I listen to my friends complain about current taxation, then I come home and read this! European central banks cannot ease monetary policy, because of the VATs which put pressure on Prices. Trade reduces as a production factor, when and if foreign nations also adopt fiscal restraint. The Fed believes in monetary easing, but Commodity prices are starting to skyrocket. The financial system has not been fixed, and is not back to providing the necessary capital to functioning business; here We are not talking about incentive for new production, just maintenance of current Production rates. Republicans want fiscal restraint, though Britain already expresses some difficulties with the entire Concept, both in Welfare terms as well as economic performance. Everyone parades Tax Cuts before me in the blogger world; no one actually presenting any Studies definitely outlining any great assistance from these Cuts. None of it contains exactly what I want.
I remember back in the old days, some even after the Start of the Tax Cut parade with John Kennedy. I witnessed the Times when the Unemployment rate was relatively high, even after the great Tax Cuts. I agree with economists that there has been a vast increase in the Labor Pool since the initial Tax Cuts, and that the expansion of the economy has been massive. My trouble sits in the fact that the economic expansion has not been relatively consistent, at least not to the Point where the Tax Cuts can find any statistical validity in raising the Employment rates–either alone, or joined at the Hip with Technology and Infrastructure development. I ponder on this, and desire specific economic models to answer some of the Questions I possess.
I would like some keen Economics Dept. to develop a Model combining the rising pattern of GDP since 1945 with the growth of Tax Receipts throughout the entire Period. It would delight myself if another line was added for the growth of State Tax Receipts throughout the Period, and even throw in the growth of Local Government Tax Receipts during the Period. I would also enjoy a second economic model detailing the separate impact lines of using the current GDP with different tax structures of 1945, 1950, 1956, 1962, 1965, 1972, 1980, 1988, 1992, 2000, 2005, and 2010 in term lines of total Tax Receipts which would have been gained from each Tax structure. These models would be great to overlay the growth of Government Expenditures–Local, State, and Federal–over the same Period. We could finish with an Overlay of the statistical growth in the Labor Rolls within the Period. The information would please me to tremendous degree, and could even help in making economic policy decisions. lgl