Quote Originally Posted by CrufflerSteve View Post
That model worked well in times of some real growth and confidence. A major failing al most all models is a belief in equilibrium, that things go naturally to optimal levels. Our current economic state is off the charts into the squirrelly zone. If we cut taxes I doubt if revenue will increase at all. In normal times people spend it and businesses create jobs. Now everybody will just sit on the money so no new activiity. All these models are voodoo when it comes to explaining the extremes.

nynco, I agree with your more tham most but I don't think I share your faith that more revenue now would be anything more than good money after bad. I do share many members lack of faith in the government actually living within limits without some real constraints keeping it under control. Just one little earmark here, one little emergency allocation and its back to business as usual.

Steve
There is no confidence in our current economy because our economy is no longer built on sound economic principles. Our economy no longer produces things through manufacture. Wallstreet gambling was only 7% of the economy prior to Reagan and today now stands at close to 3 times that. At the same time Manufacture went from around 25% of our economy in the 60s to less than 7% today. Wallstreet does nothing but push paper and make bets after the initial public offering. We use their health far too much. Its like making sure the parasite is doing ok while the host dies.

As to having confidence that our gov will do the right thing. I have none in 90% of our elected officials. I think we need to change the fundamentals of how we elect or officials. But that does not mean that we should cut our gov to the point that the US is weak like today.