Why did we have the Bush Tax Cuts right after we went into war and ran up our deficit?

That wasn't really the best time for tax cuts.

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  • 1 decade ago
    Favorite Answer

    There are many ways to think about the tax cuts first is that bush shouldnt have done it blah blah blah we have heard all that a thousand times and they are wrong. Bush did it for the same reasons Regan did it with the idea that if you cut taxes there will be more money in the pocket of the people to start buisnesses and spend on other things sending the money back into the system. This is normally the case and in the end when everything is done and said will be the truth however when this does happen it usuially takes five to ten years to see the results. However in the case of regan this wasnt the case it happened in 3 pulled us out of a ressession and put us ahead. In bush's case the people focused too much on the world problems and didnt spend the extra money they had.

    All in all the bush tax cuts worked and continue to work and now that the obama regime has taken over and stopped them no matter what they say everyone in the country is going to get taxed alot more heavily then before and i find it funny that only about 15 people pay more then 50% of americas taxes so thats food for thought.

    The best tax plan is to drop the IRS all together and just go to the fair tax which is a flat line sales tax across the board this will free up money in your pay check but also will tax you on what you buy so obviously if you make more money then your neighbor your going to spend more money then your neighbor and not only will you be paying taxes the illegal imigrants will be paying taxes as well as the french tourists who came to see disneyworld and the canadians who are running drugs in to new york whoever comes here and it will be fair across the board.

  • 1 decade ago

    The idea being, and historical evidence backs it up as at a minimum a sound theory, a reduction in the tax would spur additional growth, which in turn would boost the "realized" receipts. In the "trickle down" theory, if the higher earners make more, more will be spent and flow to the lower earners. This in turn would be spent and increase the income for the higher earners. Thus, a 38% tax on $1million (for example) would "realize" a lower actual tax receipt to the government than 35% of $1.5million. These tax cuts, along with the "wars", were NOT the major contributors to our deficit. Look into the government's own reports on the budget, the deficit, and spending.

  • BruceN
    Lv 7
    1 decade ago

    There's never a bad time to make rich people richer by lowering their taxes! Republicans don't care about the deficit, because someone else will have to deal with it and they'll have all their money safely tucked away by then.

    Wars put people to work and make a handful of contractors very rich. (Even richer if their taxes are reduced). So if you believe that a nation is best run by an imperial elite of wealthy people, then you should vote Republican.

    So Bush cut the taxes and charged up the credit cards and we lived pretty well for almost 8 years. The rich got richer and the poor got poorer. It's the Republican dream. Reagan did the same thing.

  • Anonymous
    1 decade ago

    Tax cuts inject extra money into the economy and increase growth. Depending on the size of the tax cuts they don't even always mean less tax revenue. If you lower the percentage rate of tax but the economy increases significantly you could still collect more tax revenue.

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  • Anonymous
    4 years ago

    Republicans communicate approximately democrats being in l. a. l. a. Land and failing to work out the fact, being naive, unable to comprehend fact. that could be real in some situations, yet not love this is interior the republican celebration. you are able to tell and prepare with info, that republican presidents traditionally spend greater suitable than democrats. it does not rely one iota to republican ideals. this is a actuality republicans develop the federal government, the comparable one they tell their base the democrats will boost if elected. The GOP throws that comparable previous tax shrink bone out to the backside each election and then proceeds to explode the nationwide debt. Republicans consistently demonize democrats as tax and spenders collectively as they themselves are borrow and spenders. This bailout, the homestead republicans does not bypass the unique crap sandwich as Rep. Boehner known because it, yet as quickly as loaded with beef and tax breaks for company usa, the crap sandwich became lots greater palatable and the so referred to as economic conservatives interior the homestead gave it their blessing. I in simple terms don't comprehend/comprehend how election after election the GOP get maximum of persons to vote against their very own superb pastimes in spite of the info slapping them interior the face that they in no way do what they say, and worse they do in simple terms what they demonize democrats approximately. Six years republicans held all of government, which of their warm button themes did they placed to relax collectively as on top of issues? Even socializing company usa's losses won't shake their ideals, this is surprising.

  • Anonymous
    1 decade ago

    Because we needed to jump start the economy. See, if the economy is bad, we need to cut taxes to spur growth. If the economy is good, then we need to cut taxes, because - hey, it's your money. No matter the problem, cutting taxes is the answer.

  • Bethy
    Lv 7
    1 decade ago

    Tax cuts spur economic growth and development

    Tax cuts means more money in the private sector for investment and job creation and less money in the soul sucking public sector

  • Anonymous
    1 decade ago

    Bush knew he could buy the average american a mediocre TV (300-500 check) and he would have their souls...while making his Friends rich.....sadly he was right.....

    Its the same money...we can argue over welfare, who's puttin their pepe pee's where? and so on and so on...

    ERASE THE BOARD AND START OVER!

  • Anonymous
    1 decade ago

    You're right. It was to reward the rich and buy votes.

  • 1 decade ago

    Because they were for all his wealthy oil tycoon friends.

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