The 2008 Presidential Election is quickly approaching and the candidate's are fervently trying to win over the nation. Hot political topics include national health care, Iraq, abortion, gay rights, gun control, the death penalty, and, of course: taxes. The history of taxes has been tumultuous in American culture. From the Boston Tea Party, to the American Revolution, to modern-day tax increase protests, taxes have always been hotly debated - and I am sure they will continue to be a focal point of American politics.
Humans are argued to be 'rational beings'. We are supposed to work in our own self interest and do what is best for ourselves. Of course, then, Americans are going to seek for decreased taxes! The immediate perception is that lower taxes mean we, the working public of American society, have more money to spend and thus greater leisure to enjoy life. Lower taxes seem to be a good thing... but presently, I don't think they are. Not in the long run, at least.
The current budget deficit is enormous. It is absolutely impossible for the average American citizen to fathom how much money our government is in debt. I just saw a figure saying that the 2007 Federal budget deficit was $4 trillion. How much money is in a trillion dollars? That number is so large it's unreal. And the 2008 presidential candidates are proposing to cut taxes? The purpose of taxes is to fund the government when they need money. Now, it might just be me, but I think a $4 trillion debt is huge and should probably be funded.
But, unfortunately, American's are self-interested and so are politicians. The politicans want to win the hearts of the public, and the public would never approve a tax increase!
This creates quite the conundrum in American politics. The politicians all seem to be promising "a balanced budget" but then they propose costly programs and tax cuts. Isn't it obvious to the general public that obviously there is some financial disconnect in their ideas?
I think it is pressing that taxes are increased and government spending decreased. If the budget continues to spiral out of control, the future America is going to have economic problems that our present state-of-mind likely cannot understand. American citizens need to stop being so greedy and allow the politicians to do what is truly best for us. The politicians need to stand up for what they should know is right instead of working to falsly appease the general public.
I agree with you in that we need taxes, yet the real problem isnt' that enough money is coming in, it's that the money isn't being managed properly by the government. If money were spent more efficiantly rather than all this beaurocratic stuff, we'd be well into the black.
Indeed, as 1060601 notes, the real problem is the inefficient allocation of funds towards wasteful programs and so forth. The reality is that the tax cuts aren't the problem; they've actually increased revenues. In truth, the problem is the spending; federal expenditures are far and away outpacing the money that is coming in, hence the dramatic increase in the debt (by $3.5 trillion, or 61%, under our "conservative" President).
With regards to the fundamental point addressed by you, GStuckenschneider, I agree that we are facing a conundrum here. The American people want lower taxes, but at the same time they want more government programs, which naturally cost more money. With politicians not having the backbone to stand up and do what's right and instead borrow and spend to appease the people, we're digging ourselves into a deeper and deeper hole. We as a people need to stand up for change in our fiscal policy. We need lower taxes for everyone, especially given the economic downturn that we're now facing, yet we need to start reeling in the spending today, and seriously.
"Government is not the solution to our problems; government is the problem. - Ronald Reagan