Taxes, Budget And Today's Economy
| Taxes, Budget and Today’s Economy | How the nation’s budget impacts our economic growth | | ECO-2023
|
Taxes, Budget and Todays Economy
The United States National budget is a big topic of conversation right now on the political front. It is an election year and many people are looking for ways to boost our economy or at least make promises of doing so. But creating and maintaining a balance budget that will reduce our debt and in turn make the United States a stronger presence in the world is not an easy task for anyone. Good ideas are generated but if Congress does not pass them, than it is a moot point. It is important to our, the United States economic future to come up with a budget that reduces our current national …show more content…
An overall increase of taxes could slow down economic growth with more people holding on to what is left of their money after taxes. Generally when this occurs our economy goes through a deflationary period. This means that people are not making purchases for goods or services. Thus, manufacturers do not need to manufacture as much goods for the market, in turn; they downsize and lay off employees. This creates higher unemployment, more people receiving unemployment compensation, which adds to the nation’s fiscal burden. Under our current presidency, there are increased taxes on the table that would only increase the very wealthy this is sometimes referred to as the “Buffett Rule”, which is defined by the Whitehouse as “a simple principle that everyone should pay their fair share in taxes. No household making more than a $1 million should pay a smaller share of their income in taxes than middle-class families pay. For the 98 percent of American families who make less than $250,000, taxes should not go up” (whitehouse.gov) with this plan only the very wealthy are impacted by higher …show more content…
They were Lyndon Johnson in 1969 and Bill Clinton 1998 through 2001. Since the 1960’s our country was generally run on a deficit. In the last 40 years there have been five instances in which our country ran on a budget surplus, remarkably all five instances were under the leadership of a democratic president, they were 1969, 1998, 1999, 2000, and 2001.
This graph, taken from dailymarkets.com, depicts when our country was either in a deficit or the few times our country ran on a surplus. There is a balanced budget amendment on the table, while both parties agreed to have an amendment in the summer of 2011 as part of an agreement to raise the debt ceiling in the United States; they have been unable to pass it with 2/3 of the vote in the House of Representatives. Most republicans support the amendment and most democrats do not support it. Democrats are concerned that this would spur large cuts in spending. The democrats are concerned that these
Taxes, Budget and Todays Economy cuts would be massive in the areas of public interest such as social security and healthcare. The citizens of the United States appear to be in support of a balanced budget amendment, a recent poll shows that 3 out of 4, 60% of Americans support an amendment that would help reduce our debt and the deficit
|
Taxes, Budget and Todays Economy
The United States National budget is a big topic of conversation right now on the political front. It is an election year and many people are looking for ways to boost our economy or at least make promises of doing so. But creating and maintaining a balance budget that will reduce our debt and in turn make the United States a stronger presence in the world is not an easy task for anyone. Good ideas are generated but if Congress does not pass them, than it is a moot point. It is important to our, the United States economic future to come up with a budget that reduces our current national …show more content…
An overall increase of taxes could slow down economic growth with more people holding on to what is left of their money after taxes. Generally when this occurs our economy goes through a deflationary period. This means that people are not making purchases for goods or services. Thus, manufacturers do not need to manufacture as much goods for the market, in turn; they downsize and lay off employees. This creates higher unemployment, more people receiving unemployment compensation, which adds to the nation’s fiscal burden. Under our current presidency, there are increased taxes on the table that would only increase the very wealthy this is sometimes referred to as the “Buffett Rule”, which is defined by the Whitehouse as “a simple principle that everyone should pay their fair share in taxes. No household making more than a $1 million should pay a smaller share of their income in taxes than middle-class families pay. For the 98 percent of American families who make less than $250,000, taxes should not go up” (whitehouse.gov) with this plan only the very wealthy are impacted by higher …show more content…
They were Lyndon Johnson in 1969 and Bill Clinton 1998 through 2001. Since the 1960’s our country was generally run on a deficit. In the last 40 years there have been five instances in which our country ran on a budget surplus, remarkably all five instances were under the leadership of a democratic president, they were 1969, 1998, 1999, 2000, and 2001.
This graph, taken from dailymarkets.com, depicts when our country was either in a deficit or the few times our country ran on a surplus. There is a balanced budget amendment on the table, while both parties agreed to have an amendment in the summer of 2011 as part of an agreement to raise the debt ceiling in the United States; they have been unable to pass it with 2/3 of the vote in the House of Representatives. Most republicans support the amendment and most democrats do not support it. Democrats are concerned that this would spur large cuts in spending. The democrats are concerned that these
Taxes, Budget and Todays Economy cuts would be massive in the areas of public interest such as social security and healthcare. The citizens of the United States appear to be in support of a balanced budget amendment, a recent poll shows that 3 out of 4, 60% of Americans support an amendment that would help reduce our debt and the deficit