Liz Truss and the miracle of tax cuts for the wealthy

It didn’t work? She hasn’t had the time to implement anything. Lol. The libbies criticism and central bank wouldn’t back her.

 

My bad. The Brits are thriving.

 

Don't conservatives currently control the government, there? Anyway... what was her plan B that would work if given time?

 

no one is thriving right now, big gov or small. But overall their government style had worked well for them over a long period of time.
Admitting that doesn’t mean it’s right for us or the only way to go.
And Europe generally, who almost all have large governments, has been economically stable and successful for a long time, short of Greece. And they have lower deficits for the most part than we do, longer lifespans, lower poverty rates, lower crime rates, higher educational levels when comparing tests etc.
we have advantages too, but simply dismissing all that because “libbies” doesn’t really help things get better here. We should be learning from what others do well.
Jmo.

 

I honestly don’t know enough about their government. Just seemed like it was a quick resignation.

 

No capitalism and the free markets coughed her and her dumb ideas up like a cat does a fur ball. This all started because the currency markets tanked the British pound, after she announced her proposed “budget” of tax cuts and no spending cuts, and the UK central bank had to step in to save it.

The libbies played no part in this at all. This was right wing self immolation.

 

Nah. Even though the libbies really played no part they still deserve the blame. Otherwise we'd have to blame people other than libbies.

 

Apparently, there is a chance that Boris Johnson can return because the Conservatives are so worried about infighting that they will only back a maximum of 3 candidates and require 100 signatures to put somebody up for a vote. Also, there are indications that they may not even go to the party activists and just purely vote amongst Conservative MPs.

Resign in disgrace and unpopular and returned to office in two months because the ruling party has nobody else. Wow.

 

they also rely on the US for their defense along with lots of their drug development. to a degree, they enjoy their largesse at our expense. DT was right about one thing, NATO doesn't pay their fair share

 

Wow. Someone was so butthurt by this post it got an actual dislike.

Edit: mine too! Someone is in need of triage from a proctologist.

 

It was probably more libbies

 

Ronnie BIG GOV Reagan a tax cutter???? Even bending over backwards & showing it as a % of GDP. Americans love their mythology.






Tax cuts can cause inflation.

For example, stimulating a stagnant economy by increasing spending or lowering taxes, also known as expansionary fiscal policy, runs the risk of causing inflation to rise.

Fiscal Policy: Balancing Between Tax Rates and Public Spending.

 

Who had lettuce?

 

She lasted about 4.3 Scaramucci’s, though.

 

The thing about the Reagan tax cuts is that they had something 11 subsequent smaller tax hikes during his term that essentially recovered about half of the initial cuts.

PolitiFact - Stephen Colbert brings up Ronald Reagan's tax-raising record in Ted Cruz interview

Include the “read my lips” Bush tax increases the total roughly equals the extent of the original cuts on a % to gdp basis.

The Mostly Forgotten Tax Increases of 1982-1993

 

Nearly right. She was proposing to borrow money from the public to fund tax cuts for the wealthiest 1% in the country. That's pretty messed up in the midst of a cost of living crisis, record inflation and off the back of a decade of austerity.

If Government giving contracts worth millions to their mates (plenty of evidence - not just me moaning) - especially during Covid - is trickle down economics, then yes. I do have a degree in Economics - my take is they've been 'trickling down' on the public for some time, but perhaps not the way they claim to...

We've had a decade of openly promoted Government austerity. The problem isn't spending - the reason our nation is on its knees is because we haven't looked after people enough. Did you know we have more than 4 million children in the UK sitting below the poverty line? The 6th richest (or at least we were...) economy in the world. That's about 1 in every 3.5. In 2022. In a wealthy economy. That's absolutely messed up. If me thinking we could be finding money to give these kids a free meal at school each day rather than giving multimillionaires more in their pockets through government spending makes me a libbie snowflake lefty radical, or whatever the pejorative is these days, I will have to take the hat and wear it. 1 in 3.5.

She's not a 'conservative' in the true sense of what it has been previously in this country. She's an idealogue. If anything, she's free-market libertarian. But the biggest issue is she's a puppet for the Tufton Street think tanks, who have little to no bother about how their economic experiment affects people. It's not the right time to be playing games.

The Conservatives pushed her out. Her own party took her down. Not anyone else - have a look at this. They're not even trying to blame anyone else now.

Not happening. But it would be the best thing for the opposition possible. Mordaunt or Sunak might be slightly credible. Johnson is a lying circus. If he comes back, the public (who are already polling 55% for the opposition - record EVER numbers) will go from fuming to revolutionary. The Tories are polling 14%. They would be wiped out.

Anyone with a pulse.

What. A. National. JOKE.

 

Unless there is a surplus, when you allow people to keep more of what they earn through a tax cut without offsetting it with spending cuts, it’s essentially the same thing as unfunded government spending (both go to the nations credit card), and a meaningless distinction when it comes to inflation that doesn’t discern between the method of stimulus.

 

Theoretical on my part but I think tax cuts would be worse for inflation, at least short term, than excess govt spending. Tax cuts would increase demand for every day consumables directly, driving up prices quicker than excess govt spending. The govt spending would have to pass through a second channel to affect consumer pricing.

 

In simple terms. Raising interest rates is how to stop uncontrolled spending (obviously just not spending and handing out cheap money would work as well along with not pushing dumb energy policy). Tax policy is just not a real player in it.

We have to stop the spending. And we should actually increase taxes. For everyone. But that is not palatable to politicians. As we have way too many people that have zero income tax liability. But again. That is not going to do much of anything when it comes to inflation.