So most folk here are completely against the stimulus package and instead either advocate the "tax cuts only" solution to the current economic
crises or to just simply wait it out. Some suggest we completely change the system to a "no income tax no IRS" financial system in the middle of
this crises. While I constantly hear the broken records of "tax cuts" and "socialism" and "elitist Democrats" coming out from many ATSers here I
dont really see any relevant evidence to support that tax cuts are the solution. Infact from my own history and my own research on the matter, along
with most economists, the "tax cuts only" proposal is well ineffective and if anything it will probably make our economic crises worse.
I dont hate tax cuts and I dont love big government, however the effectiveness of tax cuts and government itself, whether it be small or big, is
important to me. Over the years Iv learned that whenever a conservative candidate goes on about tax cuts, what they really mean, and what folks find
out years following that administration, is that we cut your taxes now, but in the future we will have to raise the other taxes you pay and will have
to lower the budget on infastructure and public services. You know what? after every "tax cut" that had come from previous Republican
administrations, I find myself having to pay more back afew years later and it always seems as though investment in our schools, our roads, our
hospitals, police, fireman and other public services significantly decrease,at our expense.
We all loose out when we dont invest in America.
Then ofcourse there is the reality that the top one percent will recieve the bulk of those very tax cuts thats meant to stimulate the economy, you
know, the ones everbody here seems to be putting a large fraction of the blame on, will recieve the most out of their tax cuts.
So my view on the "tax cuts only" proposal to escape the recession is well... a broken record. Its a tired old excuse that the republicans and
conservatives/ libertarians alike have to get themselves ahead of. Tax cuts are usually successful under a stable economy, and by this I mean if we
are in a good economy, because then it prolongs the good economy. The implementation of a "tax cuts only" solution in a recession only replaces debt
with tax debt, that in turn forces us to take out our investments in america, such as public services, roads etc. So we loose out and we wound up
paying more later. In addition with every $1
investment in infastructure, we get back $1.65
Now investment in america goes beyond the benefit of return. Investment in america assures 100,000s of jobs in construction and public services and
businesses that deal around infastructure. Unlike the lone tax cut proposal, stimulating the economy by focusing on our building, our roads, our
schools etc, we are preserving much needed jobs.
Pete K. Rahn, president of the American Association of State Highway and Transportation Officials, said states desperately need money to build
more roads and highways, and said $25 billion would put a lot of people to work. Mr. Rahn, who is also Missouri’s transportation secretary, said a
survey of state agencies earlier this year found that there were 3,000 such projects — costing $18 billion — ready for an immediate start, should
funding be available.
Iv come to realize despite these facts nevertheless that the rightwing of this country have no intention of even compromising. The fact of the matter
is that the "tax cut" talk is outdated and full of loopholes that the working class tax payer like myself wounds up paying more back years after.
Despite the ineffiency of tax cuts Obama still made the attempt to come to some sort of bi-partisan agreement. In January he decided to add a whopping
$200 billion into the stimulus package to get support and to get acting on this crises, and you know what? At that time conservatives/Republicans
pony'd up and agreed to it:
Jan 08 2009: The proposed $300 billion in tax cuts were greater than expected and immediately won praise from Republicans who had criticized the
previous focus on government spending. Senate Minority Leader Mitch McConnell (Rep.-Kentucky) praised the tax cuts, saying they were "the sort of
thing we could have bipartisan agreement on," adding that "Republicans, by and large, think tax relief is a great way to get money to people
So what happened to that support? The Republicans decided to drop out on the last minute. This is an urgent crises, just like the $200 million a day
war of lies was back in 2003, the one thats $100's of billion's in cost, that was against our constitution, that we had no real reason going to, and
yet here is a package to invest in america, in a REAL american crises than Bushes oil deals, and yet the Republicans decide not to cooperate. And yet
here they are, still going off about the same deal, "tax cuts". The biggest political scheme on the earth.
The fact the conservatives are making it every bit hard to get any solution, a realistic solution to this economy, a solution that stimulates the
economy, because they are looking out for 2010 and 2012. Damn shame we have these so called "representitives" put partisan prospects before the
nation. Its damn shame many have gotten themselves fooled into thinking these tax cuts will do them any good, do the economy any good, heck, fooled to
the fact "tax cuts" are any indication the the republicans are trying to get a solution.
Paul Krugman, Ph.D in economics, nobel prize winner, said it best:
Yet the centrists did their best to make the plan weaker and worse.
One of the best features of the original plan was aid to cash-strapped state governments, which would have provided a quick boost to the economy while
preserving essential services. But the centrists insisted on a $40 billion cut in that spending.
The original plan also included badly needed spending on school construction; $16 billion of that spending was cut. It included aid to the unemployed,
especially help in maintaining health care — cut. Food stamps — cut. All in all, more than $80 billion was cut from the plan, with the great bulk
of those cuts falling on precisely the measures that would do the most to reduce the depth and pain of this slump.
The way to move america out of the recession is to invest in america. To an extent minimal tax cuts may be included to help certain sectors in my
opinion, but to those on the right of the spectrum, the notion of "tax cuts" as the soul solution is well outdated and as history shows, not all its
cracked up to be.
Whats more interesting, in part regarding the tax cut claim, and the blame game, is that this issue seems to be pinned either on "big government
liberals" or "the elite wall street bunch" even though 8 years of this mess growing was under conservative watch, or that 6 out of those 8years
were republican majority houses, with their Bush tax cuts and their outdated trickled down theories.
How about the fact this mess is for the most part our fault, the citizens fault, that we overspent and helped this happen. I may have not spent beyond
my means but I am among the populous who did so. 50% of this mess is the middleclass american citizens fault, and yet here are, complaining about
giving wallstreet a bail out on their bad judgement and greed, while we want one. Hypocrisy.
The fact everybody is jumping onto the "hate stimulus only tax cuts" bandwagon, where the lies, costs and hypocrisies of Iraq are forgotten, where
the lessons of conservative "tax cuts" are not learned, where history is ignored, and where scape goats are found on Wall street show why we are
[edit on 12-2-2009 by southern_Guardian]