Originally Posted by DonDadda59
So you took the long way to say what anyone with common sense already knew- there is no factual basis to back up the idea that tax cuts for the wealthy is beneficial to our whole economy. The only place where that works is in theory, which was put into action by Dubya... and failed miserably.
No need for theory. Here are some proven facts:
BOMBSHELL: New Study Destroys Theory That Tax Cuts Spur Growth
Rachel Maddow provides facts about 'Trickle Down' leading to the ever-increasing wealth gap
One economic theory has been repeated so often for so long in this country that it has become an accepted fact:
Tax cuts spur growth.
Most Americans have gotten so used to hearing this theory that they don't even question it anymore.
One of our two Presidential candidates is so convinced of the theory that he has built his entire economic plan around it--despite the huge negative impact additional tax cuts would likely have on our debt and deficit.
But is the theory true? Do tax cuts really spur growth?
The answer appears to be "no."
According to a new study by the Congressional Research Service (non-partisan), there's no evidence that tax cuts spur growth.
In fact, although correlation is not causation, when you compare economic growth in periods with declining tax rates versus periods with high tax rates, there seems to be evidence that tax cuts might hurt growth. But we'll leave that possibility for another day.
One thing that tax cuts do unequivocally do--at least tax cuts for the highest earners--is increase economic inequality. Given that economic inequality is one of the biggest problems we face in this country right now, this conclusion is very important.
Before we go to the charts, a few observations.
First, this topic has become highly politicized, so it's impossible to discuss it without people howling that you're just rooting for a particular political team. Second, no one likes paying taxes. Third, everyone would like a tax cut, including me.
So I think we can all agree that everyone would prefer that tax cuts actually did spur economic growth.
Well, the bottom line appears to be that low taxes do not spur economic growth and DO cause greater economic inequality.
So, although it sounds like heresy, presidents and Congress-people who actually want to fix the economy might want to consider raising taxes rather than cutting them. Or, at the very least, keeping them the same.
Read more: http://www.businessinsider.com/study...#ixzz2CP2lsjny
So in summary, as you can clearly
see- the theory that tax cuts for the wealthy spur economic growth and everyone reaps the benefits of 'trickle down' wealth is a lie. The facts show that the times of highest job creation, highest gross domestic product (gdp), wealth parity, etc coincide with the times of the highest top tax rate.
Will respond later.. work calls.
Very quickly I'll say, why the hell is income inequality a problem? That's one of the things that are just assumed to be a problem, but really aren't. Why does it matter how much richer the rich are than the poor? The only thing that's important is how rich the POOR are. If the poor are living like Kings, does it matter if the rich are 100x richer than them? No. Would you rather a system where we have equality..... with everyone being equally broke?
Anyway, wish I could get into it more right now but AHHH, gotta go.