You don't think they'll have an extension, then another extension, etc...i mean its December, you can't expect congress to work. they'll shut down basically.
I think we go over. I partially think the Republicans want to let the Democrats have their tax hike agenda to show everyone what they were against. We're not governing right now; we're having pissing matches.
I think so too. The thing is, its not that bad of a strategy to let the Dems get what they want and let them take the blame for the blowback. What the republicans have been doing, fighting for what they feel is right has obviously not helped them much.
first off, is it really a cliff? I read somewhere it's much more of a mild drop. Also, didn't Presidents have line item veto power once? Whatever happened to that?
The tax increase will result in an increase equivalent to 3.5% of GDP. We've been growing at 1.5%-2% annual GDP increases. Do the math. We hit this point, we go into recession. However, that's the government for which the people voted. I think we should allow President Obama to increase taxes as much as he wants to pay for the spending he desires. Like I said, I'm on board. Let the people experience the tax rates to pay for the government they wanted.
I think the GOP should give Obama what he wants and raise taxes on everyone making over $200k. Let's get this economic collapse expedited. On a related note, I heard from a customer today who ships literally thousands of UPS items a day that he was told UPS is going to be cutting routes and service nationwide, which isn't a good sign for commerce.
Because of trillion dollar annual deficits, debt, three cycles in three years of QE, and the bond markets diminishing. None of that was a factor in the '90s, and there also isn't a paper wealth dot.com bubble to build up the credit market. Plus, raising taxes on the "rich" just means they will pass on money to consumers, and it's already known that at best, $900 billion over 10 years is all that raising the marginal rate will mean in tax revenue. That's less than one year of an Obama budget. These things do matter. At some point, China will stop buying up our debt. My question to you is this. When it is obvious, even by Obama's admission, that raising taxes on the 'rich' isn't going to do more than make a small dent in the debt, why do those taxes need to be raised?
I'm more concerned about cutting spending, but that's not on the table anymore, other than sequestration, which is going to cost a lot of people their jobs in the military and in the defense contractor market. Boeing just announced a 30% workforce reduction today for their defense workers.
well, it still is on the table. saying it's not, doesn't make it so. Also I love how you're implying that Boeing announcing that cut wasn't going to happen had Romney been elected.
The President implies a lot of things, and outright lies about others. Some schmoe on a message board should get more leeway than Obama, IMO.
What really amazes me is how people on this board, who I assume are at least somewhat intelligent and successful, really do buy into the line that "conservatives" (I am probably more socially liberal than most posters here) and the GOP really do hate women and minorities. Inclusive politics are out. Balkanization is in. The next step are obvious for students of history.
The tax side of the question is that only the income tax rates would be the same under Clinton. The capital gains rate would change massively and there would be a whole bunch of new taxes from Obamacare. On the economy side, the economy of the 90s had been growing at a 4%-5%, so it could withstand an extra tax burden. We've been growing at 1.5%-2% and have had the quantitative easing and stimulus contributing most of that figure. Those extra taxes will drive the economy into recession because it's fundamentally weaker.
China actually only owns about 1 trillion of our debt. The biggest holder is the Federal Reserve itself. This topic boggles my mind, because the debt has grown to such a large number, I don't see how we could ever possibly pay the principal? It will be a big enough challenge just to balance our budget, and the interest on the debt is already a huge chunk of our budget. I don't understand why we even need forgien investors when the Fed itself is able to own the debt. Why put real investors at risk? Congress may as well just skip all this banking crap and conjure up the money it needs to pay for things.
here is a nifty little chart, not that it does not cover the last year http://www.heritage.org/research/reports/2012/02/2012-index-of-dependence-on-government scroll down third chart
