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 Post subject: starve the beast, will that work?
PostPosted: Tue Mar 09, 2010 1:46 pm 
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Bird Boi
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I've heard this method for controlling the budget, but it obviously doesn't work. W cut taxes and spent like a drunk sailor (medicare part B, bailout, etc). Obama is much the same. obviously the GOP needs to accept this is a failed idea in the current method the country is run.

http://www.forbes.com/2010/03/04/consum ... tlett.html
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Some Pollyannas think we can just grow our way out of the debt by cutting taxes. But this is not really possible given the magnitude of our problem. First, increasing real growth doesn't have as much effect on the debt as one might imagine. According to OMB, raising the rate of productivity, the basic component of real GDP growth, by 0.5% per year over the next 75 years only reduces the long-run fiscal gap by 17%.
Moreover, raising productivity even that much would be hard; over the last five years the productivity growth rate has averaged 1.8% per year, so we would have to raise it by one-fourth just to reduce the projected debt by 17%.

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 Post subject: Re: starve the beast, will that work?
PostPosted: Tue Mar 09, 2010 2:08 pm 
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Lost
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As a whole, I think the GOP has proved itself as incompetant and self serving as the Dems.

The days of getting out of this simply by cutting taxes and growing the economy are past. Geezer nailed it in the other post regarding spending.

I just don't know that the best way to cut spending is to take control of the entire healthcare system. But hey, those guys in Washington are alot smarter than me. I mean, it's working so well for Medicare, Medicaid and Social Security.

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 Post subject: Re: starve the beast, will that work?
PostPosted: Tue Mar 09, 2010 3:48 pm 
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Paul Ryan's roadmap is a good start, even though some conservatives don't agree with everything in it. I haven't looked at it in detail yet, but I do know that it's comprehensive and addresses the entrenched and mandated entitlement spending that's driving this thing.

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 Post subject: Re: starve the beast, will that work?
PostPosted: Wed Mar 10, 2010 9:29 am 
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cpuke, you forgot about the 5 TRillion in Fanie Mae and Freddie Mac.

What is funny is people forget that the budget is created by congress not the president.

I think congress should have to produce a "Minimum payment warning" section each month like they are legislated credit companies to do on credit card bills

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 Post subject: Re: starve the beast, will that work?
PostPosted: Thu Mar 11, 2010 8:24 am 
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cxgeezer wrote:
Paul Ryan's roadmap is a good start, even though some conservatives don't agree with everything in it. I haven't looked at it in detail yet, but I do know that it's comprehensive and addresses the entrenched and mandated entitlement spending that's driving this thing.


I don't see how Ryan's plan is going to generate enough revenue to work on the debt
http://taxvox.taxpolicycenter.org/blog/ ... 75274.html
Quote:
Top-bracket taxpayers would overwhelmingly benefit from Ryan’s tax cuts. By 2014 people making in excess of $1 million-a-year would enjoy an average tax cut of more than $600,000. To put it another way, their after-tax income would rise by nearly 30 percent.
By contrast, the average taxpayer making $75,000 or less would pay higher taxes if they chose Ryan’s two-rate alternative. If they chose the tax plan more favorable to them, they’d do a bit better. For instance, people making between $50,000 and $75,000 would typically get a tax cut of $157 in 2014, while those making between $40,000 and $50,000 would pay $128 more on average.

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 Post subject: Re: starve the beast, will that work?
PostPosted: Thu Mar 11, 2010 9:00 am 
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That blog seemed to ignore a few things. First off, lower and middle income earners don't hire people or invest, only higher income earners do. Second, with no taxes on interest or capital gains, there is every incentive to keep the money invested. This increases credit available to grow businesses. This is the real engine of business. The leftists would have everyone believe that the Govt is, but we've all seen that all it does is make the govt more inefficient. The money gets tied up in the bureaucracy and is unavailable to those who need it.

I understand that rich people who aren't hurt by taxes like the rest of us just adds to their douchebagginess, but it keeps us employed.

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 Post subject: Re: starve the beast, will that work?
PostPosted: Thu Mar 11, 2010 9:47 am 
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Still haven't got to the details of Ryan's plan. I know he address entitlement spending and that has to be priority one, perdio.

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 Post subject: Re: starve the beast, will that work?
PostPosted: Thu Mar 11, 2010 12:08 pm 
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Who give's a f'k what ryan's plan is. If it lowers the taxes for the people actually PAYING them, and makes people pay who currently aren't, then I'm all for it.

FLAT TAX, FLAT TAX, FLAT TAX.

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 Post subject: Re: starve the beast, will that work?
PostPosted: Thu Mar 11, 2010 1:33 pm 
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WaveDude wrote:
Who give's a f'k what ryan's plan is. If it lowers the taxes for the people actually PAYING them, and makes people pay who currently aren't, then I'm all for it.

FLAT TAX, FLAT TAX, FLAT TAX.


I give a f@ck, cause entitlement spending increases are mandated by law--THEY ARE DECOUPLED FROM TEH REVENUSE.

And chex out this bullshit:

52 million tax returns pay zero income tax.

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 Post subject: Re: starve the beast, will that work?
PostPosted: Thu Mar 11, 2010 1:55 pm 
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I wonder how many of the 30M without health insurance are in that 52M.

From another point of view, at least 22M people not only pay zero taxes, but have health care too.

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 Post subject: Re: starve the beast, will that work?
PostPosted: Thu Mar 11, 2010 2:45 pm 
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cpuke wrote:
I wonder how many of the 30M without health insurance are in that 52M.


Probably only about 15M, cause the other 15M are illegal and aren't even on the tax rolls.

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 Post subject: Re: starve the beast, will that work?
PostPosted: Thu Mar 11, 2010 2:48 pm 
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anyone get there census forms yet?

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 Post subject: Re: starve the beast, will that work?
PostPosted: Thu Mar 11, 2010 2:55 pm 
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no, but I got an extremely useful letter saying that we WOULD be getting it

hmmmmm, if 200 million of those were mailed out, I'm guessing the census just wasted between $100,000,000 and $200,000,000 and a couple of thousand trees (god rest ed begley's soul)

I'm not saying that other censii were less wasteful, because I don't know. But with all the monies woes these days you would think that SOME body would have questioned that. But considering their lame superbowl ad, I can;t say that I'm surprised.

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 Post subject: Re: starve the beast, will that work?
PostPosted: Thu Mar 11, 2010 5:05 pm 
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that was pretty much the first thing I thought.

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 Post subject: Re: starve the beast, will that work?
PostPosted: Fri Mar 12, 2010 9:43 am 
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Ditto. Seriously, wtf were they thinking? Actually makes me want to not do the census.

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