Dean Claims Tax Cuts Hurt The Economy?

[XZeroII]

Originally posted by: Wolfdog
In a way he is right, but he should have been more direct and used less rumsfeld speak. The tax cuts are part of the "feel good" way of stimulating the economy. Sure they help on a very short term basis. What happens when everyone has spend any extra monies that they received? That same exact money will have to be paid back three fold, since money isn't free, and we aren't exactly running in a balanced budget. All Bush did is run up a tab on the Bank of US credit card. Putting all the "the tax cut was mostly for the wealthy" debate aside he just signed in a 396 billion medicare package this morning. When you add it into the spot we are already in, where do you think all the money is going to come from? We will end up paying it one way or another, in some form or the sort. If they cut education, then we have to pay that money in increased taxes elsewhere. The federal cuts are coming, like the state closing down half a dozen of the DMV offices here locally. Making for longer lines and more of a pain to go to the DMV. While this is not a federal program by any means, the cuts are coming. The money has to come from somewhere, and people will really feel it when there is major job loss at the federal level. It won't be the politicians either that get laid off. So we end up right back where we started from. A whole lot of people out of work, with a weary job market.

*sigh*
Do you know anything about economics? or are you just spouting off what you think is common sense?

 

[Ferocious]

A deficit budget policy when the dollar is low and decreasing in value can be very dangerous to the economy.