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Politics : PRESIDENT GEORGE W. BUSH

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To: Neocon who wrote (37843)9/19/2000 9:58:39 AM
From: TigerPaw  Read Replies (1) of 769667
 
it was not quite a stimulus
More Voodoo on economics. If demand is increasing at the rate of increased income, wouldn't the extra money people receive from a tax cut increase the demand? I mean, that's what Bush keeps saying - "Puts more money in your pocket".

Inflation is triggered by an increase money supply. Money does not only consist of those green and black papers with the big or little pictures. Everytime the treasury prints another IOU then more money has been added to the system. The way to keep inflation low is to quit printing those IOUs. Paying the debt is the road to low interest rates, and that is the road to prosperity here, and it is also the road to prosperity in Europe and Asia since our strong currency and interest is attracting money from our trading partners economy so they don't have enough funds to buy our exports.

I remember Voodoo economics, and it's the little guy who ends up stuck with all the pins.
TP

(So Bush can't decide on a dollar amount for his tax cut? He's just going send back 1 in 4 dollars that he doesn't spend? What kind of spin game is that?, His original proposal was a 10 year tax cut, is he stiffing his supporters for the extra 6 years?)
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