Net taxes gained by the government, in fact, DID rise during Reagan's administration, largely attributable to a shift in money usage (people weren't scheming to protect money, but to spread it around into areas where taxes could be gained). It takes almost NO work at all to find that online.
Tax rates fell from 90% to 38.9%. Realize that there was a point at which making more money was like making no money at all, leading to the idea of a limited salary but non-taxable benefits like corporate jets, cars, houses, golf memberships, and other shelters, again limiting the ability of the government to charge for use.
All weird tax laws do is change behaviour (thus taxes on vices like tobacco and alcohol). I will always believe in a proportional tax scheme over a progressive one, with a simple progressive shift in the basis to prevent taxing the poor, because everyone should bear an even responsibility for the even opportunity of our country.
The reason Bush-the-elder had to blink and raise taxes is he didn't have the kohones to do what Clinton did, and shut down Government to get a better budget. Deficits come from spending more than you have, not from taking in less. Ever since FDR there has been an expansion of per-capita spending, with the exception of Clinton's years. Bush-the-miniscule and his GOP congress is trying to correct that by spending even more to get us back on track. Idiots.
And, the rich DO work more at making money when they get to keep it. The poor do, too, if you require they work to get the money instead of give it to them with weirdly managed tax credits (it is possible to end up with a larger refund than you actually paid, making it welfare instead of a refund).
Reagan had his problems, but his economic policy moved America out of a recession. I remember the fuel lines under Carter, and all the gardens and government cheese necessary to make ends meet. The total GNP rose well under Reagan, though it couldn't self-sustain without Government rising to the challenge of reducing expenditures. Alas.....
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timeasmymeasure
no subject
Date: 2004-06-11 10:45 pm (UTC)Net taxes gained by the government, in fact, DID rise during Reagan's administration, largely attributable to a shift in money usage (people weren't scheming to protect money, but to spread it around into areas where taxes could be gained). It takes almost NO work at all to find that online.
Tax rates fell from 90% to 38.9%. Realize that there was a point at which making more money was like making no money at all, leading to the idea of a limited salary but non-taxable benefits like corporate jets, cars, houses, golf memberships, and other shelters, again limiting the ability of the government to charge for use.
All weird tax laws do is change behaviour (thus taxes on vices like tobacco and alcohol). I will always believe in a proportional tax scheme over a progressive one, with a simple progressive shift in the basis to prevent taxing the poor, because everyone should bear an even responsibility for the even opportunity of our country.
The reason Bush-the-elder had to blink and raise taxes is he didn't have the kohones to do what Clinton did, and shut down Government to get a better budget. Deficits come from spending more than you have, not from taking in less. Ever since FDR there has been an expansion of per-capita spending, with the exception of Clinton's years. Bush-the-miniscule and his GOP congress is trying to correct that by spending even more to get us back on track. Idiots.
And, the rich DO work more at making money when they get to keep it. The poor do, too, if you require they work to get the money instead of give it to them with weirdly managed tax credits (it is possible to end up with a larger refund than you actually paid, making it welfare instead of a refund).
Reagan had his problems, but his economic policy moved America out of a recession. I remember the fuel lines under Carter, and all the gardens and government cheese necessary to make ends meet. The total GNP rose well under Reagan, though it couldn't self-sustain without Government rising to the challenge of reducing expenditures. Alas.....