Bruce Bartlett speaks of economic common sense in the midst of the current political circus. The Daily Show with Jon Stewart Mon – Thurs 11p / 10c Bruce Bartlett www.thedailyshow.com Daily Show Full Episodes Political Humor & Satire Blog The … Continue reading
“Report: States Spend Billions on Economic Development Subsidies that Don’t Require Job Creation or Decent Wages
Pennsylvania scored a D, tied for 40th place among the states
Pennsylvania is spending millions of dollars per year on corporate tax credits, cash grants and other economic development subsidies that lack wage and benefit standards for workers at subsidized companies and sometimes don’t require job creation, according to a new national report card issued by Good Jobs First.”
When you pay for something like foregoing taxes, government’s should get something in return. They’re our tax dollars right?
“Thus we see that Republicans want their cake and eat it too. They want to use higher [CBO] revenue projections resulting almost entirely from expiration of the Bush tax cuts to prevent any discussion of tax increases to reduce the deficit, while implying that this revenue rise comes solely from faster economic growth. As Sen. Kyl put it, “So revenues are down, but it is due to the recession that we have. We have not cut tax rates in the last few years – since 2006 – for example.”
According to the CBO, ending all of the tax cuts and allowing scheduled tax increases now in law to take effect would raise revenues by $5.6 trillion between 2012 and 2021, including debt service. That would go a long way toward solving our debt problem. In fact, the Center on Budget and Policy Priorities says that this action, by itself, would be sufficient to stabilize the national debt and prevent it from rising as a share of GDP.”
Half-truths are whole lies.
“There is some evidence that House Republicans are starting to get the message that their tax position is crumbling. On May 11, a senior Republican staffer told Atlantic reporter Derek Thompson that his party’s position on taxes is intellectually dishonest. ‘There are two worlds,’ the aide said. ‘One world is political and the sole objective is to maintain party message. The other world is real and in the real world fixing the deficit is a matter of national survival. When you get down to the real world decisions, it’s not about whether to raise taxes; it’s about the ratio of spending to revenue increases.’“
At some point you have to actually govern.
Lane Kenworthy demonstrates that anti-tax zealots’ predictions of economic apocalypse are about as credible as other doomsayers.
Taxes reduce the payoff to entrepreneurship, investment, and work effort. If taxation is too heavy, these disincentives will weaken a nation’s economy. But at what point does the harmful impact kick in? And how large is it?
Why would we even think of reducing anti-poverty programs before increasing taxes on the wealthy, say to where they were before George Bush decided that we needed to get rid of Clintons budget surplus (one of the few things he did well)?: