earned income tax credit was originally a Republican proposal if my memory serves me correctly. The idea behind it is also based on the above logic. Poor people are deemed poor because they DON'T have the money to purchase what they want. By giving them back money (or just giving them money) you are pretty much guaranteed they are going to spend it. If you give $1000 to a person who makes $20,000 a year, they will spend it. GIve $1000 to a person who makes $200,000 a year and has $1.5 million in assets, they might not even cash the check mailed to them by the government.
Now, I will be the first to admit that none of this solves the problem of a consumer driven economy. But, I am struggling as much as the next man. I would much rather improve our currently corrupt economy so I can pay the rent than plan for the future. Once we get things under control, then we can talk about changing the way our society works.
Here we go. (Score:1)
Why do you think Bush gave them tax cuts? (Score:0, Flamebait)
You people act surprised to see that suddenly the rich are richer! Well they pay less taxes so of course they are richer! This is the whole point behind the tax cuts for the rich!
What did you people think would happen? That the rich would actually start spending because you gave them alittle more money?
Re:Why do you think Bush gave them tax cuts? (Score:2, Insightful)
Ok, so 50,000 people buy tickets to a baseball game.
1,000 of those people bought box seats for $300.
9,000 of those people bought really good seats right near the dugout for $150.
15,000 people bought average tickets for $75.
25,000 people bought nosebleed tickets for $25.
Well, wouldn't ya know it, the game gets cancelled. The owners of the stadium are Democrats and pass out refunds the same way Democrats want to hand out tax cuts:
The 25,000 people get a refund of $50. $25 more than they actually payed for a ticket. Awesome eh?
The 15,000 people get a refund of $100. Hey, they get $25 more too...
The 9,000 people get a refund of only $125. What? They don't get all of their money back?
The 1,000 people? Well, they don't get a refund. Instead, they pay $475 apiece.
That folks, is the math of democrats.
Yes, its overexaggerating and silly, but its also a bit serious. Of course the rich are going to get more money back out of a tax cut. They paid more in the first place.
Re:Why do you think Bush gave them tax cuts? (Score:3, Insightful)
The money will most likely make no immediate difference in the lifestyle of the upper-class.
Re:Why do you think Bush gave them tax cuts? (Score:3, Insightful)
But doing the hand-outs so arbitrarily does nothing to guarantee their success. Do people in government really think they have mastered economics so well that they can change the face of society with a poiticially-motivated tax system? The current tax system is insane and is s
Re:Why do you think Bush gave them tax cuts? (Score:5, Interesting)
The problem is that by definition, rich people are rich because they can buy whatever they want. Reducing their taxes is thus NOT going to have any impact on the economy because these people have no real incentive to spend more, the extra little bit of money is not going to have any impact.
Also, the earned income tax credit was originally a Republican proposal if my memory serves me correctly. The idea behind it is also based on the above logic. Poor people are deemed poor because they DON'T have the money to purchase what they want. By giving them back money (or just giving them money) you are pretty much guaranteed they are going to spend it. If you give $1000 to a person who makes $20,000 a year, they will spend it. GIve $1000 to a person who makes $200,000 a year and has $1.5 million in assets, they might not even cash the check mailed to them by the government.
Now, I will be the first to admit that none of this solves the problem of a consumer driven economy. But, I am struggling as much as the next man. I would much rather improve our currently corrupt economy so I can pay the rent than plan for the future. Once we get things under control, then we can talk about changing the way our society works.