Federal Debt is out of control

[Garfield1966]

Anyone have $440k I can have to pay my share?

http://www.cnn.com/2007/US/03/28/federal.debt/index.html

 

[delldude]

The federal debt has soared during the last two decades -- from $2.13 trillion in 1986 to $5.22 trillion in 1996 and $8.51 trillion in 2006.

The federal debt now stands near $9 trillion.

Hehehe....Don't put it all on 'W'

The way programs such as Social Security, Medicaid and Medicare are structured, the government will incur an additional debt of $50 trillion during the next 20 years, according to GAO figures.

The primary drivers behind the additional rise in spending are the baby boomers, who start becoming eligible for Social Security in 2008 and Medicare in 2011.

This Boomer will be suprised if he actually gets what he supposedly has coming....US Air porked me and now I wouldn't be too shocked to have my Uncle stick it where the sun don't shine....

The causes for such deficits range from tax cuts and spending increases to congressional earmarks in appropriations bills, costs associated with the wars in Iraq and Afghanistan and catastrophes like the 9/11 terror attacks and Hurricane Katrina.

Who cares anyway....its like the 500 pound gorilla in the back room.....just throw some banannas in there and keep him quiet

 

[Seatacus]

The causes for such deficits range from tax cuts and spending increases

Tax cuts increase revenue, it is the spending that is out of control. :down:

 

[Garfield1966]

Just some more food for thought.




http://futurepower.org/debt.htm


http://en.wikipedia.org/wiki/U.S._public_debt

The percentage of GDP (second link) seems to keep fairly close with the trends in the first link as well



According to the following URL, the yearly deficit has increased every year (with the exception of 4).

http://www.econstats.com/rt_treas.htm

The causes for such deficits range from tax cuts and spending increases

Tax cuts increase revenue,

Huh? How exactly does that work?


What tax cuts. Mine have gone up over the past several years while my spending power has gone down.

Oh yea, tax cuts. The ones the rich folk got. Sorry, I completely forgot about that. I was busy waiting for it to trickle down. My bad.

 

[delldude]

I was busy waiting for it to trickle down. My bad.

Trickle down economics...another Dem idea gone bad?

 

[Garfield1966]

Trickle down economics...another Dem idea gone bad?

You do know that wa a Reagan idea right? Let me guess..... more sarcasim?

 

[Seatacus]

Huh? How exactly does that work?

Tax cuts boost economy then there is more tax collected...

 

[KCFlyer]

Tax cuts boost economy then there is more tax collected...

Just out of curiosity...how much did Bush's 2000 tax cut net you in extra income, and how much of that went to boosting the economy? My increase was so slight, I can barely pay the newspaper subscription every month with it.

 

[Seatacus]

Just out of curiosity...how much did Bush's 2000 tax cut net you in extra income, and how much of that went to boosting the economy?

I don't even know but whatever it was I spent it plus a lot of non-tax cut dollars. I think a lot of other folks did the same. Is our economy not doing so well? Are tax revenues increasing or shrinking? Correct me if I am wrong.

 

[Garfield1966]

I don't even know but whatever it was I spent it plus a lot of non-tax cut dollars. I think a lot of other folks did the same. Is our economy not doing so well? Are tax revenues increasing or shrinking? Correct me if I am wrong.

Consider your self corrected.

If you will look at the 3rd link that I provided you will find that you are indeed wrong about the tax revenue. It looks to me that revenues dropped from 2001 to 2003. And yet the republican congress with a republican president could not maintain a budget that did not generate a deficit every single year they were in power.

Not sure what you spent but my taxes went up. Close to half our debt is held by foreign sources. According tot he guy from the GAO, interest rates could start going back up dramatically. Our economy is being supported by funny money. It's not real. When investors start to get nervous about our ability to repay, they will start charging more for the money they loan us to keep this house cards standing. One stiff breeze and we could be in for a world of hurt.


edit:
I cannot find any stats for 2004-2006 but if taxes were cut it stands to reason that revenue from taxes would be down as a result.

 

[delldude]

You do know that wa a Reagan idea right? Let me guess..... more sarcasim?

The best example is President Kennedy's tax cut in the early 1960's. It is not fashionable or politically correct to call that trickle-down economics, but that's what it was. It was also supply-side economics, although Herbert Stein had not yet put the term into the language.

Investment tax credits stimulated businesses to invest (remember, they didn't get a tax break unless they invested-or aren't you old enough to remember? 🙂) in producing what they thought we wanted. In view of the fact that they are in business to make profits, and have learned how to do it, they invested wisely, so that spending, production, and employment increased. Thus did the handout to the rich result in a benefit which trickled down to the unemployed.

 

[local 12 proud]

I think its way past due for a complete overall of our current tax code and to me this seems the most plausible and fair way of seeing to it that everyone pays their share.

Thoughts anyone?

The current income tax system punishes the economy, imposes heavy compliance costs on tax­payers, rewards special interests, and makes America less competitive. A flat tax would dra­matically reduce these ill effects. Perhaps more important, it would reduce the federal govern­ment’s power over the lives of taxpayers and get the government out of the business of trying to micromanage the economy.

There will never be a tax that is good for the economy, but the flat tax moves the system much closer to where it should be—raising the revenues that government demands, but in the least destruc­tive and least intrusive way possible.

http://www.heritage.org/Research/Taxes/bg1866.cfm

 

[Garfield1966]

I have read a bit about a flat tax. For the most part I think I like the idea. I do not feel that a one size fits all approach is fair. I am of the belief that it should be a graduated flat tax. Someone who makes lets say 2 million dollars a year is IMO, much more able to do without 10% (just a random number) than someone making $25,000 a year. I have no problem paying a higher percentage than someone who makes half of what I make each year. I would like to see corporations pay their fair share with no loop holes. I would love to see all the tax shelters and such disappear. Get rid of capital gains credits and a few other items.

 

[jimntx]

The causes for such deficits range from tax cuts and spending increases

Tax cuts increase revenue, it is the spending that is out of control. :down:

That used to be true when middle-class people could feel comfortable that they would still have a job in a year or two; so, why not spend a little extra now. Now, any time any of my friends get their hands on some money that's not already spoken for, they stick in savings.

 

[Seatacus]

Now, any time any of my friends get their hands on some money that's not already spoken for, they stick in savings.

I was under the impression that savings per family was down.