Wolf in Sheep’s Clothing
By
Tax rate reductions increase tax revenues. This truth has been proved at both state and federal levels, including by President Bush’s 2003 tax cuts on income, capital gains and dividends. Those reductions have raised federal tax receipts by $785 billion, the largest four-year revenue increase in U.S. history. In fiscal 2007, which ended last month, the government took in 6.7% more tax revenues than in 2006.
This is one of the intro paragraphs in an article at Opinion Journal . Now on the surface, this seems like it is good news. But it’s nothing but a wolf in sheep’s clothing. I will get to that in a bit. The op-ed is trying to compare the above with what would happen if Chuckie Rangle’s latest class warfare idea. Next to the example above, Rangle’s $3.5 trillion tax increase idea is nightmarish.
So why the hesitation to the quote above? God man, the Bush Administration has presided over one of the sharpest growths in spending per household since the Johnson Administration, when Great Society programs were enacted. Since 1965, Federal spending increased 250 percent, five times faster than median income, which rose just over 40 percent. The Bush administration has provided a drug plan that will break an already failing Medicare program. The Bush administration provided the largest Federal expansion and intrusion into education in history. Tax-payers are the ones left behind. Can you imagine what would have happened to our economy if the Bush tax cuts were in place and we reduced our spending? The rate of government growth has increased. What’s going to happen when the Democrats tax us into hell with socialized medicine and carbon offsets and the tax cuts expire? Then the government will need more and more and more and more of your tax money.
Where in the constitution does it say federal taxpayers have to pay for any of the things the federal government has intruded into? To hell with controlling government growth, how about eliminating?
Thoughts…
No related posts.
Chris, this was precisely the implication of Dr. Danielson’s chat with the King Dude.. His point was that it is irrational to make the case that lowered tax rates are good because they increase revenue to the Federal Government. Just stop and consider that logic, for it absolutely reflects the principles of fiscal conservatism and individual liberty.
There can be only one result of the rhetoric of lower rates and more revenue, and it is NOT smaller more limited government.
Consider the third way as implied by Danielson – reduction in tax rates and a reduction (or at worst, zero dollar growth in total) in federal spending… Had Bush and his big spending fellow Republicans followed that fiscally conservative approach there would be no deficit today, our economy would be booming AND the value of the dollar would be far closer to parity than it is right now because we (The US Treasury) would not have to bend over to foreigners to sell debt!
George W Bush has financial blood on his hands and so do the vast majority of Republicans. We are essentially at a point where if JFK were alive and debating today, he would be somewhere to the right of George W Bush.