Cutting taxes creates jobs, and raising taxes destroys them. That's the view of policymakers, from President Barack Obama to his Republican adversaries.
Evidence from the last two decades, however, suggests that conventional wisdom is wrong.
In the five years after a $241 billion tax increase in 1993, which Republicans criticized as the largest ever, the U.S. economy created more than 15 million jobs and grew at an average annual rate of 3.8 percent.
In the five years after President George W. Bush's 2001 tax cuts -- which reduced marginal rates, raised the child tax credit, phased out the estate tax and gave "marriage penalty" relief to two-income households -- the economy added about 6.5 million jobs and grew at an annual 2.7 percent pace.
4 comments:
that article opening is SO not factoring all the taxes from the 90s. you CANT get take and compare income taxes
the 90s were good because capital GAINS taxes were lowered and so were business taxes
peoples taxes went up. that time was good for business persons. it was not good for me as a teenager, cause my parents did not have much and the increase taxes meant we had less. it WAS NOT as ROSEY as these people are saying. it was good for business then, not always for the people.
The economic booms in both the 90's and during the first decade of 2000's had less to do with tax policy and more to do with market bubbles.
Whats funny is that both Rep. and Dem. try to claim victory for both periods of high growth then run from taking that credit when the bubbles burst.
The point: stop blindly following the elephants and donkeys with your idealogical shovels scraping up the dung.
755-You hit the nail on the head.
Amen 7:55 - gotta love the sheeple!
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