Welcome Guest. Sign in or Signup

4 Answers

How does cutting taxes and increasing spending work out for Republicans?

Asked by: 502 views Tax Discussion

4 Answers



  1. Rockefeller Republican on Sep 17, 2011 reply

    It works out horribly.

    0 Votes Thumb up 0 Votes Thumb down 0 Votes



  2. BadWolf63 on Sep 17, 2011 reply

    “Cut spending” too…

    And historically it works well.

    “At the time Bush took office the economy had grown at a 1.1% annualized rate over the previous three quarters to March 31 of the first year of Bush presidency [62] (see Early 2000s recession). Bush had his tax cut plan approved by Congress in June.

    Overall real GDP grew at an average annual rate of 2.5%. Between 2001 and 2005, GDP growth was clocked at 2.8%. The number of jobs created grew by 6.5% on average. The growth in average salaries was 1.2%. Growth in consumer spending was 72% faster than growth in income. Investment in residential real-estate soared, growing 26% faster than average.[10][61]

    Despite growth levels below previous levels, a March 2006 report by the United States Congress Joint Economic Committee showed that the U.S. economy outperformed its peer group of large developed economies from 2001 to 2005. (The other economies are Canada, the European Union, and Japan.) The U.S. led in real GDP growth, investment, industrial production, employment, labor productivity, and price stability.[63]”
    http://en.wikipedia.org/wiki/Economic_policy_of_the_George_W._Bush_administration#Economic_growth

    0 Votes Thumb up 0 Votes Thumb down 0 Votes



  3. Brian on Sep 17, 2011 reply

    Well seeing as revenues increased it should have been fine. They increased spending too much though and the following administration tripled down on the bad decision.

    0 Votes Thumb up 0 Votes Thumb down 0 Votes



  4. whoyeah on Sep 17, 2011 reply

    This the two Santa Clauses gone wrong just like it was predicted.

    0 Votes Thumb up 0 Votes Thumb down 0 Votes


Answer Question