Ending tax cuts creates disincentive to work

[DC48080]

Great article, it succinctly sums up why Obama's tax increases should not pass.

http://www.nytimes.com/2010/10/10/bu...view.html?_r=1

[Big Dog]

There is no vote. This was a republican bill, that automatically expires, unless reenacted.

[Johnlodge]

"Obama's tax increases"

[lincoln8740]

There is no vote. This was a republican bill, that automatically expires, unless reenacted.

There would be a vote to keep all the tax cuts for everyone besides those filthy rich people that make over 250k a year--thus it becomes a vote on Obama's tax increase.

[bailey]

There would be a vote to keep all the tax cuts for everyone besides those filthy rich people that make over 250k a year--thus it becomes a vote on Obama's tax increase.

it is interesting how it's an Obama Tax Increase if the Bush Tax Cuts are let to expire as was written in the law. If this were a mccain administration and the sunset provision expired would it be a Mccain tax increase or simply responsible government as we try to dig ourselves out of two decades long wars?

It's kinda sad really that Americans as a whole are so vapid and unserious that they allow this sort of spin to actually influence their vote. It's not a tax increase, its the expiration of tax cuts....something that EVERYONE who wrote the law knew had to happen. Have a problem with it? Blame the republicans for bankrupting the country on wars of choice, medicare part d, and these unpaid for tax cuts.

[lincoln8740]

it is interesting how it's an Obama Tax Increase if the Bush Tax Cuts are let to expire as was written in the law. If this were a mccain administration and the sunset provision expired would it be a Mccain tax increase or simply responsible government as we try to dig ourselves out of two decades long wars?

.

Yes it would be a Mccain tax incresase if after ALL the Bush tax cuts were allowed to expire:

There was a vote that re-established the tax rates for all of income amounts under the Bush tax cuts minus those making 250k a year.

That is a tax INCREASE on those making 250k a year via a vote and/or law

That is what the adminastration wants to do and thus it it is their tax INCREASE.

I love the spin on "it is not a tax increase we are just letting a law expire"

All John Q Public notices is that he will be taxed at a higher rate than last year and he will blame Obama and the Democrats for that-- no matter which way you try and spin it.

[ghettopalmetto]

Yes it would be a Mccain tax incresase if after ALL the Bush tax cuts were allowed to expire:

There was a vote that re-established the tax rates for all of income amounts under the Bush tax cuts minus those making 250k a year.

That is a tax INCREASE on those making 250k a year via a vote and/or law

That is what the adminastration wants to do and thus it it is their tax INCREASE.

I love the spin on "it is not a tax increase we are just letting a law expire"

All John Q Public notices is that he will be taxed at a higher rate than last year and he will blame Obama and the Democrats for that-- no matter which way you try and spin it.

Ask yourself this: What, if anything, have tax cuts for those making over $250,000 produced in the way of economic benefit? What have those tax cuts cost us over ten years?

Do the math, then come up with an answer on whether or not they should be extended.

[Gistok]

it is interesting how it's an Obama Tax Increase if the Bush Tax Cuts are let to expire as was written in the law. If this were a mccain administration and the sunset provision expired would it be a Mccain tax increase or simply responsible government as we try to dig ourselves out of two decades long wars?

It's kinda sad really that Americans as a whole are so vapid and unserious that they allow this sort of spin to actually influence their vote. It's not a tax increase, its the expiration of tax cuts....something that EVERYONE who wrote the law knew had to happen. Have a problem with it? Blame the republicans for bankrupting the country on wars of choice, medicare part d, and these unpaid for tax cuts.

Well stated Bailey!

I must not have noticed.... but starting in 2001 after the tax cuts were in place... was there a sudden uptick in entertainers performing around the country at concert venues?

Was there a sudden uptick in lecturing professors on the lecture circuit soon after 2001... to soak up all that extra money?

Were there suddenly more surgeries, because surgeons now had greater incentives to perform them?

I'd like to see some statistics to back up this professors claim....

... and if the tax cuts do expire for the well to do... I think that hearing less from this professor will be worth it!!

And if the upper income group does spend less time working... just look at the positive... they'll spend more time on leisure activities!! They would be helping the travel industry.... the hobby industry.... the leisure vehicle industry... the list goes on and on!!

[gazhekwe]

Talk about cutting off your nose to spite your face! Enjoy your leisure, Mr-it-ain't-my-job-to-help-my-country.

[lincoln8740]

Talk about cutting off your nose to spite your face! Enjoy your leisure, Mr-it-ain't-my-job-to-help-my-country.

You can do the same. The IRS accepts donations, you can VOLUNTARILY send them money.

You would think that all those elitist Libs would be sending a ton of money to "do their part"

Hell, you would also think all the Liberal whack jobs around here would be "doing their part" as well.

But for some reason they don't--kinda weird.

[Papasito]

Tax hogs should be happy to voluntarily send in gobs of thier own cash ....

to-help-my-country.

[ejames01]

What a bunch of horseshit! So people did not want to work until 2001?????

Great article, it succinctly sums up why Obama's tax increases should not pass.

http://www.nytimes.com/2010/10/10/bu...view.html?_r=1

[DC48080]

What a bunch of horseshit! So people did not want to work until 2001?????

Read the article. It speaks for itself.

[gazhekwe]

Speaks to those with a hitch in their hearing, I think. I have always done my part to further community interests, with time AND cash. Luckily there are a lot who do the same. Go thumb your nose elsewhere, linc.

[lincoln8740]

Speaks to those with a hitch in their hearing, I think. I have always done my part to further community interests, with time AND cash. Luckily there are a lot who do the same. Go thumb your nose elsewhere, linc.

Hold on a second there, the article was about TAXES not about giving some change to a homeless guy or cleaning up a park. Once again, have you voluntarily given money to the FEDS? Have you done "your part" in terms of taxes and/or voluntary donations to the Federal and/or State Government?

Please enlighten us with what "cash" have you used to "further Community interests"?

Please don't tell me you are a college student who pays little or no taxes to begin with?

Please, No!!!!

[ghettopalmetto]

Great article, it succinctly sums up why Obama's tax increases should not pass.

http://www.nytimes.com/2010/10/10/bu...view.html?_r=1

Article, my ass. This is an op-ed, meaning "OPINION" piece. Do you have any idea who N. Gregory Mankiw is???

But hey, great work trying to find an "article" in the "liberal" New York Times that tells you what you already "think".

[firstandten]

Article, my ass. This is an op-ed, meaning "OPINION" piece. Do you have any idea who N. Gregory Mankiw is???

But hey, great work trying to find an "article" in the "liberal" New York Times that tells you what you already "think".

"N. Gregory Mankiw is a professor of economics at Harvard. He was an adviser to President George W. Bush."

I guess he's a real impartial observer when it comes to the tax cuts.

[Bearinabox]

I think I'd rather live in a functioning society than give N. Gregory Mankiw more of an incentive to tell me his opinions. It's a trade-off, to be sure; I just don't happen to find it an exceptionally agonizing one.

[gazhekwe]

Dear linc, I currently volunteer my time in a federal program to educate health professionals about cross cultural needs in HIV prevention. Don't forget, my time and my work products are worth money. I also faithfully pay the taxes I am asked for and stand ready to pay more as required. If it comes to a vote, I vote yes, let ALL the tax cuts expire. We couldn't afford them when we got them and they made precious little difference in the family income. I am not a college student, but a well seasoned lady with lots of history. I won't bore you with any more particulars.

[Papasito]

The IRS accepts donations, you can VOLUNTARILY send them money.

lol! best comment ever.
What you need to remember is that increasing taxes on the rich is not about paying off debt or funding the Government's out of control spending, it is about class warfare, jealousy and envy. You won't see any of the ham and eggers who are struggling and barely making ends meet voluntarily sending donations to the IRS - They only want to see people who earn more than themselves do it, and do it under mandate of the Government.

There will be no paying off of debt or a sudden burst of fiscal responsibility by the Government simply because the Government is collecting more money. If they take in $100, they will spend $150. If they up it to $150, they will spend $200. More taxes just means less money in our pockets.
And if you take the time to read the details of what's going to happen, you will see that every peace loving soccer mom will be losing her child tax credit, whether she voted for Obama or not. It's not just going to effect the "evil rich"... it's going to effect everyone.

We are all expected to sacrifice and pay more...
but the Government isn't sacrificing anything.

[ghettopalmetto]

l

We are all expected to sacrifice and pay more...
but the Government isn't sacrificing anything.

Such is life when you give your friends millions of dollars in tax cuts, then start a couple wars halfway-around-the-world.

I am, however, still looking for the part where anyone has asked the American people to "sacrifice" a God damned thing. I hold the opinion that we're in the mess we're in because we all think we don't have to sacrifice ANYTHING.

[oldredfordette]

lol! goofiest comment ever.

[GOAT]

out of curiousity why do Americans think they are so taxed to death? If you really wanted to cash in on the past glory that was the USA then get rid of that horrible debt hanging around the neck of your country. Compared to most countries the USA has relatively low taxes.

[Papasito]

Numerous studies, ably surveyed by Karabegovic et. al. [[2004), have found that high marginal tax rates reduce people’s willingness to work up to their potential, to take entrepreneurial risks, and to create and expand a new business: “The evidence from economic research indicates that ... high and increasing marginal taxes have serious negative consequences on economic growth, labor supply, and capital formation” [[p. 15).
.....
Even in the United States, marginal tax rates are really higher than statutory rates suggest. In a study aptly titled “Does It Pay to Work?” Jagadeesh Gokhale et al. [[2002) include state and local taxes, the marginal impact of losing government benefits [[such as Medicaid and food stamps) if income rises, the progressive nature of Social Security benefits [[which are least generous to those who work the most), and the phasing out of deductions and exemptions as income rises. They conclude that even “those with earnings that exceed 1.5 times the minimum wage face marginal net taxes on full-time work above 50 percent” [[Abstract). At higher incomes, the estimated federal, state, and local marginal tax rate is about 56–57 percent.

http://www.econlib.org/library/Enc/M...lTaxRates.html

Gee aint we lucky?

[gazhekwe]

Aho, Goat! And the tax "Increase" would only put the taxes back to where the taxes were before we got into these horribly expensive wars and had an economic collapse that put enormous burdens on the US Treasury. We were already paying those taxes since Bush I.