Originally posted by Eurisko2012
Both the GOP and the Dems have already agreed that there will be major changes with the
current tax code. Herman Cain showed us the way.
- Actually, so did Steve Forbes a long time ago.- Remember?

edit on 19-11-2011 by Eurisko2012 because: (no reason given)

Every President has said they were going to do that....... it just ain't going to happen. I don't know why people keep thinking that someday it will.

There really isn't the political willpower in this country to do it. If you did it, almost everyone would pay more taxes, hardly a good re-election slogan to run on.........."I raised taxes on the poor, the middle class, the rich and businesses, vote for me!".

Originally posted by Eurisko2012

- Actually, so did Steve Forbes a long time ago.- Remember?

edit on 19-11-2011 by Eurisko2012 because: (no reason given)

Right. I totally forgot how Forbes passed a flat tax and things have been awesome ever since. As long as I understand what plane of reality you are operating in now.

Originally posted by tothetenthpower

The following is my opinion as a member participating in this discussion.

You mis understand. The long term is what I was talking about. Freezing spending is a band aid, and will not work. You can't freeze the money of a nation or how the government spends money. Monetary and spending policy should be in full motion all year round, with significant changes happening all the time.

You also can't just cut spending, you have to raise revenue. There's no plan on the table for that, the GOP would like to REDUCE revenue by means of tax cuts. Which truly is a tax spending, as now they have to find that much more money in order to balance the budget.

See where the problem is?

Any economist worth his weight in gold will tell you that drastic change is required in the World Financial System in order to make things ok. And by drastic they don't mean just changing the way we legislate the system, we need to change the system.

And stop believing what politicians tell you. They are all lying. Their interests lie with others, not you.

According to the way the CBO (Congressional Budget Office) runs the numbers, simply freezing the budget will be quoted as something like a 9 trillion dollar cut in spending over the next ten years. You should research base line budgeting. Every year there is a built-in increase in the federal budget of 6 to 10 percent. Any time politicians are discussing budget cuts, they are talking about cutting the increase. There hasn't actually been a net cut in federal spending since before the great depression. If they actually freeze the budget, it will be scored as one of the biggest budget cuts ever seen in the federal government.

And about increasing revenue: any economist worth his weight in tin would know about the Laffer curve, which in economics illustrates that increasing revenue can be done by cutting taxes. It's not that hard to understand if you apply your brain. If the federal government made a significant tax rate reduction across the board, all of that money would be left in the hands of the people who have the ability to generate it in the first place. Those producers and entrepreneurs would see greater opportunity to make more money, and thus produce more. There would be businesses investing and expanding, and new businesses being created everywhere, which means job creation, which means more tax payers. So the rates are lower, but there are far more incomes to be taxed. This is the theory that government stimulus is based on--give the money to those that can do something productive with it. Well, tax cuts are the real way to stimulate an economy, but they don't involve graft and greater power for politicians, so naturally they don't happen often.