Tax Cuts Don’t Pay for Themselves
The election is over, but the fight goes on. The President now must battle with conservatives over the expiration of Bush tax cuts, and whether to
- Extend them for ALL income (and continue to starve our government of resources, growing the debt/deficit, which Republicans complain about all the time)…. or
- Extend them only for income under $250,000 (which gives EVERYBODY a tax cut on their first $250K), and not for income over $250K (which affects only 2% of the country)
Be prepared: remind yourself of the facts. Here’s a starter, from ThinkProgress:
from ThinkProgress – Many studies have shown “that tax cuts do not come anywhere close to paying for themselves over the long term.” Greg Mankiw, chair of George W. Bush’s Council of Economic Advisers, called those who believe that tax cuts will result in a revenue increase “charlatans and cranks.” “There is no serious research evidence to suggest that” tax cuts pay for themselves, Republican economist Douglas Holtz-Eakin agreed. But Republican leaders still claim that such a thing will happen, all evidence to the contrary.