Bush Tax Cuts preceded the slowest period of post-WWII economic growth

Discussion in 'Politics, Religion, Social Issues' started by Ugg, Nov 18, 2010.

  1. Ugg macrumors 68000

    Ugg

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    #1
    NYT

    Mr Leonhardt has a nice little graph that points out quite clearly that the tax cuts did nothing other than inflate the deficit. Well, bushco's spending helped too...
     
  2. Sydde macrumors 68020

    Sydde

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    #2
    But to be fair, did the tax cuts have any significant effect at all? You cannot reasonably separate the policies of the preceding twelve or twenty years from the economic decline that W. Bush precided over. He most likely made things worse, but he had help from before.
     
  3. Ugg thread starter macrumors 68000

    Ugg

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    If you'll remember, Mr Clinton left Mr Bush a modest surplus. Mr Bush gave the wealthy a tax cut and then proceeded to spend like a drunken sailor.

    I agree that it's difficult to tease apart whose policies did what, but tax cuts and massive budget deficits are definitely Bush's responsibility. In my mind, there's no doubt that growing income inequality was responsible for the lowered growth in the first decade of the century. Sure, it began when Reagan took office but Bush did nothing to slow it down and his policies actually accelerated it. Enron and WorldCom were also part of the inequality. The rich got richer and the employees 401ks were declared null and void.
     
  4. NT1440 macrumors G4

    NT1440

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    #4
    I agree.

    Which begs the question, why is everyone screaming about how whatever we do with the tax cuts will have an immediate impact on the economy? Also, what is all this "uncertainty" that all the pundits are talking about? We know what the rates will be if the cuts expire, and we know what they will be if they are extended.

    Call me cynical, but I'm deeply distrustful of almost every policy that relates to money and big business. I feel that every narrative we are given just isn't the truth, or misses the big picture entirely.
     
  5. mcrain macrumors 68000

    mcrain

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    #5
    Historically speaking, tax increases result in long term economic growth while tax cuts lead to short term increases in economic activity, short and medium term reductions in revenue, and long term economic damage.
     

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