I can hunt, catch fish, farm, build a log cabin... all I need is fresh water and the 2nd amendment.
One step up, two steps down. Where it stops no one knows.....
Collapse
X
-
Yes, because I work on large-scale civil engineering projects that are years (or even decades) in design/construction. Currently I am involved with the design and construction management of raising the San Vicente Dam (an old WPA project) by 120 feet, and a pump/generating project that pumps water between two reservoirs (lakes actually). The Porkulus plan may actually have some funding for projects of this nature, but I would not bet on it.
No, because the source of funds for these projects may dry up. These are multi-million dollar projects (approaching billions), and as tax rates go up, revenues go down. That is something those on the left don't understand. Increasing tax rates does not correlate directly to increased revenue.
Look at history: Truman cut tax rates, revenues went up. Kennedy cut tax rates, revenues went up. Reagan cut tax rates, revenues went up. Bush cut tax rates, revenues went up. Carter increased taxes, revenues went down. The "dot com" boom happened during the Clinton years so revenues went up in spite of the increased tax rate.
The idea of "paying for tax cuts" assumes the economic "pie" is static. It is not. Reducing taxes on an activity, increases that activity. What would be the best for the government? Taxing an activity by 95% or 10%? Would you invest in something where you know the government is going to take almost ALL your profit? I doubt it; but if they only took a small chunk, you would be more inclined to invest the time and money (risk) in that activity.
Taxing an activity REDUCES the amount of that activity. Increase Capital Gains taxes, you get less investment. Increase income taxes, people will find a way to hide or reduce income. I have heard from several people that make over $250K per year that they are taking steps to reduce their income to avoid the confiscatory Obama taxes.
One last thought: Does anyone remember what the Clinton Campaign slogan was? Has anyone on the Left resurrected that slogan? Now that the Left is in charge, it no longer applies?
"It's the economy, stupid!"A nation of sheep breeds a government of wolvesComment
Comment