Deficit spending is a tax increase whether you chose to call it that or not.

[jackshoegazer]

Here is an excellent article explaining the tax system and the difference between Obama and McCain's policies.  It's exactly as I've been saying, historically, cutting taxes for the rich does not produce growth.  We keep trying it, it never works.  Top-down economics is a failed experiment.  Bottom-up is what has worked for thousands of years.  If the majority of the populace have money, they will spend it and everyone, even the rich, benefit.

McCain Will Raise Your Taxes, Obama Will Raise Your Income

by Stephen Herrington

Americans now pay less in taxes than at any time since WWII. The low tax rate, in effect for eight years now, has not produced anything resembling general prosperity.

Republican economic policy holds that lower taxes will increase government revenues by stimulating economic growth. That has never happened, and we have tried it twice now, with Reagan and Bush 43. The result has been increasing national debt.

Read more...

Comments

[hellocthulhu.livejournal.com]

We've been trained to think we need a super-rich upper class to have a vibrant economy. We don't. Large income gaps are inherently hostile to democratic systems, and it should be the goal of any democracy to minimize them through progressive taxation and trickle-up economic policies as much as possible.

[jackshoegazer.livejournal.com]

Right on, my income-redistributing, socialist-leaning brutha!

Top-down economics is a failed experiment.

[castleclear.livejournal.com]

Is it? I mean, yes, objectively I agree with you; the data and various economic analyses are clear; however, from the viewpoint of those benefiting from top-down economics, it's good. This explains deregulation, corporate lobbying, Fox News and the Republican Party since at least 1980. I think of it as Neo-Feudalism. What I find most irking is that it's more profitable short-term for a few to work against the public good than working to develop a stronger, healthier, more equitable society that benefits everyone! I imagine (with disdain) some day in the future when literacy is no longer taught because it doesn't create a direct profit; then literacy itself can become once again a class distinction. Oy Vey!

[castleclear.livejournal.com]

I concur fully.

[angels-ember.livejournal.com]

Fantastic article, thanks for sharing.

I bolded my favorite parts and then emailed it off to a few people I know who are currently sitting on the fence.

Re: Top-down economics is a failed experiment.

[jackshoegazer.livejournal.com]

Read up on Milton Friedman and the Chicago School of economics, which outlines this whole top-down, deregulated approach. Naomi Klein's book The Shock Doctrine does a magnificent job of showing the results when this model gets implemented, and since this started, in South America in the 70's, it's been a failure for everyone except multinational corporations.