Quote:
Originally posted by strandinthewind
I mean economic theory dictates that tax cuts (at whatever level(s)) must and will stimulate the economy to some degree as will lowering interst rates.
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Yes but these tax cuts aren't real. Bush's tax cuts have mainly shifted the burdens onto state and local governments. Ask anyone you know how much their property taxes have gone up in the last couple of years. [/B][/QUOTE]
I know. The Bush Administration economic policies certainly leave a lot to be desired if you are in a lower income tax bracket or a state trying to pay for the Bush policies (which for the most part have been widely supported by the Demo.'s when it came time to vote). Although every tax bracket got a reduction, IMO, the bracket whose spending will best effect the manufacturing product (and therefore the entire economy) is the $40,000 a year and below people and that percentage was not cut enough. Personally, I think there ought to be a flat income tax of 20 percent; that way the "class warfare" arguments used in tax cut arguments is greatly lessoned. But, that will never happen so we have to deal with what we have, which unfortunately is special interest driven.
On the bright side, the economic indicators indicate that while it has a long way to go, the economy is picking up on almost all fronts. Hopefully, this will mean the big companies will begin hiring again to increase output. Interestingly, I truly believe the low interest rates along with the refinancing boom has been sort of a jump start to the economy. I mean I know people who have refinanced several times and too cash out to pay for things their lower paying jobs would not allow them to buy without the payment for it over 30 years at 5%.
Finally, Johnny, I, too, love this type of debate and love even more that, for the most part, we Ledgies respect other people opinions and present ideas without vitrol - now if we all could only be that way in a Stevie v. L.B. debate
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