Tag: trillion

Fake News: Democrats care about the deficit

In 2006 the deficit was about $248 billion.  Democrats called it unpatriotic.  They said tax cuts had killed the economy and skyrocketed the deficit.  They said America was going to go bankrupt.  Conservatives stayed home, Democrats ran a group of so-called “blue dog” candidates who said they cared about the deficit.

Those blue dogs are gone now.  In 2007 when Nancy Pelosi and Harry Reid came into power and Democrats took over the House and Senate, the deficit had dropped to $160 billion.  Then came the regulation and the spending.  By 2008 when Obama was elected the deficit was up to half a trillion and in Obama’s first year as President the deficit was $1.4 trillion.  Democrats lost Congress in 2010 and as Republicans gained more control the deficit slowly dropped.  In 2013, it was below $1 trillion again.

Democrats don’t care about the deficit.  If they did, they would talk about cutting spending.  Tax hikes have a negative effect on the economy, and a poorly producing economy means less tax revenue.  But Democrats want tax hikes because it allows them to spend more and accomplish their goal of redistributing wealth from GDP producers to their voters.  So if they can use a high deficit to say we need to raise taxes, they will.

How do we know they don’t actually care about the deficit?  Because Democrats view every dollar cut from anything but the military as draconian austerity measures that throw Grandma off a cliff.  They even include that in their advertising.  Democrats, in addition to opposing any non-military spending cuts, have proposed spending that would double our entire US budget.  They want to spend $3.2 trillion a year on universal healthcare and another trillion a year on guaranteed tuition and jobs.  Even if they cut the entire $600 billion military budget and took every penny of the $2 trillion held by America’s billionaires, they would still need to tax every day Americans an additional $2 trillion a year.  Compare that to Trump’s tax cuts that cost $200 billion a year.

The Democrat budget wish list would cost Americans 20 times Trump’s tax cuts.  And there simply aren’t enough dollars in existence in America to pay for it.  Don’t tell me the Democrats care about deficits.

Leftists admit Socialism is unaffordable

“The democratic socialists may do well in November.  Yet upon arriving in Washington, they will discover that even their revolution cannot repeal the laws of math.”  That is how an article with Vox by Brian Riedl ends.  Riedl uses leftist and Democrat sources to compile the costs of the Democratic Socialist agenda and finds that even the most generous sources leave them with $3.4 trillion per year to make up in tax revenues.

Democrats have gained traction in the coming election by claiming that deficits are bad and we need to tax the rich to fix it.  But don’t mistake their feigned concern for actual fiscal sanity.  Even the extensive list of new taxes laid out by Alexandria Ocasio-Cortez wouldn’t cover 10% of the cost of their agenda.

According to Reidl, Democratic Socialists could pay for all the free stuff they are promising with a 100% tax on all corporations and 100% tax on all family income over $150,000 for married taxpayers and $90,000 for singles.  This would be on top of the current tax structure and assumes the willingness of business owners and capital providers to devote their hard work to charity rather than profit.  Another idea to add on to our current taxes would an 87% value added tax.  Basically, in every step of the manufacturing process, the government gets 87 cents of every dollar made.  The inflation would kill the middle class.  Lastly, we could do it if we added a 37% flat payroll tax on top of the current tax structure.  For the middle class this would mean an all in tax rate of 77%.

So let’s talk about this blue wave?  Are voters really ready to kill the economic growth by ending the Trump tax cuts?  Are they really ready to hand over their healthcare decisions in exchange for giving 77 cents of every dollar they make to the government?  Is this what people really want?  It’s not like the Left is running on anything else, except for extreme Trump hate.  Well, now you have an idea of how much that hatred will cost you just in taxes.