Government Has a Spending Problem, Not a Revenue Problem
The Weekly Standard has published an article detailing what the real problem is in Washington – and higher taxes won’t solve it.
Conservatives know that higher taxes don’t equal economic growth, in fact just the opposite. But money-hungry big-government liberals continue to equate any kind of reform that would benefit our country in the future to tax breaks for the wealthy.
President Obama and the left like to claim that the wealthy should pay “their fare share” in taxes, but we already know they do pay their fare share, and then some. The left also likes to claim that revenues are down because of the Bush tax cuts, but this is just another lie facilitated by the left in order to create class warfare. As The Weekly Standard points out:
“Whether you start the clock at the end of World War II, in 1970, or in 1990, the average percentage of the gross domestic product (GDP) that Americans have paid in federal taxes is 18 percent.”
After the Bush tax cuts took effect, the average remained at 18%, even in 2006-2008, when the recession began. If anything these tax cuts helped offset what would have been an earlier drop in percent of GDP in federal taxes.
NOW we are seeing much lower returns in federal taxes. In 2009, when employment skyrocketed beyond 10%, just 15% of GDP was paid in federal taxes. What also changed in 2009, was the percent of GDP SPENT by the federal government. Government spending rose to 25% of GDP, the highest it had been since World War II.
THAT is where the problem lies. Until the recession, tax revenues stayed linear, the only change was the amount spent by Washington. So if, as the Democrats continuously propose, we raise more revenue, it will only give more credence to their spend-freely agenda. Spending is what really needs to be cut; government needs to live within its means, not live within the means it wants. And government certainly shouldn’t raise taxes just to continue out-of-control spending.