The Conservative Case Against Tax Cuts

MenInTights

not a plastic bag
#2
I only had time to skim it because I am heading to church, but this:
In 1920 the top marginal tax rate was 73% of over1 million dollars earned. In 1925 the top marginal rate was lowered to 25% of over 1 hundred thousand dollars earned. And then in 1929 we had the Great Depression. Tax cuts ladies and gentlemen…the myth, the math, the legend.
is a misrepresentation of history. First, the author fails to mention that by 1928, 25% of the national debt had been paid off thanks to the tax cuts and not increasing spending. He also ties the roaring 20s to the Great Depression. The ecomonic cycle may have caused a downturn, but was not the cause of the great depression.
 

CaptainObvious

Son of Liberty
V.I.P.
#3
is a misrepresentation of history.
Yeah, he's a very poor student of history and fails to draw a correlation between the cuts in 1920 and the Crash.

What he fails to mention is the 1920 cuts real tax collections nearly doubled as the economy soared. The share of taxes paid by those earning over $50,000 rose from 45% to 62%. There was no long term loss of revenue from the tax cuts. He further tries to magically draw a correlation between Bush tax cuts=recession...ignoring everything else most notably the Fed's involvement and the artificial demand for housing.

There were many causes of the depression but I would argue the biggest culprits were: the Fed raising of interest rates, the raising of of tax rates by Hoover and the Smoot-Hawley Act. I would also argue poor regulation of the stock market contributed as well.

I don't believe he makes any argument at all to be honest.
 
Top