Myth vs Facts

  1. You have chosen to ignore posts from tvoter. Show tvoter's posts

    Myth vs Facts

    MYTH: Raising taxes in the 1990s caused the boom years of that decade. This proves that raising taxes leads to economic growth.

    FACT: Tax cuts, not tax hikes, caused the boom years of the 1990s. The economy grew modestly after Clinton raised taxes in 1993, but the economy grew even more after Clinton signed the tax cuts that were passed by the Republican-controlled Congress under Newt Gingrich’s leadership in 1997.

     

    MYTH: JFK’s tax cuts were more responsible than Reagan’s or Bush’s. They were aimed at the middle class and didn’t help the rich.

    FACT: JFK cut taxes more than Reagan did. JFK’s tax cut was larger than the Reagan tax cuts and any single Bush tax cut compared with national income, and it was larger than all three Bush tax cuts combined in relation to the federal budget. In addition, JFK gave a huge tax cut to the rich.

     

    MYTH: Lower tax rates don’t cause economic growth.

    FACT: Even JFK understood that lower tax rates produce economic growth and even higher tax revenue.According to President Kennedy:

    Our true choice is not between tax reduction, on the one hand, and the avoidance of large federal deficits on the other. It is increasingly clear that no matter what party is in power, so long as our national security needs keep rising, an economy hampered by restrictive tax rates will never produce enough revenues to balance our budget — just as it will never produce enough jobs or enough profits. Surely the lesson of the last decade is that budget deficits are not caused by wild-eyed spenders but by slow economic growth and periodic recessions, and any new recession would break all deficit records.

    In short, it is a paradoxical truth that tax rates are too high today and tax revenues are too low and the soundest way to raise the revenues in the long run is to cut the rates now. The experience of a number of European countries and Japan have borne this out. This country's own experience with tax reduction in 1954 has borne this out. And the reason is that only full employment can balance the budget, and tax reduction can pave the way to that employment. The purpose of cutting taxes now is not to incur a budget deficit, but to achieve the more prosperous, expanding economy which can bring a budget surplus. (http://www.americanrhetoric.com/speeches/jfkeconomicclubaddress.html)

    MYTH: Government borrowing and spending spurs economic growth.

     

     

     

    FACT: JFK rejected the idea that we can borrow and spend our way out of tough economic times. Instead, he argued for tax cuts, including corporate tax cuts:

    But the most direct and significant kind of federal action aiding economic growth is to make possible an increase in private consumption and investment demand — to cut the fetters which hold back private spending. In the past, this could be done in part by the increased use of credit and monetary tools, but our balance of payments situation today places limits on our use of those tools for expansion. It could also be done by increasing federal expenditures more rapidly than necessary, but such a course would soon demoralize both the government and our economy. . . .

    The final and best means of strengthening demand among consumers and business is to reduce the burden on private income and the deterrents to private initiative which are imposed by our present tax system — and this administration pledged itself last summer to an across-the-board, top-to-bottom cut in personal and corporate income taxes to be enacted and become effective in 1963. . . .

    Corporate tax rates must also be cut to increase incentives and the availability of investment capital. The government has already taken major steps this year to reduce business tax liability and to stimulate the modernization, replacement, and expansion of our productive plant and equipment. (http://www.americanrhetoric.com/speeches/jfkeconomicclubaddress.html)

    It’s also worth noting that when John F. Kennedy served in Congress as a Representative and later as a Senator, he voted for an across-the-board cut in federal spending in 1950, for raising the annual personal income tax excmption by a whopping 16.5% in 1954, for a $6 billion dollar tax cut in 1958, for reducing taxes on small corporations in 1958, and spoke out against raising taxes on rural electric cooperatives in 1960.

     

     

     

     
  2. You have chosen to ignore posts from tvoter. Show tvoter's posts

    Re: Myth vs Facts

    In response to WhatDoYouWantNow's comment:
    [QUOTE]

    Talk about strawmen.

    Nobody claimed that raising taxes caused economic growth,

    [/QUOTE]


    Liar!

    You and a slew of others have claimed that additional govt spending is needed to spur economic growth and used that as a basis for promoting tax increases!

     

     
  3. You have chosen to ignore posts from StalkingButler. Show StalkingButler's posts

    Re: Myth vs Facts

    [QUOTE]Nobody claimed that raising taxes caused economic growth[/QUOTE]

    The NY Times thinks that raising taxes helps spur the economy:

    http://www.nytimes.com/2012/03/28/business/economy/the-case-for-raising-top-tax-rates.html?pagewanted=all&_r=0

     
  4. You have chosen to ignore posts from tvoter. Show tvoter's posts

    Re: Myth vs Facts

    In response to WhatDoYouWantNow's comment:

    Actually I've been advocating combined spending cuts and a return to the Clinton tax rates for deficit reduction purposes.

    I'm not surprised that you would choose to lie about my positions, while calling me the liar. What a predictably unpleasant person.

    You have nothing. Ever. 

    Now announce that you "won" and treat it like a victory.

    [/QUOTE]

    Oh are you a poor little victim now......

    lol

     
  5. You have chosen to ignore posts from skeeter20. Show skeeter20's posts

    Re: Myth vs Facts

    I think we know why progressives want to raise taxes: to punish people.  Obama said it himself in that Charlie Gibbs interview few years back, PROOF that the progressives have evil, not economic, intent.

     

    http://taxfoundation.org/blog/obama-and-gibson-capital-gains-tax-exchange

     

     

     
  6. You have chosen to ignore posts from Hansoribrother. Show Hansoribrother's posts

    Re: Myth vs Facts

    Obamacare is more of the same punishment.

    Te Dems spent $$ on that ad claiming MItt Romney killed someone because Bain took over the company where someone worked, dumped the helath care plan and the person died from cancer.

    THat was all lies of course, and now the Dems have no problem with millions getting their policies cancelled. It was never about getting everyone insured, just the right ones insured.

    Soft depsotism.

     
  7. You have chosen to ignore posts from UserName9. Show UserName9's posts

    Re: Myth vs Facts


    Fact:  Economic justice and economic growth aren’t incompatible.

    High-tax, society-minded governments like Germany or Scandanavian countries continue to flourish economically and socially, while America's infrastructure rots to its core from voodoo economics.

    The golden age of economic policy in this country lasted from 1945 to 1980.  Our economic policy was characterized by a broad consensus that full employment and good wages were the primary drivers of U.S. economic growth.  America in this time period made the rich pay their fair share; it gave workers the power to bargain for decent wages and benefits; yet contrary to right-wing propaganda (then and now), it prospered.



     

     

     
Sections
Shortcuts

Share