Bush/Allen Debts Four Times Larger than Tax Cuts

By: Macduff
Published On: 10/18/2006 11:30:14 AM

George Allen claims that 3 million Virginians benefited from the Republican tax cuts.  But, of course, that's smoke and mirrors.  It requires citizens to ignore the fact it's borrowed money (or money that is simply taken from the Social Security trust fund).  In fact, the Bush/Allen additions to the national debt are more than four times larger than the supposed tax cut benefits for typical citizens. 

According to a January 2004 study released by the Congress' Joint Economic Committee (which is currently a Republican mouthpiece), the median American family with two children recieved tax breaks of $5,480 during the 4-year period 2001-2004. 

But review of data from the Bureau of Public Debt shows that during the same four years, the national debt grew by over $1.8 Trillion.  A family of four's share of that 4-year debt increase is $24,140--4.4 times the size of the supposed tax relief for the same period. 

The obvious question to our dear Georges Allen & Bush is who really benefits when the claimed tax savings are less than a quarter of their costs?  Average American families? No. Certainly not their children, who will bear the brunt of the harm.  Even the parents will be hurt when the debt needs to be paid down and when the huge debt burden is raised as an excuse for cutting their future Social Security benefits.  Even before the debt is paid off, we'll all be hurt whenever rising interest rates push up the cost of debt coverage.

So the real beneficiaries?  For Georges Allen and Bush, it's great short-term politics, as they increase both spending and cut taxes.  And, it's a really great deal for the Republican base: the wealthiest Americans (including the two Georges) and the corporations which got the vast majority of the tax breaks. For the rest of Americans, it's rather like dealing with a loan shark.

We don't need more of George Allen slavishly toadying to George Bush and his base.  The George we're stuck with for two more years (Bush) is bad enough.  Let's elect an independent Jim Webb, who will think for himself for the benefit of all the rest of us.

Comments



Bush SPENDING Responsible for Economic Growth (NukeTeacher - 10/18/2006 12:30:24 PM)
I am no economist, but is it not conventional wisdom that increased government spending money produces economic growth in the short term.  Why haven't we heard anything about this in the discussion of the 'rosy' economic picture?  Experts, please respond.


Loan Shark economics (TurnVirginiaBlue - 10/18/2006 4:08:32 PM)
Very nice.  Economics is a place I think we need a sound byte.

It's amazing how many people tune out on the numbers, not realizing the GOP "tax cut" mantra is complete fiction for them.