[net.politics] Fuzzy headed liberals/Taxation, Deficits

plunkett@rlgvax.UUCP (S. Plunkett) (11/02/84)

..fisher!david writes:

> I got news for you.  Reagan's going to raise taxes, too.  The question
> is: do you raise income taxes or create a value added tax (a sales tax
> with extra paper work)?  If you believe that the deficit is going to
> be reduced without raising taxes, then, my friend, you must be the one
> with the head in the sand.

If you are implying the inverse, viz., that the deficit will be reduced
by raising taxes, then you too have your head in the sand.  I understand
this algebraic formula appeals to accountants and Democrats, but an
economy just doesn't work like a corporation, nor does it conform to
the fantasies of the average Democrat.

The immutable facts are these: (1) Spending money is an institutional
prerogative in Congress.  Fiscal conservatism simply isn't built into
the system.  Though each Congressman may be concerned about aggregate
spending, he is more concerned with spending in his district: the more
the better.  (2) If current Government outlays are considered inviolable
then it is problematical that the damage to the private sector is any
less if deficits are financed with borrowing, or with additional
taxation.

The "deficit issue" is supposedly the only issue of substance that a
certain candidate for President, otherwise bereft of substantive issues,
has clung his hopes onto.  His prescription, higher taxes, will merely
result in--per above--(1) Higher Congressional outlays, (2) Economic
disincentives and increased hardships.  Thus, the issue in 1988 would
be taxation, reduction of, and to hell with the deficits.

Spending is the problem.  Sensible people know this, and will vote
accordingly.

Scott Plunkett,
..{ihnp4,seismo}!rlgvax!plunkett