(Untitled)

[redroad]

Can someone who understands economics explain this to me?
http://news.yahoo.com/s/ap/20060517/ap_on_go_pr_wh/bush

...cause right now it basically sounds like total horseshit to me. Or worse than that. Since horseshit actually makes good manure which is worth

Comments

[imikix]

Tax cuts are usually only enacted for a given length of time to achieve a particular result-in this case, the tax cuts were supposed to allow private citizens to have more of the money they'd acquired to drive consumer spending and spur economic growth after the stock market slowed in the early part of the decade. The extension of these tax cuts beyond 2008 is estimated to cost $70B in tax revenue. This lower-than-expected tax revenue combined with steady military spending means more bond debt and less federally funded social and civil programs, which begets far higher taxes and less services for generations to come

[redroad]

So basically, what you are saying is that despite the fact that the economy has nosedived and national debt has become astronomical, these tax cuts which didn't seem to work in the first half of the decade are being extended to.... not work even more?

[imikix]

They've worked for the people for whom they were intended to work. That's why they're being extended.

[redroad]

Well yeah.