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To: Dave who wrote (71037)	2/23/2001 3:06:56 PM
From: Mike M2	Respond to of 436258

dave, if you really think that the recession can be blamed on Bush at this point your knowledge of economics is shallow. mike

To: Dave who wrote (71037)	2/23/2001 3:52:22 PM
From: Les H	Respond to of 436258

Most of those people are refunded FICA taxes in the EITC. The total cost of the EITC over the next 10-year period is around $ 500 B. If you also add in the common exemptions in the tax code for the elderly and military, in some states as high as $ 15,000 of income, the cost is much higher. Some states also have EITCs on top of that so the people who are getting refunds haven't paid into the tax system to support schools, roads, etc that they use. Especially with some locales such as LA Co. paying $ 12,000 per pupil in schools, there are plenty of people getting a free ride and then some. The fairest tax is a sales tax to fund the housing shortages, school overcrowding, pollution, and overpopulation problems.

To: Dave who wrote (71037)	2/23/2001 4:00:30 PM
From: Logain Ablar	Read Replies (1) \| Respond to of 436258

Dave: The payroll tax is for funding retirement and medical care in retirement and only half of this is paid by the individual. The other 50% by business. I have no problem if this is cut as long as there is a corresponding cut in benefits so we can save more to cover the expenses when we retire. After all the american people have shown a good ability to save for retirement. Right now the tax burden (not just income but its @ record levels as well) is @ the highest level since WWII (been running higher for over two years) as a % of GDP, so either our government starts cutting (and the only way to force this on DC is with cuts cause if its there they will spend it) or we run a surplus which will be used for "spending" plans. I've seen Laura Tyson already lobbying for this. Now the question is how to cut. Yes I saw a democratic piece where they misrepresented the #'s. They use the "rich" savings in year 10 and the middle class saving in year 1 of the 10 year implementation plan. Easy to fool the masses but I'm sure your smart enough to have picked up on it. Hey why did they use a lexus and not a caddy in the spot?? Yes I saw where Rubin is setting up to place the blame of the bubble economy excesses onto Bush. Also saw were Summers already talked about it. Bush hasn't a chance since the true pain hits on his watch but the whole scenario started a long time ago. All he can do is try to minimize the pain. The bottom 20% (I can't access my source so the % may be off a little) still don't pay any income tax and under Bush's plan they actually get more back thru the earned income credit. Good luck

To: Dave who wrote (71037)	2/23/2001 4:28:13 PM
From: KyrosL	Read Replies (1) \| Respond to of 436258

Dave, you don't have your facts straight. The FICA "tax" (half of which is paid by the employer) is not at all a tax but rather a contribution to the SS system. Low and middle income contributors get back considerably more than they put in, after they retire. And the earned income tax credit results in a negative income tax for low income households. It is interesting that a number of European countries, which have a reputation for much higher taxes than us, have actually cut considerably their highest marginal rates and now are competitive with the US. In addition, most have no capital gains taxes.