{"id":3929,"date":"2012-12-26T08:59:29","date_gmt":"2012-12-26T12:59:29","guid":{"rendered":"https:\/\/www.urbin.net\/blog\/?p=3929"},"modified":"2012-12-26T08:59:29","modified_gmt":"2012-12-26T12:59:29","slug":"3929","status":"publish","type":"post","link":"https:\/\/urbin.net\/blog\/economy\/3929\/","title":{"rendered":"Another Math Post"},"content":{"rendered":"

Yes, math is required, you should have paid more attention in school.<\/p>\n

First, a spot on quick review of the so-called “Fiscal Cliff”\u00a0negotiations.<\/p>\n

\"Taxes-of-Evil\"<\/a><\/p>\n

Here is the bottom line kids, our Dear Leader<\/em> has no issues with going over that cliff. \u00a0Really, Barry doesn’t see any downside to it. He knows that tax hikes, even limited ones, are going to have a negative effect on the economy. \u00a0The across the board tax hikes on top of new Obamacare taxes are going to be even worse. \u00a0This way he can blame the Republicans, and the democrats with press credentials will back him on this, and then take credit for the budget cuts.<\/p>\n

On to the math part,\u00a0courtesy\u00a0of \u00a0johngalt at Flopping Aces<\/a>.<\/p>\n

One of the\u00a0persistent\u00a0myths that left repeats is that tax cuts don’t pay for themselves. \u00a0This is one of those talking points that sounds simple, but is clearly false when you do the math.<\/p>\n

As JG points out:<\/p>\n

Given the period from 1994 to 1999, the growth period under Clinton, federal revenues increased by 1.3% for every 1% increase in GDP.<\/p>\n

Given the period from 2003-2007, the growth period under Bush, with the lower tax rates, federal revenues increased by 1.7% for every 1% increase in GDP.<\/p><\/blockquote>\n

Pretty simple. Lower taxes results in an increase in GDP, which results in an increase in federal tax revenues. Note that most leftists will deny this and attack you personally for daring to bring actual math into the argument.<\/p>\n

Let’s run with these numbers:<\/p>\n

Applying those percentages in a comparison model, then, we can see that if given a starting point of $2.5 Trillion in revenues, and a growth of 3%(real GDP growth) in GDP, that under the Clinton tax rates, the following year\u2019s revenues would equal roughly $2.598 Trillion. Under the Bush tax rates, that figure goes up to $2.628 Trillion. For a ten year period, the difference in revenue, assuming constant growth in GDP, becomes roughly $2.2 Trillion dollars difference in revenue<\/p><\/blockquote>\n

Now 2.2 Trillion dollars is about half of what our Dear Leader added to the federal debt in his first term. \u00a0If Barry really was worried about the increasing federal debt and the stagnant economy, he would be working really, really hard to avoid across the board tax hikes. \u00a0What is interesting, and not surprising to anyone who has been paying attention, is that Barry clearly isn’t interested in reducing the Federal debt, or improving the economy.<\/p>\n

Some people out there in the MSM\/DNC<\/a> actually do the math and understand the problem. \u00a0It is a very small subset of the MSM, which includes the nice folks over at CNBC. \u00a0CNBC anchor\u00a0Maria Bartiromo interviewed democrat Senator Ben Cardin<\/a>\u00a0recently, and called him out<\/a> on the democrat’s political posturing.<\/p>\n

\u201cThat\u2019s all you want to do. That\u2019s it. It\u2019s your way or the highway. Raise the rates on the rich. No other way. Your way or the highway. That\u2019s it. That\u2019s where we are. Thank you, Senator.\u201d<\/p>\n

\u201cSo how come you\u2019re not moving forward? What\u2019s the problem? Because the American people are so tired of this, and they are really tired of the lawmakers thinking that the American people are stupid. You can\u2019t keep coming on the show every week saying the same thing: \u2018It\u2019s not a balanced approach.\u2019\u201d<\/p>\n

\u201cYou\u2019re talking about $1.2 trillion in revenue, but you\u2019re not prepared to put anything on the table. People are not stupid!\u201d<\/p><\/blockquote>\n

The best part was that after she committed this act of actual journalism, traders on the floor watching erupted in cheers and applause. \u00a0They do the math and know what is going on.<\/p>\n","protected":false},"excerpt":{"rendered":"

Yes, math is required, you should have paid more attention in school. First, a spot on quick review of the so-called “Fiscal Cliff”\u00a0negotiations. Here is the bottom line kids, our Dear Leader has no issues with going over that cliff. \u00a0Really, Barry doesn’t see any downside to it. He knows that tax hikes, even limited […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_themeisle_gutenberg_block_has_review":false,"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":false,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[6,50,52,19,28],"tags":[140,262,294,414,480,574,618,621,839],"class_list":["post-3929","post","type-post","status-publish","format-standard","hentry","category-economy","category-obama-economy-politics","category-bho-politics","category-politics","category-taxes-politics","tag-barack-obama","tag-democrat","tag-economy","tag-incompetent","tag-leftist-hypocrisy","tag-obama-economy","tag-political-cartoon","tag-politics","tag-worst-president-ever"],"jetpack_publicize_connections":[],"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"jetpack_shortlink":"https:\/\/wp.me\/sab4zg-3929","jetpack-related-posts":[],"_links":{"self":[{"href":"https:\/\/urbin.net\/blog\/wp-json\/wp\/v2\/posts\/3929","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/urbin.net\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/urbin.net\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/urbin.net\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/urbin.net\/blog\/wp-json\/wp\/v2\/comments?post=3929"}],"version-history":[{"count":0,"href":"https:\/\/urbin.net\/blog\/wp-json\/wp\/v2\/posts\/3929\/revisions"}],"wp:attachment":[{"href":"https:\/\/urbin.net\/blog\/wp-json\/wp\/v2\/media?parent=3929"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/urbin.net\/blog\/wp-json\/wp\/v2\/categories?post=3929"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/urbin.net\/blog\/wp-json\/wp\/v2\/tags?post=3929"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}