Originally posted by Michael MacFarlane:
Again: Raw government revenue is not the number that matters because it continually increases regardless of policy (with the exception of hypothetical truly enormous tax cuts, or a hypothetical tax increase so large that it tanks the economy). The growth rate of government revenue is what's relevant here, and it's fallen since the tax cuts were passed. (Refer to the chart.) The implication is that yes, the government has more money than it did before, but it has less than it would have today if the cuts hadn't been made.
That implication is not clear. By most accounts the economy was headed towards recession before Bush was sworn in. The tax cuts are generally credited as one of the factors that helped avoid a possible recession. If we had entered a real recession, the higher taxes probably would not have lead to as high a revenue as earnings would have been lower.
Now, I don't mean to imply that I'm all for ever growing revenues and budgets but if they happen to come as a result of lower taxes and greater individual prosperity then I don't mind. Right now we do have a budgetary situation that is out of control and a tax scheme that seems more designed to influence behaviour and incite class warfare with raising revenue almost a secondary concern.
"I would rather claim to be an uneducated man than be mal-educated and claim to be otherwise." - Wookie 03:16