Skip to comments.Editorial: A Laffer Curve For Liberals
Posted on 07/01/2011 4:44:23 PM PDT by Kaslin
Stimulus: Remember the left's contempt for the Laffer Curve which posited that certain tax cuts will pay for themselves by accelerating economic growth? Well, now they're pushing their own version of voodoo economics.
Largely overlooked in the coverage of President Obama's latest press conference was his call for another round of deficit-fueled stimulus spending as part of a debt reduction package.
If that sounds a bit incongruous, here's how Obama justifies it. "One of the most important things we can do for debt and deficit reduction is to grow the economy," he said, adding that "if there are steps that in the short term may reduce the amount of cash in the treasury but in the long term mean that we're growing at 3.5% instead of 2.5%, then those ideas are worth exploring."
Obama left it to press secretary Jay Carney to explain what "ideas" Obama has in mind: "targeted investments ... in education, in research and development, innovation and infrastructure."
So, boiled down, Obama's argument goes like this: More deficit-financed federal spending today will boost economic growth tomorrow, and that faster growth will throw off more tax revenues. Voila! Federal spending will eventually pay for itself!
It's the liberal version of the Laffer Curve.
(Excerpt) Read more at investors.com ...
It’s the Communist version of Hell.
Well it is an election year approaching.
So I can understand that the Baraqqi regime will want to continue handouts to the “base”.
If they can pull off a 3-way race, that 42% “base” might well be enough.
(1) How do they say this stuff and keep a straight face?
(2) Why does 45% of the population believe them when they say "The first stimulus didn't work, but it will surely work if we try it again. Trust me."
Because he’s the right color when he says it.
Color has a lot to do with math.
I think that 45% primarily exists to feed on the output of the rest of us. So they see the “stim” as more feed for themselves.
The definitive example of the Peter Principle at work.
That pic in #4 says it all. Dick Obama’s economic system in 28 words.
That is truly the full extent of the Marxist's understanding of free market economics. It's all a huge mystery, that only more government and higher taxes can solve.
Did you see the report that Obama hasn't met even ONCE with his official economic adviser this year?
Obama keeps pushing “targeted investments in education”. I think this is his bull**** talk for ‘throwing money at bankrupt gold plated teachers pension and health insurance plans.’
This Plan is obviously not a recipe to improve a Nation's health - it is a recipe to promote slavery to the Government rulers.
Tried throughout the 20th Century in Countries like the Soviet Union, Red China, Allende's Chile, Castro's Cuba, Ill Kim's North Korea, Pol Pot's China, etc... It never worked, and it never will work...
Yet our President and his whiz kid communist 'Czars' are determined to try it again...
God Save us.
It’s a laugher alright.
There is no secret about what government policies foster vigorous economic growth. And there really is no dispute about it.
If you don’t advocate these simple, POPULAR policies (and Obama, the democrats, and a large swath of the republicans do not) then your goal is NOT vigorous economic growth. It is something else.
This isn’t a conspiracy. It is dishonesty on a vast scale.
Swedish taxes on Ethiopian wages.
Its the liberal version of perpetual motion.
Sounds good, would solve all kinds of problems, just violates a few fundamental laws of physics...
Or never mind, lets do it anyway... The power of our words can make it work...
The liberal mind in a nutshell...
Incredible. You can do the same thing by cutting the tax rate 5% and killing Obamacare.
Same money, just in the hands of the people instead of government.
he said, adding that
"if there are steps that in the short term may reduce the amount of cash in the treasury but in the long term mean that we're growing at 3.5% instead of 2.5%, then those ideas are worth exploring."
Unwittingly, he just agreed with the Conservatives.
Grow the economy.
Cutting taxes may reduce the treasury short term but it will increase long term growth.
I agree. Let's explore it.