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To: Reagan Man

“Those are sane fiscal policies. What was sadistic was the House not cutting spending, as Reagan policy reduced taxes.”

So “Reagan policy” cut taxes, but the sadists in the House did not cut spending. That’s interesting. I thought that all legislation had to be passed by the House (and the Senate), including tax cuts.


19 posted on 10/01/2009 9:18:19 PM PDT by freethinker_for_freedom
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To: freethinker_for_freedom
>>>>>>So “Reagan policy” cut taxes, but the sadists in the House did not cut spending. That’s interesting. I thought that all legislation had to be passed by the House (and the Senate), including tax cuts.

Right. The House holds the purse strings for taxes and spending. They get to approve or disapprove the Presidents budget. In 1981, the Dems controlled the House. Reagan campaigned on cutting personal income taxes 30% across the board. With the help of conservative Democrats in the House, the ERTA, or Kemp-Roth, cut taxes 23%. A huge policy success. Problem was, the House didn't cut spending. That increased the annual federal deficit and added to the debt.

21 posted on 10/01/2009 9:43:00 PM PDT by Reagan Man ("In this present crisis, government is not the solution to our problem; government is the problem.")
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