GOP Tax Cuts Are Driving US Debt Ratio Higher: Analysis

[Mainecat 4,374]

GOP Tax Cuts Are Driving US Debt Ratio Higher: Analysis

Although they are struggling to come up with a budget proposal of their own, Republicans are unified behind the idea that the federal deficit is the product of excess spending and therefore a problem to be solved by slashing government programs. 

Democrats, on the other hand, lay much of the blame for persistent budget shortfalls on the tax cuts that Republicans tend to push through every time they gain control in Washington. On Monday the liberal think tank Center for American Progress released an analysis laying out the case that GOP tax cuts are the driving force behind the country’s worsening fiscal outlook. 

The argument in a nutshell: 

“Tax cuts initially enacted during Republican trifectas in the past 25 years slashed taxes disproportionately for the wealthy and profitable corporations, severely reducing federal revenues. In fact, relative to earlier projections, spending is down, not up. But revenues are down significantly more. If not for the Bush tax cuts and their extensions — as well as the Trump tax cuts — revenues would be on track to keep pace with spending indefinitely, and the debt ratio (debt as a percentage of the economy) would be declining. Instead, these tax cuts have added $10 trillion to the debt since their enactment and are responsible for 57 percent of the increase in the debt ratio since 2001, and more than 90 percent of the increase in the debt ratio if the one-time costs of bills responding to COVID-19 and the Great Recession are excluded. Eventually, the tax cuts are projected to grow to more than 100 percent of the increase.” 

https://finance.yahoo.com/news/gop-tax-cuts-driving-us-160437971.html

[Deephaven 5,761]

Spending isn't the problem.  Stupid spending is.  The left are the kings of that.  You can't get more inefficient than government so making it larger is a waste of MY and everyone else's money.

[Anler 12,087]

Double taxes on everyone!

[Sleepr2 5,010]

12 minutes ago, Mainecat said:

GOP Tax Cuts Are Driving US Debt Ratio Higher: Analysis

Although they are struggling to come up with a budget proposal of their own, Republicans are unified behind the idea that the federal deficit is the product of excess spending and therefore a problem to be solved by slashing government programs. 

Democrats, on the other hand, lay much of the blame for persistent budget shortfalls on the tax cuts that Republicans tend to push through every time they gain control in Washington. On Monday the liberal think tank Center for American Progress released an analysis laying out the case that GOP tax cuts are the driving force behind the country’s worsening fiscal outlook. 

The argument in a nutshell: 

“Tax cuts initially enacted during Republican trifectas in the past 25 years slashed taxes disproportionately for the wealthy and profitable corporations, severely reducing federal revenues. In fact, relative to earlier projections, spending is down, not up. But revenues are down significantly more. If not for the Bush tax cuts and their extensions — as well as the Trump tax cuts — revenues would be on track to keep pace with spending indefinitely, and the debt ratio (debt as a percentage of the economy) would be declining. Instead, these tax cuts have added $10 trillion to the debt since their enactment and are responsible for 57 percent of the increase in the debt ratio since 2001, and more than 90 percent of the increase in the debt ratio if the one-time costs of bills responding to COVID-19 and the Great Recession are excluded. Eventually, the tax cuts are projected to grow to more than 100 percent of the increase.” 

https://finance.yahoo.com/news/gop-tax-cuts-driving-us-160437971.html

[Highmark 12,307]

Spending has risen far faster than revenue or population growth and historically revenue has always increased substantially after tax cuts.  The idea that deficits are caused by increasing revenues from tax cuts is absolutely absurd. 

Fed, state and local governments collected around $8.5 trillion or close to $28K per person in 2022. 

Times the image by 8.5.

https://www.usgovernmentrevenue.com/yearrev2022_US.html  

 

 

Edited March 29 by Highmark

[steve from amherst 15,066]

2018   $4.11 trillion

2019   $4.45 trillion

2022   $ 6.27 trillion 

 

spending increases are gooder

[BOHICA 2,763]

1 hour ago, Deephaven said:

Spending isn't the problem.  Stupid spending is.  The left are the kings of that.  You can't get more inefficient than government so making it larger is a waste of MY and everyone else's money.

Pretty easy to pay less in taxes so your own tax dollars don’t go to stupid spending.

[Pete 2,632]

I’m still waiting for my $1500 check from Biden like I got from trump.

[Crnr2Crnr 5,574]

2 hours ago, Deephaven said:

Spending isn't the problem.  Stupid spending is.  The left are the kings of that.  You can't get more inefficient than government so making it larger is a waste of MY and everyone else's money.

conversely...

not paying that debt - bad

not having a plan to pay down that debt - worse

electing people over and over from either party that have no plan to pay down said debt, can craft a plan to pay the debt mutually or alone and keep adding to the debt and continuously kick the debt can down the road - terrible

good job boomers, you're helping fuck multiple generations behind you just to satisfy yourself...

 

[BOHICA 2,763]

1 hour ago, Pete said:

I’m still waiting for my $1500 check from Biden like I got from trump.

Those were the good old days for those that qualified for the Trump Check…. I miss the days of Obama’s Payroll Tax Holiday.  Big cuts to what you had to pay into Social Security were pretty epic.

[Edmo 3,578]

Don’t need to “slash” anything. Just lower the costs a couple percent and you could actually balance the budget. More dem fear mongering. Bunch of a holes in Washington that want to keep on spending like it’s fake money.

[stinkipinki 412]

Well inflation was caused by printing a shit ton of money we don't have to win votes.
Spending money doesn't cause inflation, printing it does.
 

This is what happens when you have a generation of woke liberal brats who don't want to work, build and create, but would rather mooch and get free handouts.

[racer254 3,807]

How is a possible that any middle class blue collar worker would complain about and fall for the gimmick that tax cuts, that put more money in your pocket are a bad thing.  If you think you need to give more to the government, then why not just do it.

Coming from someone who moved to another state to save on taxes this seems ironic.

[snoughnut 5,036]

34 minutes ago, stinkipinki said:

Well inflation was caused by printing a shit ton of money we don't have to win votes.
Spending money doesn't cause inflation, printing it does.
 

This is what happens when you have a generation of woke liberal brats who don't want to work, build and create, but would rather mooch and get free handouts.

All those wealthy biz people who took 900 billion in forgiven PPP loans are lowlife mooches also, what's your take on that? 

[racer254 3,807]

LETS GO BRANDON