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Investment Analysis Clubs / Macro Economic Trends and Risks
|Subject: Re: The Fiscal Cliff-Solving the wrong problem||Date: 11/17/2012 9:19 AM|
|Author: MadCapitalist||Number: 408763 of 473420|
There are far too many other variables affecting economic growth to make this claim. The theory is only that other things equal, higher taxes reduce economic growth and lower taxes increase economic growth, and the empirical evidence is very strong on this matter.
When are all other things ever equal? They're not. Your idea is to hold everything equal and move the one slider (taxes). That's ludicrous when you're talking an economy or a society.
EXACTLY, which is why your assertion that "They tried it. It didn't work. I don't care what the theory said, it was wrong and needs to be fixed (or tossed)." is ludicrous as well.
And the data (real world results) shows you are wrong. The economy was healthier under Clinton (higher taxes) than Bush. It was also healthier back when the top marginal tax rate was over 70%. Tax cuts get pocketed. The stimulus, if any, is like a sugar rush that wears off quickly.
You're simply wrong.
LOL. And *you* are a scientist? Your logic is absolutely *awful*! Tax rates are not the only thing that affect economic growth, so your anecdotes do absolutely *nothing* to prove or disprove anything.
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