Revenue does need to grow.
What really puts us in this mess we are in?
Declining revenues and increased spending.
Republicans address only the spending, not the revenue. For the primary source of revenue is taxation.
Looking back, do you actually see "logic" in Bush starting two expensive wars, and cutting revenue?
I don't see the logic in Obama continuing two wars and continuing to keep tax cuts in place, do you?
Do you really think the dividend tax cut created jobs?
Really mav, the underlying causation is not being discussed. Our brand of capitalism needs growth in order to sustain itself. Periods of non growth reveal that our brand of capitalism is not a balanced system. It is nature we have cycles of growth (spring---summer) and a period of non growth and death (fall---winter). But our economic cycles must grow forever? We spend in the good times like they will always last?
Something is systemically wrong with our system. I personally think it can be traced back to the deviation from the original form of capitalism in America, which was founded on the platform of people who did not suffer from the disease of instant gratification, geed was considered sinful, and there was no power of marketing and advertising to create a false demand.
What we see in our brand of capitalism is what is actually consumerism. We have created an appetite amongst the masses to shop till you drop, and buy crap you don't really need...so that the system can continue to grow.
Look to China. People think they have embraced capitalism. They have not. They have embraced consumerism. Which is why they build cheap shit with cheap labor and sell it to cheap minded Americans who don't care about quality...they just need to shop til they drop.
Advertising and marketing are like drug pushers giving drugs to children...to get them hooked. They they are driven to buy what they don't need, and don't really want, and doesn't really bring contentment or a better life.
It is all based on a false platform, but when times are good...like the roaring 20's or the roaring 80's (until the stock market crashed) like the roaring 90's of the dot.com bubble....followed by the next bubble of the housing markets, etc.
Poor planning to be sure, but do you see many people actually plan effectively for the future? Do cities plan their road and transportation system ahead of time, or do they just build enough, then grow to much, and end up with traffic problems?
No, this really isn't a left or right issue at all, at least from a solution perspective. The current brand of conservatism (which is polluted) and it current leftist solutions are both deeply flawed.
This is about common sense and a spirit of community, and the understanding that everyone who has practiced consumerism, or everyone that enabled consumerism, or anyone who did not stand against consumerism...is to blame.
Quote from Maverick74:
But you don't understand. Municipalities need growth, not stagnation. Because like our federal and state governments, they spend more and more every year, the taxes they collect from property also has to grow every year. When those taxes stop growing, you get deficits which is what is happening now.
Because property values over the last few years tanked, municipalities are now going broke. So "my point" was it doesn't matter how much they decline, just that they will decline or not grow. Government needs to grow it's tax base, not shrink it. Why? Because every year they spend more then the previous year.