13 replies to this topic

[pdx5]

Kisa, This is the first time I have to disagree with your post! Before this, I have admired all your posts which show a great deal of know how and understanding of economic issues on your part. Basically I have issue with increasing taxes on ANYONE, including the rich. Without going into a long post, let me just say that the two very good jobs I have had in engineering field were both by private employers who were in that "top 5%" bracket. I would much rather have the money spent by private individuals than the govt getting more tax money and spending on non-productive causes and income re-distribution. That is what the socialists do and none of those countries are amongst the truly prosperous and growing. In fact I don't know of anyone who was employed by someone other than in the top 5% or a corporation, and earned above average compensation, excluding govt jobs ofcourse. And one of my employers quit the business when the city where business was headquartered imposed a "head tax" on every employee. Result? City got nothing and 100 people lost good jobs. The owner of business decided he was going to retire and move to Arizona. Finally, when 911 happened, the economy was already slow and was in danger of shrinking significantly further due to 911. Many people stopped flying and going on vactions and that included me. The govt including Fed made the right decision to cut taxes and interest rates to prevent further damage. It may have been overdon, but IMO it was better to err on the side of over stimulation considering the pain that would have ensued with a severe recession.

[arbman]

I am not sure we are talking about the same issues, although I find your reasoning a bit naive there, but I don't mind learning there some more. IMHO, a bubble burst in 2001, 9/11 accelerated its final pop and the gov't has been trying to reinflate it as quickly as possible. I don't favor the high taxes all that much either, it is just that if there is a rate of deficit to be reduced from here, I'd rather see the money coming from the ones who disproportionally benefited the most over the past 3-4 yrs rather than cutting the budgets of the schools or similar... The system always favors the rich, the labor rates have barely increased with the inflation, while the corporate managers constantly received double digit pay increases and bonuses in the mean time. They'd even rather transfer the know-how to the labor in the overseas and close their local shops and completely loose their chance to improve their future competetive edge in order to increase their profits and bonus checks now, it is already happening... - kisa

[endisnear]

I am not sure we are talking about the same issues, although I find your reasoning a bit naive there, but I don't mind learning there some more. IMHO, a bubble burst in 2001, 9/11 accelerated its final pop and the gov't has been trying to reinflate it as quickly as possible. I don't favor the high taxes all that much either, it is just that if there is a rate of deficit to be reduced from here, I'd rather see the money coming from the ones who disproportionally benefited the most over the past 3-4 yrs rather than cutting the budgets of the schools or similar...

The system always favors the rich, the labor rates have barely increased with the inflation, while the corporate managers constantly received double digit pay increases and bonuses in the mean time. They'd even rather transfer the know-how to the labor in the overseas and close their local shops and completely loose their chance to improve their future competetive edge in order to increase their profits and bonus checks now, it is already happening...

- kisa

Logic always prevails and when one cannot see it, you have to realize there is a bigger context where all these seemingly illogical policies and actions fit in.

Running these deficits is fiscal suicide. This ship ain't turning around or even trying. It's rarely discussed in mainstream media but a high school student could conclude the outcome. So, my suspicious mind must conclude that there is a bigger although hidden agenda.

Taxes are going up for us all significantly in 2-3 yrs as well as inflation, and govt spending on an inevitable ME war escalation.

[mss]

HAPPY NEW YEAR. Hope all are well and have a great year and all your trades go the way you planed them. This thread altho interesting, is getting real close to being too political. Therefore to have a great New Year start, we should let this stop at this point. mss