The Obama - Republican tax deal
How The Deal Affects Taxpayers
Note:
its passage by Congress isn't assured.
Comments:
- The Democratic left is infuriated!
- Proves that neither the Republicans nor the Democrats are concerned about the growing Federal Deficit
- Endangers Social Security
- Will make taxes one of the major issues of the 2012 Presidential race
- Shows how weak the President has become (or strong the Republicans!)
Final comment. No one wants higher taxes and I'm not one who wants higher taxes either. But this is more borrowing to spend ourselves out of this economic funk! The next generation will pay
Nah, they'll default! :^)
ReplyDeleteI'm skeptical that the continued tax cuts will really hit the budget as hard as people think. More or less, the CBO's estimate is that raising taxes on the prosperous won't affect their behavior otherwise--that they'll work just as hard and invest just as much despite not having as much to invest.
In other words, their estimate is based on pink elephants flying over the stars dropping cluster bombs, more or less.
Our (K and me) posture is that any extra income gets invested.
ReplyDeleteInteresting article in the WSJ: Economists React: Pros, Cons of Tax Deal. One selected quote that basically represents my view:
ReplyDeleteIt’s the typical pattern we’ve seen for the past several years. “Bipartisan compromise” means both sides get what they want, because deficit financing of these policies seems like the painless way to get out of gridlock. Rather than mutual sacrifice, it is mutual grabbing. We can never manage to “trade off” — we only “pile on.” –Diane Lim Rogers, The Concord Coalition