Quote:
Originally Posted by tripods68
I'm not against the Bush Tax cut. I think the tax cut is serving well for most household and corporations. What I'm against is the projection of raising our taxes without changing entitlements (social security, medicare, etc) and subsidizing many government programs when benefits only the few.
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Social security is not an entitlement! If you have a chance to look closely at your pay stub, you will see that you are paying into the SS program. When you retire, you get that money back. Social Security has been rolled into the general fund since the late '60s and there is still more money coming into the 'system' than going out. It is projected that in 2016 there will be as much money going out to retirees as coming but the 'system' will still owe SS what it borrowed (since the '60s'). The repayment of this 'loan' will take SS well into the 2050's.
Since the war and its related expenses, the tax cuts have been a drag on the economy. Why do you think the Canadian dollar is now worth more than the the US dollar? The world economy is in USDollars with the value of the US dollar so low, the cost of items has to be raised so that the value of the item can be reflected in the cheap US$. The US$ will be cheap as long as we borrow billions from the future to pay for the war now. (I will not go into the politics of the war here). There is also the problem of lowered interest rate; if foreign investors can't get a good return on their investments, they will put it elsewhere which will be a further drag on our economy.
I realize this is an oversimplification but I am sure no one really wants a deeper look into how this sausage is made.