Comments on: Cost Shifting

By: Badtux

Badtux — Wed, 27 Apr 2011 02:42:38 +0000

Regarding the notion that one-time stimulus spending of approximately $1T was responsible for the majority of the deficit, as usual Mr. Duffy is living in his own little universe of pink unicorns and cotton candy trees. I’ll point out that almost half of the so-called “federal debt” is actually owed to the Social Security fund — i.e., to *US* — and is payable over a 30 year period. Compared to the GDP of the United States, paying off that debt over a 30 year period would require less than a 3% hike in taxes. Indeed, simply taking the cap off the payroll tax would more than pay off that debt over the time period in question.

But in any event it’s irrelevant. The Federal Reserve can monetize as much of the non-Social-Security debt as they like and it’s a drop in the bucket insofar as the total amount of U.S. dollars outstanding worldwide. Banksters would scream because it’d raise the inflation rate to 4% or so per year, but so what — it’d handle the balance sheet issues facing American households just fine (since monetary inflation would deflate their debts to reasonable levels), and let them get out from under their current debt overhang caused by buying in to the housing scam of the last decade. Which, I suppose, is why it can’t be allowed to happen…

Just as an aside — I am one of the people whose taxes would be raised if Obama raises taxes on individuals making over $150K and families making over $300K. I assure you, I will be doing no less work and will be just as happy to get pay hikes even if a small percent more goes to taxes. I already make more than enough money for a single penguin to live on, even in the Silly Cone Valley. America’s been good to me, why *wouldn’t* I want to pay America back? But wait, I forgot, I’m not a sociopathic scum lizard creature in human form…

– Badtux the Monetary Penguin

By: Bryan

Bryan — Tue, 26 Apr 2011 21:28:06 +0000

I’m using the actual Federal Budget for 1999 in 1999 dollars, the so-called surplus were FICA taxes for the Social Security trust fund, that Reagan started including in his budgets so people wouldn’t understand what a total wastrel he was.

Did I say thank you to Reagan and the two Bushes who are responsible alone for the current Federal deficit of more than $13.5 trillion budget, no, I continue to hold them and the people who went along with their failed policies in complete contempt.

It is the conservative policies that created the deficits, and continuing will only make the deficits worse.

By: Bryan

Bryan — Wed, 20 Apr 2011 16:57:10 +0000

That was in extremely poor taste, Steve. 😉 Much too high in cholesterol and fat to be a healthy alternative.

If you are making all the money, and deriving all the benefits, you should be paying the taxes.

They are on the verge of creating conditions similar to North Africa, and some of remember that such conditions can lead to riots in this country.

By: Steve Bates

Steve Bates — Wed, 20 Apr 2011 09:57:39 +0000

"Eat the rich," said Steve, only half ingest. :twisted: I unabashedly favor a return of taxes to their levels 50 years ago. Says Robert Reich,

If the rich were taxed at the same rates they were half a century ago, they’d be paying in over $350 billion more this year alone, which translates into trillions over the next decade. That’s enough to accomplish everything the nation needs while also reducing future deficits.

The only question is whether America could ever get from here to there. It seems to me that the GOP has pretty well sewn up the campaign funding laws while holding only one house of Congress... but I guess owning the Court counts double, or more.