Alan Simpson Calls GOP Refusal To Raise Revenue ‘Absolute Bullshit’

[saveliberty]

I am apparently alone in my opinion that we should not cut spending, at all, right now. Maybe some clean up and making departments more efficient, sure, but gutting programs means one thing ... firing people. Choosing to fire people when the private sector refuses to hire will only make the economy worse. I don't think anyone here would advocate for a higher unemployment rate (except for those who hate Obama) so choosing to raise the unemployment rate makes no sense.

Raise taxes on those who can pay, namely the top 10% and corporations. Leave the cuts in place for the middle class so they can continue to pay down their debt and get us out of this mess.

And if you think raising taxes on the wealthy and corps will cost us jobs, shut up and prove it already.

Didn't waste any time making stupid comments I see. Just how do you think jobs are created? How does taking the job creator's revenues help promote a private sector job? By the way, I heard White House advisors all got raises. Nice huh.

 

[Kuros]

It seems just about every economist agrees with Simpson.
If people loved their country, instead of just thinking about themselves, we'd slash spending AND raise taxes. Otherwise, people aren't serious about lowering the debt. It's that plain and simple.
Everyone should sacrifice, not just the middle class and the poor.

I agree with this. Simpson is a good man, and the deficit proposals were a compromise. And they were not a cynical centrist compromise, either: they attempted to excise pork and other unnecessaries to focus on the critical missions of government.

 

[Trajan]

I am apparently alone in my opinion that we should not cut spending, at all, right now. Maybe some clean up and making departments more efficient, sure, but gutting programs means one thing ... firing people. Choosing to fire people when the private sector refuses to hire will only make the economy worse. I don't think anyone here would advocate for a higher unemployment rate (except for those who hate Obama) so choosing to raise the unemployment rate makes no sense.

Raise taxes on those who can pay, namely the top 10% and corporations. Leave the cuts in place for the middle class so they can continue to pay down their debt and get us out of this mess.

And if you think raising taxes on the wealthy and corps will cost us jobs, shut up and prove it already.

Right now, while the economy is weak, we should not cut spending nor raise taxes. Instead, we should have a concrete plan to start doing both when the economy is better, say in 2-5 years.

I think re -working the tax code would probably be the best way forward right now, along with a plan to reign in entitlements.

I DO understand that the gov. does provide some spending impetus, but frankly, I think we have reached the point where in; a) NO more stimulus's as in 'investments'....b) the gov. programs that have been duplicated. must go, even if it means job, c) energy spending, thats right fossil fuels, it has a triple multiplier- jobs taxes and starts to edge out sending dollars overseas.

 

[Uncensored2008]

I've always thought a war tax was a great idea. We should start now. That should cause all the troops to return home by Christmas.

As long as it is a specific "War Tax," levied on 100% of Americans.

Obama and Simpson want a tax on "the rich" which is to say those earning between $100 and $250K a year. (Once above $250K, one becomes connected and part of the virtual aristocracy!)

 

[Uncensored2008]

It's amazing how it is that when a former Rep is no longer in Congress, he finally feels free to say the kind of things he would have felt completely constrained from saying while still in office due to the blowback in party retribution that invariably would have come his way for speaking his mind.

Simpson was always a tax & spend leftist - which is why Dear Leader chose him.

{Bush “Read My Lips” Tax Hike (10/27/1990, RC # 326): Simpson voted to raise the individual top marginal income tax rate from 28 to 31 percent, to phase out itemized deductions like charitable contributions, to raise Medicare payroll taxes, and to increase excise taxes on alcohol and tobacco. This violated President Bush’s “read my lips” pledge. $2 in spending cuts were promised for every $1 in tax hikes. None—zero—of the spending cuts were enacted. All of the tax hikes were.

Medicare Catastrophic Coverage Bill(06/08/1988, RC # 590): Simpson voted for a new Medicare catastrophic cost and prescription drug bill which was paid for in part by charging seniors a surtax of 15% of their annual income tax liability. This is a marginal income tax hike. This law (which Simpson also voted to repeal) led to the famous incident where House Ways and Means Committee Chairman Dan Rostenkowski (D-Ill.) had has car pounded on by seniors with their umbrellas.

Tax Reform Act of 1986(09/27/1986, RC #677): Simpson shockingly voted against the Tax Reform Act of 1986, which was the most significant tax reform of the last century. It lowered the top personal income tax rate from 50 percent to 28 percent. It lowered the corporate income tax rate from 46 percent to 34 percent. While there were elements that were unpalatable (e.g., the hike in the capital gains tax rate from 20 to 28 percent, the limits on IRA contributions, etc.), the package was the final nail in the coffin of the high tax-rate era.

Social Security Tax Hikes of 1983(03/24/1983, RC #54): Simpson voted for the biggest tax hike in Social Security’s history in 1983. Faced with bankruptcy, the Alan Greenspan commission chose not to reform Social Security into a defined contribution system with personal accounts. Rather, they re-used the old formula of benefit cuts and tax increases. In this case, the payroll tax rate was increased from 10.8 percent to 12.4 percent. It also exposed up to half of Social Security benefits to income taxation.

TEFRA Act of 1982(08/19/1982, RC #834): Simpson voted in favor of this bill which was a lie liberal Democrats in Congress foisted upon President Reagan and the American people. The Congressional Democrat leadership promised $3 in spending cuts for every $1 in tax hikes. The tax hikes happened—arguably, little to none of the spending cuts did.}

Read more: Americans for Tax Reform :: Debt Commission Co-Chair Alan Simpson\'s Anti-Taxpayer Voting Record

 

[thereisnospoon]

Alan Simpson is old and addled. Raising taxes lowers tax revenue because people stop doing activities that generate tax revenue. (Except gambling,alcohol, and cigarettes)

That is the biggest cockamamie lie going today. People who own and run businesses, major corporations, anyone at all interested in making money will not stop because they get taxed a few more dollars. The top tax rate could be 70%, and people would still try to make money by starting businesses.

Making the rates higher and allowing deductions for investment in capital would be more successful at getting companies to expand then just letting them sit on their money like they are now. Does that mean that we should make the top rate 70%? Probably not. It's not about soaking the rich, it's about bringing revenues to an historically reasonable level, which we are far below currently.

And do not make the dumbfounded mistake of thinking this means that I believe raising taxes is the whole answer. We need to cut spending as much as we need to raise revenue.

Increasing taxes reduces revenue. Period. Seeing taxes on the rise tells people they must hang on to more of their money to pay taxes. That is money not being spent or invested. Hence it does not enter the economy.
Your idea that even at 70% new businesses would open and existing business would expand is pure bupkis. No sane person would want to start or expand a business for 30 cents on a dollar.

 

[thereisnospoon]

It seems just about every economist agrees with Simpson.
If people loved their country, instead of just thinking about themselves, we'd slash spending AND raise taxes. Otherwise, people aren't serious about lowering the debt. It's that plain and simple.
Everyone should sacrifice, not just the middle class and the poor.

You should have stopped at "everyone should sacrifice". Because there is no such thing as taxing one level of income, without effecting the income of everyone else.
Entitlements which make up over half of the federal budget need to be slashed and the methods by which monies are redistributed to recipients drastically changed.
Government would gain the trust of the American people is it would simply increase and guarantee accountability. The amount of waste fraud abuse and bureaucratic crap is enough to make us say "no more".
The federal government with it's insatiable desire to spend money it cannot dream of paying is the root cause of ALL of the economic problems we experience now. ALL of them.
Government spending needs to be drastically reined in. Combine that with tremendous oversight and enforcement of the rules. Failure to adhere to those rules should be met with severe punishment.
If scaring the shit out of politicians and bureaucrats into compliance, so be it.
Increasing taxes to give government more money is just compounding the same problems.

 

[Political Junky]

It seems just about every economist agrees with Simpson.
If people loved their country, instead of just thinking about themselves, we'd slash spending AND raise taxes. Otherwise, people aren't serious about lowering the debt. It's that plain and simple.
Everyone should sacrifice, not just the middle class and the poor.

Of course you and Simpson are correct. Simpson is a republican from the days before they became radical.

 

[CrusaderFrank]

Can't say it enough:

1. The Federal Government is NOT the US economy

2. A growing US economy and NOT tax increases is what raises revenues to the Federal Government.

Make a 3X5 of those 2 statements. Learn them!

 

[The T]

Can't say it enough:

1. The Federal Government is NOT the US economy

2. A growing US economy and NOT tax increases is what raises revenues to the Federal Government.

Make a 3X5 of those 2 statements. Learn them!

3. Money does not belong the the Imperial FED but to those that create wealth. Government creates nothing and robs wealth.

 

[logical4u]

Fmr. GOP Sen. Alan Simpson Calls Republican Refusal To Raise Revenue ‘Absolute Bullshit’

Former GOP Sen. Alan Simpson blasted his intransigent GOP colleagues on the Hill today for failing to reach a deal on the deficit. The blunt-talking co-chairman of President Obama’s bipartisan fiscal reform commission slammed Republicans for kowtowing to Americans for Tax Reform head Grover Norquist (“Republicans can’t be in thrall to him”) and pushed Treasury Secretary Tim Geithner to stand fast on the August 2 deadline.

Surveying the lay of the current fiscal land, Simpson said, “We’re at 15 percent revenue, and historically it’s been closer to 20 percent.”

He added, “We’ve never had a war without a tax, and now we’ve got two. … Absolute bullshit.”

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Wasn't Alan Simpson in congress when the dems had the House, the Senate and the Presidency? They shoved thru plenty of stuff that "most" citizens didn't want. Do you really expect us to believe that those "intellects" didn't know they were going to run out of other people's money?

A question for the libs: why didn't the dems just "eliminate" the debt ceiling while they had control?

 

[logical4u]

It seems just about every economist agrees with Simpson.
If people loved their country, instead of just thinking about themselves, we'd slash spending AND raise taxes. Otherwise, people aren't serious about lowering the debt. It's that plain and simple.
Everyone should sacrifice, not just the middle class and the poor.

Are the middle class and poor being targeted for tax hikes, too? That would be sharing the "sacrifice".

 

[logical4u]

"And for the support of this Declaration, with a firm reliance on the protection of divine Providence, we mutually pledge to each other our Lives, our Fortunes and our sacred Honor." - Declaration of Independence.

Funny how so many people forget that part about Fortunes.

And weren't "they" the ones that were running things? If you gave those paying most of the taxes more say in gov't, we would not have the mess we do today.

 

[Sactowndog]

Fmr. GOP Sen. Alan Simpson Calls Republican Refusal To Raise Revenue ‘Absolute Bullshit’

Good for Simpson. He's absolutely right. Saying that taxes cannot go up under any circumstances says the GOP aren't serious about the deficit.

Toro, I absolutely agree. Especially when you look at things like capital gains taxes which are 5% below the previous historical low. In addition, if I am getting all my gains from overseas stock market gains or by currency arbitrage please tell me how raising taxes on that will hurt the US economy.

Sadly the Republican party has become so ideologically rigid that I have left it after 30 years. I wonder if Simpson will also. Would love to see him start a 3rd Party.

 

[Sactowndog]

But America is already "feeling it." We can't continue to kick the can down the road hoping things will somehow improve in Washington. It's funny when you talk of 'diehard ideologues' because that's how many Americans view those who believe as you do. We'll just have to agree to disagree. We'll both call each other 'diehard ideologues' and leave it at that.

We did it in Canada. Canada in the mid 90s was in worse shape than America is now. We also did in my home province, where the bonds were rated junk and couldn't be purchased by the capitol city's pension fund. We did it mainly by cutting spending but we also raised taxes. It occurred when the nation realized that we couldn't continue as we were going, when ALL parties realized that they had to give.

We shouldn't do it now. We should wait until the economy is on sounder footing. But remember, Ronald Reagan raised taxes. George HW Bush raised taxes. Bill Clinton raised taxes. Tax revenues were all higher and the economy was fine. Most of the adjustment should come through spending cuts but taxes must rise. This problem will NOT get solved when a significant portion of the population is saying "Me! Me! Me! Listen to me! And only to me!"

Unfortunately, right now Americans believe that they can continue to have it all and not pay for it. This problem will get resolved when the average American gets it. They don't right now.

Maybe we need another Ross Perot, a guy who has no chance of winning but can articulate the issue and force the political parties to solve the problem.

Here! Here!
Amen Toro.
The Republicans and the Democrats have painted themselves into corners with absolutes. Each can only do what needs done if they are willing to go back on their word.
Republicans will have to admit that it won't be Armageddon if wealthy Americas receive increases in luxury taxes etc.
Democrats will have to admit that spending cuts will not kill innocent blind kittens and little old ladies.

And as Americans, we must remove the blinders of our biases and realize that both parties have fallen into deep corruption and BOTH parties no longer represents us nor our best interest.

I agree with you both but I think it will take a third party to get us there. Toro I believe we can also raise capital gains taxes without a negative impact.

 

[Steelplate]

It seems just about every economist agrees with Simpson.
If people loved their country, instead of just thinking about themselves, we'd slash spending AND raise taxes. Otherwise, people aren't serious about lowering the debt. It's that plain and simple.
Everyone should sacrifice, not just the middle class and the poor.

Are the middle class and poor being targeted for tax hikes, too? That would be sharing the "sacrifice".

No...the middle class are being targeted for massive cuts that will affect them deeply. That's their sacrifice. That's a hell of ante from people who can least afford it. What are the wealthy willing to ante up?

Oh... that's right... nothing.

 

[Steelplate]

"And for the support of this Declaration, with a firm reliance on the protection of divine Providence, we mutually pledge to each other our Lives, our Fortunes and our sacred Honor." - Declaration of Independence.

Funny how so many people forget that part about Fortunes.

And weren't "they" the ones that were running things? If you gave those paying most of the taxes more say in gov't, we would not have the mess we do today.

They already have almost all the say in government, and we are in the mess we are in today.
Why give them all the say?

 

[BenNatuf]

It seems just about every economist agrees with Simpson.
If people loved their country, instead of just thinking about themselves, we'd slash spending AND raise taxes. Otherwise, people aren't serious about lowering the debt. It's that plain and simple.
Everyone should sacrifice, not just the middle class and the poor.

Are the middle class and poor being targeted for tax hikes, too? That would be sharing the "sacrifice".

No...the middle class are being targeted for massive cuts that will affect them deeply. That's their sacrifice. That's a hell of ante from people who can least afford it. What are the wealthy willing to ante up?

Oh... that's right... nothing.

perhaps you can name those cuts

 

[BenNatuf]

He did demand spending cuts... Where do you get your news from? What he "demanded" was that ALL Sacred Cows be put on the table. For the Dems, it's spending cuts. For the Republicans, it's taxes.

In fact.. there are $1T of Spending cuts ALREADY AGREED TO between both parties. That's the problem with you right wing idiots. You only speak in rhetoric and hate. Facts and reason elude you at every turn. You make up your own facts and declare them the truth. But what can you expect? Look who you get your news from.

1T over a ten year period with planned yearly deficits of over 1T. Thats the problem with you liberal morons... you don't understand math.

The federal government is currently spending approximately 25% of GDP. Historically it has only been around 20% of GDP. At the same time, we are collecting revenue of approximately 15% of GDP, when the historical average (last 60 years) has been 18.5%. On the revenue side, revenue must be increased to at least the 18.5% plus any amount to cover the unfunded wars. That puts us at around 20%. That still leaves us short by 5% which must come off through spending cuts. Bottom line is that we need to cut spending by as much as we raise revenue and they must both be enough to get us close to a balanced budget.

Unfortunately, this is not the end of the story. Due to the number of soon to be retirees, we also must either cut SS and Medicare spending or increase revenue by an additional two to three percent. As with the rest of the budget, I imagine that eventually this too will be handled by a combination of tax increases and cuts in benefits.

historically since when? This lame assed talking point has been shot to hell before, there were times the government spent less than 10% of GDP and times when it's spent near 25%, there is no historical fucking average we should be at. Raising taxes will not in the long term raise revenue, it's a short term solution which accomplishes nothing as the drag on the economy over time from higher taxes will end up costing the government more money in the long term than they get in short term benefits from the increase. No, you fucking socialist fucks cannot have any more of my money.

 

[Steelplate]

Are the middle class and poor being targeted for tax hikes, too? That would be sharing the "sacrifice".

No...the middle class are being targeted for massive cuts that will affect them deeply. That's their sacrifice. That's a hell of ante from people who can least afford it. What are the wealthy willing to ante up?

Oh... that's right... nothing.

perhaps you can name those cuts

Hey.... Obama put entitlements directly on the negotiating table today in his presser. In Fact, they've been on the negotiating table through Joe Biden's handling of the negotiation process. Maybe Fox Doesn't report that part... they just want to tell you that the Dems want tax hikes and nothing more.

here's a simple Bing Search... look at the dates on the articles...

Entitlement cuts on the table in the debt limit talks - Bing