So much for the economy

[iplaw]

http://article.nationalreview.com/?q=ZWJjODhlYTQ5MWYyZmQ1ZjQ5M2NhODEwZWM1ZTJmNjA=

Despite what happened to Democrats as a result of that tax hike, the budget they submitted their first year back in control of both houses of Congress — and pushed through Thursday on a party-line vote — provides a framework for tax hikes a full three times larger than the one that put them in the minority back then. This budget reverses more than a decade of Republican tax relief. It means a tax hike on every single American — working, retired, rich or poor — and, even as it aims to raise nearly $1 trillion with new taxes, does absolutely nothing to rein in spending or shore up an entitlement system badly in need of reform.

Everyone takes a hit. Forty-five million working families with two children will see their taxes increase by nearly $3,000 annually. They'd see the current child tax credit cut in half — from $1,000 to $500. The standard deduction for married couples is also cut in half, from the current $3,400 to $1,700. The overall effect on married couples with children is obvious: Far from shifting the burden onto the wealthy, the Democratic budget drives up taxes on the average American family by more than 130 percent.

Seniors get hit hard too. Democrats like to crow that only the richest one percent of Americans benefit from the stimulative tax cuts Republicans passed in 2001 and 2003. What they rarely mention is how much seniors benefited from those cuts in the form of increased income as a result of lower taxes on dividends and capital gains. More than half of all seniors today claim income from these two sources, and the Democratic budget would lower the income of every one of them by reversing every one of those cuts.

[Wrinkle]

"The People have spoken"

Only goes to show they haven't a clue.
Besides killing their party, the White House, the Justice Dept and the War, now they're after the economy.

[cannon_fodder]

Well, after the massive tax cuts the federal government saw tax receipts rise 10% (to the highest tax receipts in the history of any nation, FYI).  

All the data shows that in the short term tax cuts lead to more rapid GDP growth.  In the short term tax hikes slow GDP growth.  In the long run, the effects are swallowed by the economy and the aggregate effect is unknown (as taxes change so frequently that a long term study has never been completed).

However, I fail to see any reasonable explanation of how higher taxes could help an economy.

Then again, I guess I'm biased.  I care about where my tax money goes and how much they take.  I have a child credit, I'm in a modest household bracket, I am married, and I have itemized deductions (which they are eliminating some of).  I am VERY damn middle class (Nissan and Taurus, 2 working members of the family, $100K house... that's probably the definition) and stand to lose a couple thousand dollars to the federal government.

That's awesome.  The local economy just lost $2,000 because I can no longer afford to spend that money.  So if you side houses, its your loss too because that was on the drawing boards.

I have to imagine what's bad for me is bad for the VAST majority of middle class America - which constitutes the vast majority of America.  And what's bad for them is bad for everyone else.

[edit]I would grudgingly pay more taxes if funding was reduced and other measures taken to reduce the deficit.  Not just to send into a black hole.[/edit]

[Conan71]

For some reason libs still don't get that private enterprise and individuals make better investments in the economy than the gov't. does.

Cutting the child tax credit in half really hoses the working class.  As it was this last year, it phased out over $110K income.  Cutting it in half will really stick it to families with combined incomes of $50K or less.

They have ranted and raved about out of control deficits, but cutting spending hasn't seemed to register with them.

A tanked economy in the last year of Bush's admin pretty much will dash his hopes of anything other than immigration reform toward a positive legacy.  I can hear the '08 election battle cries: "Look at what Bush did to the economy!"

Absolute BS!

[mr.jaynes]

quote:Originally posted by Conan71

For some reason libs still don't get that private enterprise and individuals make better investments in the economy than the gov't. does.

It does by and large depend on the individuals, business and politicians involved.