Jeffreydom
08-08-2004, 08:49
I figured name-calling was the best way to draw attention to my thread, so yes... I went there.
Now, I'm not going to label a whole section of political thought as superior or inferior, it clearly isn't that way. What I do want to criticize is the fiscal policy of conservatives, at least as far as America goes.
The popular fiscal policy of Conservatives and the Republicans for at least the last quarter century has been the Reaganomic method. Cut taxes, expect people to spend more to raise the overall value of the country.
The problem is this: Unless you're in the richest part of America, this policy can't possibly benefit you. If you're in the middle class and you're getting $100 back in a tax rebate, you'll probably not change your spending habits, you'll probably spend most of it all the same--so, to a point, yes, the economy will profit from your contribution. The problem is if you're making $4,000-$400,000 back, your propensity to spend that rebate goes dramatically down. In other words, you're saving proportionally more money than your middle class comparison. Tax cuts usually end up serving as ways of flattening the tax structure, and no one would debate that a flat tax CLEARLY aids only the rich.
The end result -- The government's not spending, and while we can all lament that the government spends money inefficiently, we know that it will spend it all the same, putting money back into the economy. Instead, when you give it to the rich, ultimately, the other 98% of America finds itself at their mercy. If the market is conducive to it, the rich can spend more, and the benefit is slight. However, in a less stable, bear market, we simply end up inflating the disparity between them and us. While we have no choice but to spend--to feed our kids, to pay bills, etc., they can keep their money out of an otherwise dangerous market. We may have slightly more money, but we end up much poorer proportionally.
NOW IF YOU'RE TOO LAZY TO READ THE WHOLE REST OF IT, YOU CAN JUST READ THIS. Ultimately, conservatives believe in tax breaks, feed the wealthy, and the wealthy will feed the economy. Liberals believe in raising taxes, and the government will feed the economy itself. The problem is, in a recession, the time when fiscal policy is most important, the conservative view is not only less applicable to aid our GNP, but harmful to the economy. It doesn't work for the nation as a whole, and it doesn't work for 98% of Americans.
Now, I'm not going to label a whole section of political thought as superior or inferior, it clearly isn't that way. What I do want to criticize is the fiscal policy of conservatives, at least as far as America goes.
The popular fiscal policy of Conservatives and the Republicans for at least the last quarter century has been the Reaganomic method. Cut taxes, expect people to spend more to raise the overall value of the country.
The problem is this: Unless you're in the richest part of America, this policy can't possibly benefit you. If you're in the middle class and you're getting $100 back in a tax rebate, you'll probably not change your spending habits, you'll probably spend most of it all the same--so, to a point, yes, the economy will profit from your contribution. The problem is if you're making $4,000-$400,000 back, your propensity to spend that rebate goes dramatically down. In other words, you're saving proportionally more money than your middle class comparison. Tax cuts usually end up serving as ways of flattening the tax structure, and no one would debate that a flat tax CLEARLY aids only the rich.
The end result -- The government's not spending, and while we can all lament that the government spends money inefficiently, we know that it will spend it all the same, putting money back into the economy. Instead, when you give it to the rich, ultimately, the other 98% of America finds itself at their mercy. If the market is conducive to it, the rich can spend more, and the benefit is slight. However, in a less stable, bear market, we simply end up inflating the disparity between them and us. While we have no choice but to spend--to feed our kids, to pay bills, etc., they can keep their money out of an otherwise dangerous market. We may have slightly more money, but we end up much poorer proportionally.
NOW IF YOU'RE TOO LAZY TO READ THE WHOLE REST OF IT, YOU CAN JUST READ THIS. Ultimately, conservatives believe in tax breaks, feed the wealthy, and the wealthy will feed the economy. Liberals believe in raising taxes, and the government will feed the economy itself. The problem is, in a recession, the time when fiscal policy is most important, the conservative view is not only less applicable to aid our GNP, but harmful to the economy. It doesn't work for the nation as a whole, and it doesn't work for 98% of Americans.