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 Advanced Micro Devices -- Ignore unavailable to you. Want to Upgrade?

To: TimF who wrote (353468)	10/3/2007 3:00:20 PM
From: combjelly	Read Replies (1) \| Respond to of 1577893

"Federal revenue does not equal economic activity, and increases in federal revenue to not equal economic growth" No, it doesn't. But a tax cut, combined with a large amount of deficit spending, does equal a major economic stimulus. The deficit spending started pretty much immediately after Bush took office. The tax cuts soon followed. Yet the economic activity didn't exceed the high of 2000 until well into 2004.

To: TimF who wrote (353468)	10/4/2007 2:35:41 PM
From: tejek	Read Replies (3) \| Respond to of 1577893

Your attacking someone else's argument, not mine. My point is simple. Federal revenue does not equal economic activity, and increases in federal revenue to not equal economic growth. There is some correlation between the two, but its not strong enough to make one a proxy for the other, esp. when you also have tax rates changing. So your argument that lower revenue (or a long time to get equal revenue) showing poor economic performance is faulty. The "tax cuts pay for themselves" idea, isn't relevant in this context. Let me see.......higher paying jobs are not an indication of strong economic growth; savings per capita is not an indication of strong econ. growth; overall job growth is not an indication of strong econ. growth; federal revenues are not an indication of strong econ. growth; personal income is not an indication of strong econ. growth. During the last three months you have pretty much knocked out all of the above as indicators. So.....if none of the above are any indication, how do you know when econ. growth is strong?