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Politics : Politics of Energy -- Ignore unavailable to you. Want to Upgrade?

To: TimF who wrote (8851)	6/3/2009 3:24:16 PM
From: RetiredNow	Read Replies (1) \| Respond to of 86356

An an important point that you ignore completely is that tax cuts aren't spending. Tim, if we borrow money (deficit spending) to give Americans tax cuts, then that is spending money we don't have. To determine whether that is worthwhile or not, you'd have to measure the economic benefit of the stimulus effect to the cost of borrowing that money and see if the benefit outweighs the cost. I'd bet you my house that tax cuts to individual tax payers given with gov't borrowing is a negative return proposition for our economy. However, I'd bet that tax cuts to corporations could be worth it in that it might have a positive ROI, if those corps reinvest in new growth investments. That's why I am almost always opposed to tax cuts for individuals as a stimulus exercise. All that does is borrow from the future to help us feel good today. I am almost always for tax cuts for corporations as a stimulus, because that is generally good for the economy. Unfortunately, this current crop of GOP members has never seen a tax cut they didn't like. And the Dems have never seen a spending project they didn't like. Quite a conundrum we're all in.