Obama's Tax Plan

[jjamie12]

Obama Tax Plan

Obama's tax plan doesn't seem to warrant the outrage it gets from those of us on the conservative side, does it?

 

Can any of our resident economists chime in on this?

[billsfanone]

Got my vote!

[billsfanone]

I take that back!!!

[GG]

It sounds good in theory, but in the end it will be counterproductive, because of how much tax revenue is generated by the top tax bracket. Obama's plan will end up giving a tax cut to the middle class, but the high tax increase to the wealthy & superwealthy will be a huge boon to the tax avoidance industry because they will start deferring large amounts of income. There will be a momentary spike in tax collections because it generally takes some time for the super rich to shift incomes, but once it's in place, they'll have to start jacking up tax rates again on everyone because (surprise, surprise) the increased tax rate didn't generate as much tax revenue from the upper crust as Robin Hoods initially thought.

[PastaJoe]

The economy did quite well with the previous higher tax rates of the '90s, and it can do so again. The Republicans had their chance to prove trickle down economics where lower rates would result in less gov't debt and a stronger dollar, and it's been just the opposite result.

[GG]

The economy did quite well with the previous higher tax rates of the '90s, and it can do so again. The Republicans had their chance to prove trickle down economics where lower rates would result in less gov't debt and a stronger dollar, and it's been just the opposite result.

 

Brilliant idea. Now all we need if for someone to invent a new Internet and scare up another Y2K fear and you'll have a similar economic performance.

[PastaJoe]

Brilliant idea. Now all we need if for someone to invent a new Internet and scare up another Y2K fear and you'll have a similar economic performance.

 

That's the problem with conservatives, no new ideas, just lower taxes and everything will be great. Too bad it never works. There's this new economic opportunity called alternative and renewable fuel sources, I guess you didn't hear about it.

[JK2000]

It sounds good in theory, but in the end it will be counterproductive, because of how much tax revenue is generated by the top tax bracket. Obama's plan will end up giving a tax cut to the middle class, but the high tax increase to the wealthy & superwealthy will be a huge boon to the tax avoidance industry because they will start deferring large amounts of income. There will be a momentary spike in tax collections because it generally takes some time for the super rich to shift incomes, but once it's in place, they'll have to start jacking up tax rates again on everyone because (surprise, surprise) the increased tax rate didn't generate as much tax revenue from the upper crust as Robin Hoods initially thought.

 

You mean the rich and corporations are not already avoiding taxes? The GAO just said that 2/3 of American corporations paid ZERO DOLLARS of income tax and 68% or foreign companies paid ZERO DOLLARS of corporate tax!

 

http://ap.google.com/article/ALeqM5hK6PvUK...wP5rogD92GMEP00

 

"Only the little people pay taxes."

[GG]

That's the problem with conservatives, no new ideas, just lower taxes and everything will be great. Too bad it never works. There's this new economic opportunity called alternative and renewable fuel sources, I guess you didn't hear about it.

 

Aha, no new ideas. How about the idea of letting people come up with ideas and give them all the incentive to come up with new ideas, which include risk taking by leaving cushy jobs to build something new with zero promise of a return?

 

Yes, renewable and alternative sources of energy, which are replacements for a current source of energy, meaning that you will net zero new growth, since adding one will mean subtracting one. But keep up with your deep understanding of this issue as well as you know other topics that you've discussed.

[PastaJoe]

Aha, no new ideas. How about the idea of letting people come up with ideas and give them all the incentive to come up with new ideas, which include risk taking by leaving cushy jobs to build something new with zero promise of a return?

 

Yes, renewable and alternative sources of energy, which are replacements for a current source of energy, meaning that you will net zero new growth, since adding one will mean subtracting one. But keep up with your deep understanding of this issue as well as you know other topics that you've discussed.

 

You're lack of understanding is alarming but expected. The demand for energy worldwide is increasing, therefore additional sources are needed just to keep pace.

[GG]

You're lack of understanding is alarming but expected. The demand for energy worldwide is increasing, therefore additional sources are needed just to keep pace.

 

Let me slow it down for you - demand will grow as long as the economy grows. One is a cause, the other one is an effect. Perhaps you could have sensed that seeing what's happened to oil & commodity prices in the last three weeks at the signs of a global slowdown pushing down demand. Keep thinking outside the box, your party needs you.

[PastaJoe]

Let me slow it down for you - demand will grow as long as the economy grows. One is a cause, the other one is an effect. Perhaps you could have sensed that seeing what's happened to oil & commodity prices in the last three weeks at the signs of a global slowdown pushing down demand. Keep thinking outside the box, your party needs you.

 

Cripes, demand has gone down because non-wealthy people can't afford the increased costs, because their earnings in this "growing economy" aren't keeping up with increased costs. A few cents off a gallon of gas isn't much when you look at how much it went up over the past year. The "growing economy" has only helped the wealthiest, while the gap between them and the middle class and poor increases. Yeah, that's a great deal for the majority of us.

[GG]

Cripes, demand has gone down because non-wealthy people can't afford the increased costs, because their earnings in this "growing economy" aren't keeping up with increased costs. A few cents off a gallon of gas isn't much when you look at how much it went up over the past year. The "growing economy" has only helped the wealthiest, while the gap between them and the middle class and poor increases. Yeah, that's a great deal for the majority of us.

 

Way to stay on topic and understand the issue. Don't worry, maybe one day Paul Krugman will write an editorial that you'll be able to copy in your response.

[Alaska Darin]

Cripes, demand has gone down because non-wealthy people can't afford the increased costs, because their earnings in this "growing economy" aren't keeping up with increased costs. A few cents off a gallon of gas isn't much when you look at how much it went up over the past year. The "growing economy" has only helped the wealthiest, while the gap between them and the middle class and poor increases. Yeah, that's a great deal for the majority of us.

Your idiocy has no limits. That's pretty awesome all in itself.

[In-A-Gadda-Levitre]

Let me slow it down for you - demand will grow as long as the economy grows. One is a cause, the other one is an effect. Perhaps you could have sensed that seeing what's happened to oil & commodity prices in the last three weeks at the signs of a global slowdown pushing down demand. Keep thinking outside the box, your party needs you.

while economic growth certainly affects demand, there's so many other factors, not the least of which is the price of gas and diesel fuel. In order to change the demand model, we really have to change our lifestyles (i.e. one car/one person), while drilling, developing alternative energy sources, making more efficient vehicles, and all that

[/dev/null]

while economic growth certainly affects demand, there's so many other factors, not the least of which is the price of gas and diesel fuel. In order to change the demand model, we really have to change our lifestyles (i.e. one car/one person), while drilling, developing alternative energy sources, making more efficient vehicles, and all that

How about 2 girls/1 cup?

[Philly McButterpants]

The economy did quite well with the previous higher tax rates of the '90s, and it can do so again. The Republicans had their chance to prove trickle down economics where lower rates would result in less gov't debt and a stronger dollar, and it's been just the opposite result.

 

I take it you were born sometime after 1988?

[Alaska Darin]

I take it you were born sometime after 1988?

Just mentally.

[Pine Barrens Mafia]

The "growing economy" has only helped the wealthiest, while the gap between them and the middle class and poor increases.

 

You missed GG's point. Not a surprise, but let me see if I can boil it down to your level of comprehension:

 

If you attempt to raise taxes on the wealthy or corporations, they'll just shelter their income to avoid the new taxes.

 

Therefore, it won't work.

[BigAL]

You missed GG's point. Not a surprise, but let me see if I can boil it down to your level of comprehension:

 

If you attempt to raise taxes on the wealthy or corporations, they'll just shelter their income to avoid the new taxes.

 

Therefore, it won't work.

So basically you're saying don't bother taxing the wealthy because they will cheat. Now that makes sense. Let's overtax the little guy instead since he doesn't have the means or wherewithal to avoid paying.