Question for American Progressives/Statist.

[Dammy]

My question of for those of my fellow Americans who are Progressives. Why has Obama not presented in the past three years a budget that would get the US not only to a balance budget but to pay off the National Debt. All Obama (and Reid) want to do is borrow more. We are now over $15T in debt, heading close to $18 by early 2013. When are you planning to balance the budget, at what level will the National Debt be, and how are you going to pay for the National Debt if interest rates rise back to the normal ~6%.

Don't tell me you are just going to raise taxes on the $250K+ tax payers, that math won't work even if you had 100% taxation rate, your still bleeding nearly half of a trillion dollars annually.

 

[faethor]

1) Why has Obama not presented a budget? Because he believes in the trickle down economic theories embraced and pushed by Reagan and Bushes.

2) All Obama and Reid want to do is borrow more? Not true. They'd like to start with expiring the Bush tax cuts but would need Republicans to vote on this plan to do it. That'd be a failure.

3)

Don't tell me you are just going to raise taxes on the $250K+ tax payers, that math won't work even if you had 100% taxation rate, your still bleeding nearly half of a trillion dollars annually

Estimated money restored to the Federal Budget should the Bush era tax cuts be restored is 800 Trillion. 800 > 500 so not only would this stop the 1/2 trillion bleed it'd gain a bit more.

 

[Dammy]

1) Why has Obama not presented a budget? Because he believes in the trickle down economic theories embraced and pushed by Reagan and Bushes.

And the rousing success of FDR's tax hikes proves what? War is the only way to escape national poverty?

2) All Obama and Reid want to do is borrow more? Not true. They'd like to start with expiring the Bush tax cuts but would need Republicans to vote on this plan to do it. That'd be a failure.

How could that be, Obama and Reid loved the Bush tax cuts and just voted a few months ago for it. If you look back, the corp aircraft tax break was created in Obama/Reid/Polsi's Stimulus Package.

3) Estimated money restored to the Federal Budget should the Bush era tax cuts be restored is 800 Trillion. 800 > 500 so not only would this stop the 1/2 trillion bleed it'd gain a bit more.

I'll be nice and say you typoed and meant Billions and not Trillions. Problem is the economy will contract and general revenues will fall within a year of such massive tax increases. Lets look at that so called $800B, it's over 10 years. So in ten years, the projected National Debt of $22T minus a highly idealistic $800B still leaves a projected National Debt of $21.2T if we are extremely lucky. Now add in a interest rate of 6% which is $1.32T just to service the debt. How are you going to balance the budget, let alone balance and pay off the national debt?

US National Debt is now above 100% of our GDP. Italy is in dire shape because it's National Debt is 130% of it's annual GDP and Germany just said Italy is too big to save. What is the Democrat plan to stop the US from going under like Italy is about to? If this next dip turns into a full depression and GDP slides significantly, we could be at that golden 130% of our GPD in National Debt in a couple of years. How is the Democrat Party going to save America, turn us into a Weimar Republic? No country has ever succeeded in doing that dumb trick.

 

[Vecanti]

My question of for those of my fellow Americans who are Progressives. Why has Obama not presented in the past three years

Probably for similar reasons for that Bush didn't do it in 8 years. Why does is have to a Progessive thing? Do you know what the debt ceiling limit was when Bush began office? How many times he raised it with out any cuts? It must be really hard to balance the budget if even George W. Bush can't do it, don't you agree?

 

[faethor]

And the rousing success of FDR's tax hikes proves what? War is the only way to escape national poverty?

The war did help some. The 'New Deal' unquestionably lead to the largest growth in the middle-class in the history of the world. What we can follow is the dismantling of the New Deal in the 80s lead to our deficit addiction and the death of the middle-class. Unfortunately in our state we've been trying war of one form or another since vietnam, perhaps before. The Einsenhower's warnings have come to frutiation.

How could that be, Obama and Reid loved the Bush tax cuts and just voted a few months ago for it. If you look back, the corp aircraft tax break was created in Obama/Reid/Polsi's Stimulus Package.

I agree Obama isn't going to fix this. There's a couple of reasons. First, the problem has been growing for more than 30 years. While it might end with Obama it certainly didn't start with him. Second, Obama's new spending is much less than Bush's new spending. While the Dem is slightly more conservative than the Rep predecessor it's clearly not enough. Obama is still hanging on to the voodoo economics of the Republicans. The problem as, you indicated, is very large. It's an inadequate response to only do spending cuts. And in fact the Republican response was cited by S&P as the reason the US has dropped in our bond rating.

Problem is the economy will contract and general revenues will fall within a year of such massive tax increases.

That's one theory. In fact we've been told for the last 30 years that cutting taxes means jobs. Well look where it got us. A Bush lead recession due to over cutting. The Republican turned an increase into a loss and then some. Historically in the USA rates of higher taxes have also been periods of higher employment. Also, higher rates of unionization have been periods of higher employments and the growth of the middle class. I know the Republicans hate this but simply read some history.

What is the Democrat plan to stop the US from going under like Italy is about to?

Do the Banana Republicans have anything any better? Stopping government spending is causing unemployment to increase. Luckily private hiring is currently off-setting this amount. Though if we gut spending to the levels needed we'll continue to have 9+% of unemployment. Such as sustained rate is likely to slow up spending which will result in the need to inflate prices. Taking value out of the economy not by taxes but by inflation. And not at the upper end, which has the excess, but across everyone.