Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Politics : Formerly About Applied Materials -- Ignore unavailable to you. Want to Upgrade?

To: willcousa who wrote (40836)	12/15/2000 11:38:35 AM
From: BWAC	Read Replies (1) \| Respond to of 70976

Carrying your thought further: How much of a budget shortfall do you think the government will have when they receive the greatly reduced capital gains tax this year. Surely the shortfall will be great enough to prevent any meaningful tax cuts, so they will never get a tax cut plan through. It is all up to that inflation ghost chasing senile fool, who needs to drop rates by .50%.

To: willcousa who wrote (40836)	12/16/2000 12:03:09 AM
From: Alan Gallaspy	Read Replies (2) \| Respond to of 70976

Will, The fed may be seeing inflation where there is none, but they also see potential inflation if there is a big tax cut in a strong economy that they may feel is teetering on the verge of inflation. I would be willing to bet that Greenspan will keep a couple of 1/4 point easings up his sleeve until he sees just how successful GW is with his tax cut promises. Like you said, a tax cut will get us stimulated, so Al will add to that stimulation to the extent that he feels he can without exceeding their GDP targets.