Category: Questions

$10 Trillion in Added US Debt Since 2001 Shows ‘Bush and Trump Tax Cuts Broke Our Modern Tax Structure’

https://www.commondreams.org/news/trump-bush-tax-cuts-fuel-growing-deficits

I want to thank Ten Bears for the link.   He often posts links to important information.   This information needs to be spread far and wide.   Hugs.  Scottie

Here are a few quotes from the article.

“The point I want to make again and again and again is that, relative to the last time CBO was projecting stable debt/GDP, spending is down, not up,” Kogan said in a tweet Friday night. “It’s lower revenue that’s 100% responsible for the change in debt projections. If you take away nothing else, leave with this point.”

“Tax giveaways for the wealthy are continuing to starve the federal government of needed revenue: those passed by former Presidents Trump and Bush have added $10 trillion to the debt and account for 57 percent of the increase in the debt-to-GDP ratio since 2001,” read the statement. “If not for those tax cuts, U.S. debt would be declining as a share of the economy.”

“Republicans racked up the national debt by giving tax breaks to their billionaire buddies, and now they want everyone else to pay for them.”

“Republicans racked up the national debt by giving tax breaks to their billionaire buddies, and now they want everyone else to pay for them,” Sen. Whitehouse said at the time. “It is one of life’s great enigmas that Republicans can keep a straight face while they simultaneously cite the deficit to extort massive spending cuts to critical programs and support a bill that would blow up deficits to extend trillions in tax cuts for the people who need them the least.”

Donald Trump, Paul Ryan, Mike Pence, Mitch McConnell celebrating tax cut passage in 2017

President Donald Trump jokes with Senate Majority Leader Mitch McConnell (R-Ky.), Sen. Mike Enzi (R-Wy.), Vice President Mike Pence, Speaker of the House Paul Ryan (R-Wis.) and Sen. Tim Scott (R-S.C.) during an event celebrating the passage of the Tax Cuts and Jobs Act on the South Lawn of the White House December 20, 2017 in Washington, DC. 

(Photo: Chip Somodevilla/Getty Images)
 
“In their blind loyalty to their mega-donors, Republicans’ fixation on giant tax cuts for billionaires has created a revenue problem that is driving up our national debt,” said Sen. Sheldon Whitehouse in response to new Treasury Department figures.
 

The U.S. Treasury Department on Friday released new figures related to the 2023 budget that showed a troubling drop in the nation’s tax revenue compared to GDP—a measure which fell to 16.5% despite a growing economy—and an annual deficit increase that essentially doubled from the previous year.

“After record U.S. government spending in 2020 and 2021” due to programs related to the economic fallout from the Covid-19 crisis, the Washington Postreports, “the deficit dropped from close to $3 trillion to close to $1 trillion in 2022. But rather than continue to fall to its pre-pandemic levels, the deficit unexpectedly jumped this year to roughly $2 trillion.”

While much of the reporting on the Treasury figures painted a picture of various and overlapping dynamics to explain the surge in the deficit—including higher payments on debt due to interest rates, tax filing waivers related to extreme weather events, the impact of a student loan forgiveness program that was later rescinded, or a dip in capital gains receipts—progressive tax experts say none of those complexities should act to shield what’s at the heart of a budget that brings in less than it spends: tax giveaways to the rich.

Bobby Kogan, senior director for federal budget policy at the Center for American Progress, has argued repeatedly that growing deficits in recent years have a clear and singular chief cause: Republican tax cuts that benefit mostly the wealthy and profitable corporations.

In response to the Treasury figures released Friday, Kogan said that “roughly 75%” of the surge in the deficit and the debt ratio, the amount of federal debt relative to the overall size of the economy, was due to revenue decreases resulting from GOP-approved tax cuts over recent decades. “Of the remaining 25%,” he said, “more than half” was higher interest payments on the debt related to Federal Reserve policy.

“We have a revenue problem, due to tax cuts,” said Kogan, pointing to the major tax laws enacted under the administrations of George W. Bush and Donald Trump. “The Bush and Trump tax cuts broke our modern tax structure. Revenue is significantly lower and no longer grows much with the economy.” And he offered this visualization about a growing debt ratio:

“The point I want to make again and again and again is that, relative to the last time CBO was projecting stable debt/GDP, spending is down, not up,” Kogan said in a tweet Friday night. “It’s lower revenue that’s 100% responsible for the change in debt projections. If you take away nothing else, leave with this point.”

In his tweet, Kogan offered the following chart to show recent and projected levels of both federal revenue and spending relative to gross domestic product (GDP):

In a detailed analysis produced in March, Kogan explained that, “If not for the Bush tax cuts and their extensions—as well as the Trump tax cuts—revenues would be on track to keep pace with spending indefinitely, and the debt ratio (debt as a percentage of the economy) would be declining. Instead, these tax cuts have added $10 trillion to the debt since their enactment and are responsible for 57 percent of the increase in the debt ratio since 2001, and more than 90 percent of the increase in the debt ratio if the one-time costs of bills responding to COVID-19 and the Great Recession are excluded.”

On Friday, the office of Sen. Sheldon Whitehouse (D-R.I.) cited those same numbers in a press release responding to the Treasury’s new report.

“Tax giveaways for the wealthy are continuing to starve the federal government of needed revenue: those passed by former Presidents Trump and Bush have added $10 trillion to the debt and account for 57 percent of the increase in the debt-to-GDP ratio since 2001,” read the statement. “If not for those tax cuts, U.S. debt would be declining as a share of the economy.”

Whitehouse, who chairs the Senate Budget Committee, said the dip in federal revenue and growth in the overall deficit both have the same primary cause: GOP fealty to the wealthy individuals and powerful corporations that bankroll their campaigns.

“In their blind loyalty to their mega-donors, Republicans’ fixation on giant tax cuts for billionaires has created a revenue problem that is driving up our national debt,” Whitehouse said Friday night. “Even as federal spending fell over the last year relative to the size of the economy, the deficit increased because Republicans have rigged the tax code so that big corporations and the wealthy can avoid paying their fair share.”

Offering a solution, Whitehouse said, “Fixing our corrupted tax code and cracking down on wealthy tax cheats would help bring down the deficit. It would also ensure teachers and firefighters don’t pay higher tax rates than billionaires, level the playing field for small businesses, and promote a stronger economy for all.”

None of the latest figures—those showing that tax cuts have injured revenues and therefore spiked deficits and increased debt—should be a surprise.

In 2018, shortly after the Trump tax cuts were signed into law, a Congressional Budget Office (CBo) report predicted precisely this result: that revenues would plummet; annual deficits would grow; and not even the promise of economic growth made by Republicans to justify the giveaway would be enough to make up the difference in the budget.

“The CBO’s latest report exposes the scam behind the rosy rhetoric from Republicans that their tax bill would pay for itself,” Sen. Chuck Schumer (D-N.Y.), and now Senate Majority Leader, said at the time.

“Republicans racked up the national debt by giving tax breaks to their billionaire buddies, and now they want everyone else to pay for them.”

In its 2018 report, the CBO predicted the deficit would rise to $804 billion by the end of that fiscal year. Now, for all the empty promises and howling from the GOP and their allied deficit hawks, the economic prescription they forced through Congress has resulted in an annual deficit of more than double that, all while demanding the nation’s poorest and most vulnerable pay the price by demanding key social programs—including food aid, education budgets, unemployment benefits, and housing assistance—be slashed.

Meanwhile, the GOP majority in the U.S. House—with or without a Speaker currently holding the gavel—still has plans to extend the Trump tax cuts if given half a chance. In May, a CBO analysis of that pending legislation found that such an extension would add an additional $3.5 trillion to the national debt.

“Republicans racked up the national debt by giving tax breaks to their billionaire buddies, and now they want everyone else to pay for them,” Sen. Whitehouse said at the time. “It is one of life’s great enigmas that Republicans can keep a straight face while they simultaneously cite the deficit to extort massive spending cuts to critical programs and support a bill that would blow up deficits to extend trillions in tax cuts for the people who need them the least.”

 

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Maria and Heather Cox Richardson Talk the State of Democracy and Why to Stay Hopeful Despite It All

Hundreds Reportedly Dead In Strike On Gaza Hospital

Hundreds Reportedly Dead In Strike On Gaza Hospital

There are comments at the link above.  I am sorry but I am too heart sick over the cruelty and inhumanity of one group of people to another.  Jerry / Rawgod has been posting of the atrocities of the governments /  religious groups that stole kids from their parents and abused them horribly to civilize them, He reported on the beating death of a black man whose family still fights for justice, on The Majority Report they just played a clip of Matt Walsh saying the colonization and killing of native populations was a good thing that white people should celebrate because they made everything better … for the white people, I have memories in my head of people who took enjoyment in hearing me cry both in sadness and crying out in pain.   I can’t any more today.  I am sorry I can’t.   Religious people demanding the death and wiping from society of people like me, removing the protections for gay / lesbian / trans kids to return to a time when their lives in school were hell and fear.   WHAT THE FUCK IS WRONG WITH HUMANS!  Maybe it is time that humans move aside on the planet!  We don’t deserve to be here.   Hugs

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The UN Urges Israel To Stop As They Verge On A Ground Invasion Of Gaza

The race to mine the bottom of the ocean

There are metallic deposits scattered throughout our ocean floors — among hydrothermal vents, under the crust of seamounts, and scattered along sea plains in the form of rocks. As it happens, in our search for climate solutions, these metals have become more critical than ever to help us transition away from fossil fuels. We need them for everything like electric car batteries, copper wiring for electrification and wind turbines. Our land-based deposits have met our needs so far, but it’s unclear whether they will continue to, or whether we’ll want to keep destroying the environment to do so.

This video explains the history and the debate over mining metals in the deep sea and why one Canadian company, The Metals Company, is leading the rush there. There are huge environmental implications for digging up seafloor ecosystems as well as ethical ones: Metal-rich zones like the Clarion-Clipperton Zone lie in international waters that technically belong to everyone. A United Nations body located in Kingston, Jamaica, the International Seabed Authority, is faced with an urgent dilemma over how to regulate mining, whether the environmental harm is worth the benefits to solving our climate crisis, and how to fairly share the profits from this shared resource.

Israel in Palestinian Gaza: Revenge is more satisfying than Peace

https://www.juancole.com/2023/10/palestinian-revenge-satisfying.html

(Special to Informed Comment; Feature) – Over the years, the United States has endowed Israel with more than $150 billion in assistance, making it possible for the Jewish state to maintain its occupation, its ethnic cleansing of the indigenous people of the land, its unremitting seizure of territory, and its settlement project, the latter of which has intentionally and drastically diminished any possibility a fair peace could ever be negotiated between the parties.

Prominent Israelis have referred to Palestinians as donkeys, crocodiles, cockroaches, snakes, psychopaths and serial killers, animals, not human, not entitled to live, shrapnel in the buttocks, they deserve to have their heads chopped off, etc., etc.1 Convinced of the truth of these slurs, Jewish settlers, protected by Israeli soldiers, have made it a practice of entering Palestinian villages where they poison wells, cut down olive trees, physically assault villagers, teach their children to throw stones at Palestinian children coming home from school, and deface buildings, mosques, and churches with slogans such as “Death to the Arabs” and “Jesus is a monkey?”

With its United Nations security council veto, the United States shields Israel from accountability to international law, thereby giving it a green light to continue and even accelerate these crimes against humanity.

Hamas’s October 7 surprise breach of the Israel-Gaza border, followed by its killing, injuring, and hostage-taking of soldiers and civilians is horrifying. American media has been following the tragedy for hours daily and has been overwhelmingly sympathetic to Israel, rarely, if ever, mentioning the motivation behind Hamas’s assault, which are the generations of persecution, humiliation, and character assassination Israel has levied against its Palestinian subjects; never enunciating that it shouldn’t have come to this; not once admonishing Israel for prioritizing its lust for Palestinian land over the lives of its own citizens.

At the same time, the media has been interviewing Israeli citizens who, outraged at Hamas’s actions, likewise make no mention of the motivation behind the actions. Neither have they expressed a hint of empathy or a measure of self-reflection upon the role their attitudes may have played in the dehumanization of the Palestinian people who, for decades, have endured essentially the same horrors these Israelis are now having to endure.

On October 9, Hamas threatened to kill a Jewish hostage every time Israel bombs a civilian building without first giving its residents time to flee. Justifiably horrified and quick to excoriate Hamas, the Israelis I’ve watched have said nothing about Israel’s habit of bombing residential buildings. As prominent Israelis throughout its history have admitted, their nation always targets civilians. The implications behind the following admissions are as horrifying as Hamas’s pronouncement:

Ze’ev Schiff, Israel’s most respected military analyst (by all sides of the military spectrum): “the Israeli Army has always struck civilian populations, purposely and consciously . . . the Army . . . has never distinguished civilian [from military] targets . . . [but] purposely attacked civilian targets.”

General Yigal Allon with the approval of Ben-Gurion: “There is a need now for strong and brutal reaction   If we accuse a family – we need to harm them without mercy, women and children included. Otherwise, this is not an effective reaction. During the operation there is no need to distinguish between guilty and not guilty.”

During Operation Cast Lead (2008-2009), Deputy Prime Minister Eliyahu Yishai urged the IDF to “bomb thousands of houses, to destroy Gaza.”

During Operation Pillar of Defense (November 2012), Ariel Sharon’s son Gilad: “They will pay the price and will remember the same for a long time. We need to flatten entire neighborhoods in Gaza. Flatten all of Gaza. The Americans didn’t stop with Hiroshima – the Japanese weren’t surrendering fast enough, so they hit Nagasaki, too. There should be no electricity in Gaza, no gasoline or moving vehicles, nothing.”

Israel’s past assaults on Gaza, which human rights organizations have documented in detail, are further testaments to Israel’s contempt for a defenseless civilian population.

The reaction from every American lawmaker I‘ve seen is that Hamas, not Israel, must pay for its crimes. How? By giving more weapons to Israel so it can kill even more families. That is exactly what the United States intends to do, despite its hollow assurances, past and present, that it seeks peace between the two parties; despite knowing that years of military assistance have sustained both Israel’s illegal occupation and the violence it perpetrates upon ordinary people.

In keeping with the past, and vowing to “crush and destroy” Hamas, Israeli prime minister Netanyahu warned that every Hamas member was “a dead man.” In keeping with his fellow lawmakers, President Biden condemned Hamas’s attack, again without acknowledging either its seeds or that Israel wrote the rules of the game and that Hamas is playing by those rules. Aware of the thousands of Gazan civilians, including a disproportionate number of children, whose lives Israel has snuffed out in previous operations, Biden said, “terrorists purposely target civilians, kill them.” Yes, they do Mr. President. As of the early morning of October 12, over 1,000 Gazans, mostly residents, have been killed, and 5,000 injured. Whole neighborhoods and refugee camps have been blown to smithereens, more than 120,000 displaced. And Israel has yet to commence its inevitable ground invasion. Fortunately, I’ve not seen any reports that Hamas has made good on its threat.

Israel has cut off the delivery of all fuel, food, water and medical supplies. If its assault doesn’t end soon, Gazans who survive the bombings could starve, freeze to death, or die from a lack of medicine and medical treatment. This is genocide, the Final Solution, all because “terrorists target civilians.”

The only way to stop this cycle is for the US to resist its habit of resorting to physical punishment, concede that arming Israel so it can do to Palestinians what it always does will only inflame hostilities, and demand that Israel break the cycle of violence and negotiate a fair peace. Or, at the very least, treat its subjects not as snakes and cockroaches but as human beings. Otherwise, America and Israel’s message to the world will continue to be that revenge is more satisfying than peace—the lives of Israelis and Palestinians be damned.

MAGA Heckler Owned – Steve Hofstetter

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