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Politics : Formerly About Advanced Micro Devices -- Ignore unavailable to you. Want to Upgrade?

To: TimF who wrote (333779)	4/17/2007 7:31:44 PM
From: Road Walker	Read Replies (1) \| Respond to of 1574258

re: I wouldn't make or support that claim. The closest I would come to it is that cutting taxes tends to increase economic growth, and sustained economic growth will eventually result in higher revenue even with lower rates. However I wouldn't say that every tax cut automatically increases economic growth, that's just the general result not an absolute universal, every time result. Also while growth is typically increased it may be by a very small amount, and that amount can easily take longer than the usual life time of a tax policy to give enough additional growth to make make the resulting revenue higher than it would have been without the tax cut. If it takes a decade or even multiple decades, well the tax situation will probably have changed multiple times. And at a point the resultant deficit, and it's effect on interest rates, slows the economy. Unless the government is completely reckless and continues to just print more money... in which case inflation will eventually kill all economic growth. Voodoo economics doesn't work. If you spend you have to pay for it, and to pay for it you have to have revenue.