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Economics-Government-E-E

10 Jul

While Democrats continue to claim the rich have to pay a bigger share, they ignore the basic problem. The problem is their inability to get along with what they have. While federal law requires a balanced budget, they add additional spending after approving the budget so it doesn’t show up in the budget. They spend freely running up the national debt and then raise the debt limit to accommodate it. They claim they will not raise taxes but quietly add new taxes or tax increases into other bills. The increased taxes are mostly directed at businesses, so they will be invisible to the average taxpayer. They feel that since those taxpayers are voters, they need to be kept in the dark. They say the businesses are getting rich and can afford it but those taxes are then passed on to the consumer. In addition, increased taxes decreases profit and discourage expansion and results in businesses cutting back on their labor force and on production of less profitable goods, resulting in the taxes bringing in less than expected. They also need to cut taxes. History has shown that cutting taxes encourages business expansion and usually more than makes up for the tax rate cuts in added sales and additional employees hired.

 

 

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