Tag Archives: Government spending

New Poll: Record number of Americans want MORE government in their lives, by Simon Black

Here’s a poll that could ruin your whole day. From Simon Black at sovereignman.com:

In a poll conducted a few days ago by NBC News / Wall Street Journal, a record 57% of Americans responded that they want MORE government in their lives, and that the government should be doing more to solve people’s problems.

That’s the highest percentage since they started asking this question in 1995.

In fact, 57% is nearly double what people responded in the mid-90s.

Furthermore, the number of Americans who feel the opposite, i.e. responded that the government is doing too many things that should be left to private businesses and individuals, fell to a near record-low 39%.

Bottom line: people want more government.

It’s hard to even know where to begin with this.

First- more government is nearly an impossibility.

As I’ve written several times in the past, the US federal government already spends almost all of its tax revenue on mandatory entitlements like Social Security, and interest on the debt.

They could literally cut nearly everything we think of as government– national parks, Homeland Security, even the IRS– and still not make a dent in paying down the national debt.

According to the US government’s own financial statements, their net operating loss in 2016 was an unbelievable $1.05 TRILLION.

Think about that– they lost more than a trillion dollars in a completely unremarkable year.

They weren’t waging world war, funding a major infrastructure project, or dealing with an economic crisis.

It was just business as usual. And they STILL lost over a trillion dollars.

More government is going to cost even more money that they don’t have… which means even more debt and even more pain in the future.

The usual refrain is to pay for more government programs by raising taxes on the rich, or big corporations, or whoever the evil villain du jour is.

Anyone who thinks this actually works needs to study history.

Simply put, RAISING TAXES DOES NOT RAISE TAX REVENUE.

To continue reading: New Poll: Record number of Americans want MORE government in their lives

Of course Donald Trump’s tax cuts are in trouble, by Brett Arends

There’s No Fooling the numbers. From Brett Arends on a guest post at theburningplatform.com:

Older Americans don’t want benefits slashed — and they vote

Wall Street has been betting that Donald Trump will get his big tax cut plan through Congress — which would be supposedly good for stocks and the people who own them.

But those tax cuts were always a long shot — even before the health-care debacle.

The political pundits can jawbone all they want. But the logic is painfully simple:

1. Even with tax rates as they are, the U.S. budget is heavily in deficit and the national debt is predicted to keep spiraling upwards — as the Congressional Budget Office has confirmed.

2. Tax cuts will increase that deficit still further. (No, tax cuts do not “pay for themselves,” unless maybe you are cutting them from those ridiculous 70%-90% levels seen after World War II. Cutting taxes today might in theory stimulate enough extra growth to clawback some of their cost, but they will not generate a net gain.

3. Republicans cannot credibly push a plan that increases the deficits, because most of them — including Donald Trump — ran on a platform of saying the deficit, and the spiraling national debt, is a disaster.

4. Therefore, if Republicans want to pass the tax cuts, they will need to cut federal spending.

5. Trump is already pushing to raise spending on defense and infrastructure, making the challenge even greater.

It is impossible to cut spending overall without cutting Social Security and Medicare as well as Medicaid.

6. Mathematically, it is impossible to cut spending overall without cutting Social Security and Medicare as well as Medicaid. Along with debt interest, which cannot be cut, they already take up 58% of the budget and that figure is rising. Throw in defense and veterans and we’re talking about 77% of the budget now, and an estimated 83% in 10 years.

To continue reading: Of course Donald Trump’s tax cuts are in trouble