bad news for Big O

[RIJIMMY]

tax cuts are a one sided disucssion. Obama has opted to "give" money to promote the economy via the stimulus package. so we increase debt and reward....who? Who is benefitting?
Tax cuts reward those that WORK. Those that work, spend! Those that provide goods/services hire. Those that show a profit by working and selling pay taxes. It all works and most importantly encourages competition and hard work.

[eastendlu]

Originally Posted by RIJIMMY

tax cuts are a one sided disucssion. Obama has opted to "give" money to promote the economy via the stimulus package. so we increase debt and reward....who? Who is benefitting?
Tax cuts reward those that WORK. Those that work, spend! Those that provide goods/services hire. Those that show a profit by working and selling pay taxes. It all works and most importantly encourages competition and hard work.

Didn't the last round of tax cuts favor the wealthy and not the almost taxed to death middle class ?

[RIJIMMY]

Originally Posted by eastendlu

Didn't the last round of tax cuts favor the wealthy and not the almost taxed to death middle class ?

No, that is false. Democratic propaganda. The Bush tax cuts were across the board. However the "spin" is that they favor the wealthy because dollar for dollar, the wealthy pay more taxes, so they benefit more from cuts. The tax cuts were equitable which can be deemed to be unfair for political purposes. Its been posted out here a million times but something like 20% of the population pays for 90% of all the taxes.

[spence]

Originally Posted by RIJIMMY

No, that is false. Democratic propaganda. The Bush tax cuts were across the board.

Not totally true.

The 2001 Bush tax cuts were intentionally graduated to impact the wealthy more during the later years of the program, and this was changed in 2003 to accelerate the benefits to higher wage earners.

Additionally, the tax cuts were designed to expire in 2011 specifically so they could avoid rules intended to protect hidden spending, really to hide the true cost.

Yes, the rich pay more, blah blah blah, we all know this but the 2001 tax cut wasn't really as simple as being across the board.

-spence

[JohnnyD]

Originally Posted by RIJIMMY

tax cuts are a one sided disucssion. Obama has opted to "give" money to promote the economy via the stimulus package. so we increase debt and reward....who? Who is benefitting?
Tax cuts reward those that WORK. Those that work, spend! Those that provide goods/services hire. Those that show a profit by working and selling pay taxes. It all works and most importantly encourages competition and hard work.

No one trusts the economy right now. The market is in a relative state of purgatory, consumers are saving more than spending. I don't think consumers will start spending until it appears things have actually improved. The continuing of terrible unemployment rates (actual rates are reported over 20%) and the recent increases in fuel prices isn't going to have consumers splurging any time soon.

[RIJIMMY]

Originally Posted by JohnnyD

No one trusts the economy right now. The market is in a relative state of purgatory, consumers are saving more than spending. I don't think consumers will start spending until it appears things have actually improved. The continuing of terrible unemployment rates (actual rates are reported over 20%) and the recent increases in fuel prices isn't going to have consumers splurging any time soon.

I dont agree. Look at the real data. People are spending.

[JohnnyD]

Originally Posted by RIJIMMY

I dont agree. Look at the real data. People are spending.

Just looked up fresh data and you're right about the savings %. Personal savings as a % of income is down a bit. We are coming out of a holiday season though so who knows. It doesn't change my opinion in the rest of that post with regards to overall distrust of the economy and horrible unemployment rates preventing people from really going out and making purchases.

At the end of the first quarter, there will probably be another bump as people get their tax returns, but I can't see consumer spending trending upward significantly any time soon. There are still far too many radicals with the economy and health care.