republican budget director. we need major tax increases not decreases
- Thread starter Free Thinker
- Start date
While common sense is a good thing, it is not always accurate or complete. For example, your argument may have more traction at one level of income than at another. Specifically, I refer to income/spending elasticty patterns. Interesting how you only require research for those conclusions you don't intuitively support. I trust your trading is more pragmatic.
Quote from Gabfly1:
Whoa, let's not go crazy.
If we are going to discuss a range, I would think something between $500k and $1M. People still earning that kind of money are probably not hurting quite as much as those in the lower snack brackets, if at all. Of course, the numbers I'm throwing out are just ballpark and for discussion purposes. But, realistically speaking, people still earning a million have probably not had to scrimp too excessively to get by. And let us not forget that the rationale for the extension of the Bush tax cuts, in the face of a burgeoning deficit, is to give people some leeway to get by in difficult times. Is the guy still earning $1M really going to curtail his spending? And would a tax cut really cause him to spend appreciably more? I doubt it. And at times like these, you have to look for the utility.
I'd agree anyone making $500K is doing okay ... unless they bought a $2 million house at the top of the market. But that would be their own consequence to deal with. My $1 million to $2 million was an attempt to only target those who certainly are not facing any hardships. I suppose someone could make $500K and have 3 or 4 kids in college and live in NY or CA where cost of living is higher.
What you two are getting at, imho, is the marginal utility concept. $10 is more useful to the guy with only $100 than it is to the guy with $1 million.
Before anyone jumps me by saying that it's necessary for certain projects that large amounts of capital be assembled, I agree. I just don't believe they necessarily have to be owned by one person.
Before anyone jumps me by saying that it's necessary for certain projects that large amounts of capital be assembled, I agree. I just don't believe they necessarily have to be owned by one person.
