The formula by conservatives in the last 30-40 years has been:33anda3rd wrote:It's like the ol' baseball argument of hitting the pitcher 8th. Yeah, you can do it, but you have to hit everyone else in their optimized spot in the order to get the full result, and it doesn't work if you put the pitcher 8th and don't optimize the rest.
Here's annualized GDP growth since 1923 and up to 2009.
That big block of blue growth after the recession was the result of massive public works and a war. Every year in that span our economy grew more than it has in any single year the last 40 years or so. Our tax dollars were spent on putting people to work, either on roads or killin' Nazis. People were lifted out of poverty and into the middle class. Everyone was working and contributing.
In 1941 the tax rate on those making over $5 million was 81%. It was 70% for over $150,000.
Mark that up for inflation and $5 million today = almost $84,000,000 and $150,000 in 1941 is $2.5 million today.
Today if you make $84 million or if you make $2.5 million your tax rate is 39.6%. Anyone over a half million is the same.
The tax rate is half. We have less money for public works. Our economy grows slower. We have more people in poverty. We have a bigger divide between the ultra-rich and everyone else.
We need that combo of taxing the wealthy and corporations (and mega-churches while we're at it) plus a government that will use that money to put people to work. We can build solar power, wind-power farms, new roads, new sewers. Anecdotally, they are changing all the water pipes on Logan Boulevard, my street. The guys out there last week were telling me those pipes were from the late 1800s. Given urban density growth in neighborhoods like mine there's probably plenty of room to improve infrastructure so the amount of people on the grid doesn't crash stuff like our sewers and electric lines.
1. Make tax cuts and starve government services
2. Government then struggles to provide services, mistakes are made, problems arise
3. Use the fact government is struggling so much to argue for more tax cuts, go back to step 1


