Originally posted by Joe234
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I do not buy into the keynesian concept of spending your way out of recession. It works in stimulating the economy but leaves you with lots of debt, which once the economy recovers the gov will not pay back. By not spending to stimulate, the recovery is slower but the oucome is better because the markets get corrected and the added debt is not there. It's a better long term strategy.
The thing is joe, we don't have enough money to just keep bailing people out and stimulis spending. We need a combination of tax increases on the rich and tax cuts for the middle class so that you average joe is out spending more money, meanwhile the rich are making up for that extra tax revenue. This is not socialism because the rich don't pay taxes proportional to what you and I do. They have ways of hiding their money and skirting the law that you or I cannot (or do not know how to) do. It takes nearly 6 months worth of paychecks to pay the taxes in any given year for me, the rich do not have this problem. Even Reagan realized this.
But spending into infinity is unsustainable and a bad plan considering our already staggering debt situation. Even the G convention says that it's unsustainable and we have to stay thinking about cutting our out of control spending, Obama being the only one who wanted to continue spending like a drunken sailor.
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