50 years of tax cuts for the rich failed to trickle down, economics study says

[Mainecat]

50 years of tax cuts for the rich failed to trickle down, economics study says

Tax cuts for the wealthy have long drawn support from conservative lawmakers and economists who argue that such measures will "trickle down" and eventually boost jobs and incomes for everyone else. But a new study from the London School of Economics says 50 years of such tax cuts have only helped one group — the rich. 

The new paper, by David Hope of the London School of Economics and Julian Limberg of King's College London, examines 18 developed countries — from Australia to the United States — over a 50-year period from 1965 to 2015. The study compared countries that passed tax cuts in a specific year, such as the U.S. in 1982 when President Ronald Reagan slashed taxes on the wealthy, with those that didn't, and then examined their economic outcomes. 

Per capita gross domestic product and unemployment rates were nearly identical after five years in countries that slashed taxes on the rich and in those that didn't, the study found. 

But the analysis discovered one major change: The incomes of the rich grew much faster in countries where tax rates were lowered. Instead of trickling down to the middle class, tax cuts for the rich may not accomplish much more than help the rich keep more of their riches and exacerbate income inequality, the research indicates. 

https://www.cbsnews.com/amp/news/tax-cuts-rich-50-years-no-trickle-down/?__twitter_impression=true 

[Zambroski]

...didn't read one fucking word of the article but, saw the title, knows he doesn't understand any of it anyway...rushes to social media to spread like a good follower.

 

[Snake]

To countless politicians and critics nationally and locally, it was perhaps the most vile thing Congress ever produced.

• The “worst bill in the history of the United States Congress,” said House Speaker Nancy Pelosi.
• “The American plutocracy gets its immoral tax bill,” wrote Jesse Jackson in the Chicago Sun-Times.
• “Sheer greed, an effort by the…. ‘malefactors of great wealth’ to escape more of their obligations to the society,” wrote the St. Louis Post-Dispatch.

It was TCJA, the 2017 Tax Cuts and Jobs Act, and its alleged sin was a massive give-away to the rich at the expense of the poor and middle class.

When the bill was passed in 2017 we said to hold off on that judgement. “One thing for sure,” we wrote, “is that wildly hysterical opponents have convinced the middle class they’ll be getting a tax increase, and that’s nonsense.”

It turns out that may have been understatement.

For the first time, we have the actual results instead of estimates and assertions. In 2018, the first year for which we have hard numbers on TCJA’s effect, the wealthiest Americans paid a greater portion of the burden than they did before.

There’s more. TCJA, according to separate research, lopped a full trillion dollars off the value of high-end homes, not middle-class homes, which was part of a trade-off that accrued to the benefit of the country as a whole.

Here are the details:

The IRS publishes data on which income groups paid how much about two years after each year’s filing deadline. Those numbers for 2018 recently came out and were analyzed by the NTPU, the National Taxpayers Union Foundation. Their conclusions:

As a result of the TCJA, the share of federal income taxes paid increased for the top 1 percent from 38.5 percent in 2017 to 40.1 percent in 2018…. On top of this, the share of income taxes paid by the top 5 percent, top 10 percent, top 25 percent, and top 50 percent all increased. The bottom 50 percent of taxpayers saw their share of federal individual income taxes drop from 3.1 percent to 2.9 percent.

 

https://www.ntu.org/foundation/detail/who-pays-income-taxes-tax-year-2018

[racer254]

How many years are you liberals going to fall for this same schtick?  TAX CUTS WORK.  PERIOD.  The people writing this are trying to convince you otherwise and common sense just doesn't seem to resonate.  Look, they want your money, in the form of taxes.  If you haven't figured the out yet, there is no hope for you.

[Mainecat]

FAIL

[Highmark]

Priceless coming from MC.     

Did the Clinton tax structure work MC?

Edited December 30, 2020 by Highmark

[Angry ginger]

1 minute ago, racer254 said:

How many years are you liberals going to fall for this same schtick?  TAX CUTS WORK.  PERIOD.  The people writing this are trying to convince you otherwise and common sense just doesn't seem to resonate.  Look, they want your money, in the form of taxes.  If you haven't figured the out yet, there is no hope for you.

no they don't.  we haven't had a real decline in our deficit since Clinton.  Who raised taxes and cut spending which is the only way to address the issue.    

[racer254]

12 minutes ago, Angry ginger said:

no they don't.  we haven't had a real decline in our deficit since Clinton.  Who raised taxes and cut spending which is the only way to address the issue.    

Cutting spending, yes.  Not raising taxes.  They want everyone to believe that raising taxes is the way, but it isn't.  They want your money.

[Jimmy Snacks]

46 minutes ago, Zambroski said:

...didn't read one fucking word of the article but, saw the title, knows he doesn't understand any of it anyway...rushes to social media to spread like a good follower.

 

 

18 minutes ago, racer254 said:

How many years are you liberals going to fall for this same schtick?  TAX CUTS WORK.  PERIOD.  The people writing this are trying to convince you otherwise and common sense just doesn't seem to resonate.  Look, they want your money, in the form of taxes.  If you haven't figured the out yet, there is no hope for you.

[racinfarmer]

15 minutes ago, Angry ginger said:

no they don't.  we haven't had a real decline in our deficit since Clinton.  Who raised taxes and cut spending which is the only way to address the issue.    

It needs to happen.  

At current rates, by 2024, we'll almost double our current debt to 49t and change.  

[Zambroski]

Just now, Jimmy Snacks said:

 

Hey Pouts....by all means, give us your thoughts on this.  I really haven't seen you be able to discuss very much intelligently since I've been here.  It's really not much of a wonder you are now taking up oars in the same boat with Tools and MC.

 

[Sleepr2]

19 minutes ago, Mainecat said:

FAIL

Yes, you are a failure.

 

“Asking liberals where wages and prices come from is like asking six-year-olds where babies come from."

 

Thomas Sowell

[racer254]

Stop falling for this bullshit narrative of "RAISE TAXES"  How fucking stupid do you have to be?  They are not going to pay down the debt, until we stop giving them money.

[Angry ginger]

6 minutes ago, racer254 said:

Cutting spending, yes.  Not raising taxes.  They want everyone to believe that raising taxes is the way, but it isn't.  They want your money.

when 20 trillion in debt you can't cut spending to pay if off you must increase revenue and the only income government has is taxes.  

 

 

[racer254]

Just now, Angry ginger said:

when 20 trillion in debt you can't cut spending to pay if off you must increase revenue and the only income government has is taxes.  

 

 

We now have a democrat in the white house and take a good look at what they are pushing.  I don't agree, stop giving them money, stop falling for the crap until they stop giving foreign aid and money to other countries.

[Angry ginger]

1 minute ago, racer254 said:

Stop falling for this bullshit narrative of "RAISE TAXES"  How fucking stupid do you have to be?  They are not going to pay down the debt, until we stop giving them money.

they are not going to pay down the debt regardless until we have a voter base who requires it.  I agree that you don;t raise taxes if you are not going to decrease spending.  We need to do both.  

[Highmark]

20 minutes ago, Angry ginger said:

no they don't.  we haven't had a real decline in our deficit since Clinton.  Who raised taxes and cut spending which is the only way to address the issue.    

Clinton raised TMR from 35% to 39.6% but drastically cut CG taxes.    

https://www.forbes.com/sites/charleskadlec/2012/07/16/the-dangerous-myth-about-the-bill-clinton-tax-increase/?sh=6603a7ee6e8a

[Sleepr2]

2 minutes ago, Angry ginger said:

when 20 trillion in debt you can't cut spending to pay if off you must increase revenue and the only income government has is taxes.  

 

 

Raising taxes without meaningful cuts is never going to happen. 
 

 

 

[racer254]

5 minutes ago, Angry ginger said:

they are not going to pay down the debt regardless until we have a voter base who requires it.  I agree that you don;t raise taxes if you are not going to decrease spending.  We need to do both.  

   Don't let these fuckers trick anyone into believing that raising taxes is the way.  Reduce spending, starting with foreign aid then we can go from there.

[SnowRider]

8 minutes ago, racer254 said:

   Don't let these fuckers trick anyone into believing that raising taxes is the way.  Reduce spending, starting with foreign aid then we can go from there.

Pull up the budget and do the math.  You’re so clueless it’s comical  

Edited December 30, 2020 by SnowRider

[SnowRider]

Dp

Edited December 30, 2020 by SnowRider

[racer254]

5 minutes ago, SnowRider said:

Pull up the budget and do the math.  You’re so clueless it’s comical  

how many countries are giving aid to America?  Just once you should use some common sense.

[Zambroski]

15 minutes ago, racer254 said:

Stop falling for this bullshit narrative of "RAISE TAXES"  How fucking stupid do you have to be?  They are not going to pay down the debt, until we stop giving them money.

Yep.  And even then, I don't think anybody gives a fuck anymore.

13 minutes ago, Angry ginger said:

they are not going to pay down the debt regardless until we have a voter base who requires it.  I agree that you don;t raise taxes if you are not going to decrease spending.  We need to do both.  

B eye Ngo!

Just now, SnowRider said:

Pull up the budget and do the math.  You’re so clueless it’s comical  

WTF are you talking about?  Stupid fuck.

[racer254]

24 minutes ago, Angry ginger said:

when 20 trillion in debt you can't cut spending to pay if off you must increase revenue and the only income government has is taxes.  

 

 

Why not?  If you raise GDP and cut spending, you can start paying it off.

[Jimmy Snacks]

1 minute ago, Zambroski said:

Yep.  And even then, I don't think anybody gives a fuck anymore.

B eye Ngo!

WTF are you talking about?  Stupid fuck.

Settle down Little AMG!🤣