The Laffer curve a project for leftist literacy

[jem]

Here is the curve... do you see deficits on the left axis or tax revenue?

So citing leftist morons talking about models and deficits... does not invalidate the laffer curve.

Did revenues go up after taxes in the past?

Yes they did... after Reagan, Kennedy and Mellon... and after the Bush 'tax cuts for the rich" even the top 1% paid more.

So the question is could revenues go up after another tax cut. The question is based on U.S. tax revenue history... of course they could. Especially if the Fed is electronically printing dollars and causing inflation on the side anyway.


Deficits include revenue and govt spending... its a different issue.

"In economics, the Laffer curve is one possible representation of the relationship between rates of taxation and the hypothetical resulting levels of government revenue. The Laffer curve claims to illustrate the concept of taxable income elasticity—i.e., taxable income will change in response to changes in the rate of taxation. It postulates that no tax revenue will be raised at the extreme tax rates of 0% and 100% and that there must be at least one rate which maximises government taxation revenue."

 

[ETcallhome]

Here is the curve... do you see deficits on the left axis or tax revenue?

So citing leftist morons talking about models and deficits... does not invalidate the laffer curve.

Did revenues go up after taxes in the past?

Yes they did... after Reagan, Kennedy and Mellon... and after the Bush 'tax cuts for the rich" even the top 1% paid more.

So the question is could revenues go up after another tax cut. The question is based on U.S. tax revenue history... of course they could. Especially if the Fed is electronically printing dollars and causing inflation on the side anyway.


Deficits include revenue and govt spending... its a different issue.

"In economics, the Laffer curve is one possible representation of the relationship between rates of taxation and the hypothetical resulting levels of government revenue. The Laffer curve claims to illustrate the concept of taxable income elasticity—i.e., taxable income will change in response to changes in the rate of taxation. It postulates that no tax revenue will be raised at the extreme tax rates of 0% and 100% and that there must be at least one rate which maximises government taxation revenue."

How low should taxes be to balance the budget and stop deficit spending?

 

[jem]

deficit spending is another issue.

is your concern inflation? Since we were borrowing all the money we spent (until a few years ago...) the massive inflation we experienced the last 50 to 100 years had to be because the Federal Reserve was creating trillions of dollars to spread around the world. Had they not destroyed the value of the dollar and essentially looted trillions of dollars from the working and non crony upper class, our dollars would have been worth far more today than they were 50 years ago.

if your concern is deficit spending for its own sake...
I suggest we just cap spending. I am sure we will inflate into balance.

I prefer we cut taxes in half and allow ourselves to grow into balance.

There is really no good reason not to given inflation. in our current system where we allow the fed to print dollars at will and don't keep track of it... the only reason for taxes is to punish workers and small business producers.

 

[jem]

I left out one part of my preferred choice.
I prefer we cap spending... cut taxes or eliminate them and grow or inflate into balance.

 

[ETcallhome]

I left out one part of my preferred choice.
I prefer we cap spending... cut taxes or eliminate them and grow or inflate into balance.

well you don't have to prefer it, it is going to happen just as you say. Once taxes are at 100% we will cap spending and taxes will be eliminated and a dollar will sell for $20 on ebay