You won't believe this! Bernanke wants to raise Taxes to cover his Butt.

reply to post by Crakeur


Taxes are taxes not matter if they are coming from the federal government or the state taxes, when you have money taken out of your pay check that is money that you can not count for your spending needs.

My husband got a pay increased of 10 thousand dollars recently after we did our monthly budget actually most of the pay increased has been absorbed by the both the state and federal taxes we are still trying to figure out why.

And yes our local taxes has gone up perhaps that is the reason and he doesn't even reach the 200,000 yet and I think before that happens we rather live on his retirement and suck up the government like the rest around us.

reply to post by Tentickles


The best part of it all is I caught a video on CNN saying that "The Federal Reserve cannot keep printing money to support the weight of your debt."

I agree with you that the government should have kept their hands clean of this one, but of course they didn't. They have too many close associates in the banking sector that have been cheerleading them their entire political careers. The banking world really pulled an ace with Obama getting elected, too, not that George W. Bush was any more or less worse, but I see Obama as being an incredible enabler for these big banks, businesses, and the Federal Reserve.

The reason these banks failed is exactly the reason they shouldn't have been "saved." They were preying on "vulnerable" people with clever lending practices that would entrap this person into a clause which would keep him borrowing for the rest of their lives. I believe in personal responsibility, but again, America as a society, starting with the government is debt based. Our entire economy is debt based, our housing market is debt based, our military is debt based, our auto industry is debt based. It's easy to see that these banks had taken full advantage of this debt necessity and exploited it for all it's worth.

The worst part is that this kind of exploitation unto your average American was enabled by our representatives. The government that is supposed to (but very rarely ever does) protect us from stronger entities that impose their will unto us with harsh manipulations have given them impunity. Loopholes by legislation are created regularly for these banks and credit companies, which only made everything so much worse for not only the people owing money, but our entire country.

Then they all look at eachother in false bewildernment about our "financial situation."

Bernanke was the man who drew up the four page bailout plan that Bush tried to convince everybody was necessary and now he's saying that 'we can't be lending you all this money, ya hear....'

I become exhausted if I think too much about how many worms are in powerful places. I believe good will eventually triumph, and the beginnings of that triumph start with telling these people to "GET #ED!"

Self-reliability, common respect, and personal responsibility will play a huge role in the second step.

Originally posted by miraclerock
at least in my state I have had at least 5 or 6 new taxes on random things that means I am paying more than ever before,

that there is the issue. all those new state imposed taxes are for your state, not the feds. NYS raised their taxes so I am now paying an extra 1% (roughly 11.5% total) to the state and city. That money stays here and doesn't help the feds. If the state and city can raise their taxes, the fed can too. sure, it sucks and isn't fair but they can do it, especially when they have little other choice.

reply to post by Crakeur

That's the point I was trying to make when the state and fed both raise taxes even more people have less and less to spend, when our economy is something like 60 or 70% consumption that is going to have the same effect or worse as printing money would, which will in turn cause a collapse or require even more bailouts. Less money in peoples pocket means problems for a consumption economy. Higher taxes will also cause more business to leave the country or it will cause people to flee high tax states making the problems that much worse, taxing can not be the answer if it makes the problem worse.

reply to post by miraclerock


Exactly!!!!!!! in a nation like ours that is Dependant on consumer spending less money in the pockets of consumer is less money in the hands of retailers, but also is less money going to foreign nations like china that are the ones with the manufacturing base.

Sad isn't it, still we as a nation that has lost the manufacturing base and supremacy in the world can not get out of the economic crisis woes without strong money creators those used to be the same industry that we have lost.

Like I always said for a few years before the crisis hit, we as a nation can not survive on consumerism alone darn I was right.

Anyway I am going to be realistic, but while tax increased may be sold as the right solution to fix the budget deficit it is not.

This is the reason why,

At the rate that the government is spending they have not means to pay the deficit any time soon as they will never have the means even if the raise taxes or not.

Our deficits is already unsustainable meaning that is also unafordable but still is been increased as we speak.

Why is that so? I wonder.

Oh man it is oh so good to log on and see a great discussion going that hasnt broken down into who's right or wrong.

On the subject of taxes being the highest in history. I will agree. Almost everything is taxed in our society. From our income to our groceries to our land and our insurance coverage.

Recently added was cigarettes and alcohol. The list can go on and on...

Originally posted by Crakeur

that there is the issue. all those new state imposed taxes are for your state, not the feds. NYS raised their taxes so I am now paying an extra 1% (roughly 11.5% total) to the state and city. That money stays here and doesn't help the feds. If the state and city can raise their taxes, the fed can too. sure, it sucks and isn't fair but they can do it, especially when they have little other choice.

New taxes are just as likely to hurt as help. If people/businesses cannot invest in reinvigorating the economy the taxable base will just continue to drop. Raise taxes much higher and they will get a tax revolt, people are already starting to mention the possibility. After all they need tax dollars to put tax cheats in prison. I mean when does it end, they are already getting near 50% or our income through taxes, how high do you want it to go 60, 70?

The problem is spending is way, way, way to high at every level of government and has been for at least a decade. This has to change or we have no hope of true recovery. I have seen no sign of any government willing to do this in any meaningful way to this point.

It should be announced tommorrow the government will no longer pay social security or medicare 10 years from now - this is your warning. With or without the warning they won't be able to pay for either, and the least they could do is give the people an advanced warning.

The truth is the debt is to high to pay off now without massive inflation, which I am sure will occur. This of course will punish all the responsible who actually have savings, but hey it pays to be a thief or be incompetent in America today, and we seem to be too far gone for that to change anytime soon.

No amount of taxes or spending cuts is going to fix this problem for many years. Still even if it will take forever, and we will not see any immediate results, the best thing to do is cut spending dramatically now.

Legalize Marijuana nationwide and tax it. Problem solved. Stop the war on drugs. That would save around $50 Billion a yearLink

Higher taxes are inevitable in the US as you've had unrealistic tax rates for the last 20 years. Your spineless leaders know that raising taxes isn't good for re-election so they used the Credit Card to pay for everything. We'll we all know that you can't do that forever. Without a massive reduction in spending at the State and Federal level, higher taxes are coming.

Bernake is an F-ing idiot. He and Paulson should be charged with treason. They had to have known this wouldn't work and are now sticking the bill to the taxpayers.

I personally think they should give themselves big bonuses as they've done such a stellar job ruining the economy. That's the way it works isn't it.

Originally posted by DEEZNUTZ
Higher taxes are inevitable in the US as you've had unrealistic tax rates for the last 20 years. Your spineless leaders know that raising taxes isn't good for re-election so they used the Credit Card to pay for everything. We'll we all know that you can't do that forever. Without a massive reduction in spending at the State and Federal level, higher taxes are coming.

They are spineless.

The problem with the US Government is that it cant control itself anymore. It just wants everything.

double post - this space officially for rent

[edit on 4-6-2009 by Crakeur]

reply to post by miraclerock


not so sure about that. printing more money makes each bill worth less and less. rampant inflation, resulting from continually printing money, as needed, will devatstate the global economy. Raising our taxes, while crappy for the taxpayers, will not destroy the global economy. Before you say "who cares about the rest of the planet?" let me say that the rest of our planet is what keeps us afloat. If you devalue the dollar, china goes broke. If you crush the global economy, the buyers of our products shrink. Our exports go down, our income goes down and so on.

So, they smack the workers around but, truth is, the income tax rate, as expressed above, is low compared to many countries (of course they deduct more than we do).

In any event, an income tax hike was inevitable and anyone who thought it wasn't going to happen before Obama started promising the world to everyone who listened, was playing ostrich. Anyone who thought, after he offered to dole out more money than was available, that he was still not going to raise taxes, well, you might not fully understand the options.

reply to post by Crakeur


Yes you are right, the way that the government of Bush and now Obama spending we are in only few months of this new administration double what Bush spend and even will triple before the year is over.

Obama either didn't know how bad the nation's economy was or either was just on the campaign trail of lies.

In order for Obama stimulus to work he will have to borrow 50 cents for every dollar it spend.

That is why the way he is spending right now will never be pay off not matter what.

Because the government is out of control and is not fiscal responsibilities and only a few states are now adopting those responsibilities, that means government cuts and more taxes at state level to balance the shortage of federal funds.

The nations business structure is broken and now the government thinks that they can fix it or manage it, what a joke, you can not manage business when you can not even manage the government

And that is what Obama thinks he can do.

Blah, blah, blah! I keep reading about taxes needing to go up, no or little choice in the matter etc... BS!!! I have a MUCH better idea... How about the AHoles in Washington CUT BACK on the SPENDING!?!? No more trillion dollar bailouts to their banking buddies. No more hundreds of billions flushed down the toilet bailing out failing companies. No more pork spending on potato museums, bridges to nowhere and other stupid projects. No more money to Israel and the countless other worthless countries that we continue to bribe for no good reason. No more military spending on projects that are 1,000% over-budget and never likely to see the light on day. And for the Love of all that is HOLY, no more spending on government beauracracy that continues to intrude on my life and privacy. Kill Department of Homeland Security (Only in fascist nations do they refer to themselves as the "Homeland"), do NOT implement socialized medicine, cut back on entitlement programs and force people to become self-sufficient.

Time and again it has been demonstrated that CUTTING taxes causes economies to grow and jobs to be created while raising them has the exact opposite effect. In fact, unemployment and decreases in GDP are DIRECTLY linked to increases in taxes.

Time to take the credit card away from these morons in Washington!

reply to post by kozmo


Your anger is in the right place Kozmo. Each and every Congress/House Member gets paid above the median for their supposed good work...
They dont even have to be there unless it's mandatory.

To boot they have side ventures and most are invested strongly making more money on the side.

If I were in charge I'd not pay them and make sure they feel the economic crunch when time comes.

I would gladly serve office in the US for free if I could improve things somehow.

The VAT will provide enough revenue to help give the gov't bond market (especially the long end) a reprieve............= less supply to be auctioned to make up the deficit.......that will help keep intrest rates down for those wanting to re-finance as well as other interest rates borrowers pay

This will hurt consumption especially the lower and middle class.....but there is no free lunch on this one.......

Repub. party see's these tax's as there big chance in 2010......at least i think they will..............obama tax's us to make up his pork spending.....these F$%KERS have no clue because the Velocity of money will continue to be in the toilet so long as our Banks are DEAD ZOMBIES...zombies don't lend... (relying on accounting tricks to turn a profit).....Credit card comapny's are pulling 2 trilliion plus in credit lines over next year and a half (maybe more now due to congress credit card reform bills passed) ......Deflation of actual money in the REAL ECONOMY is gonna drive company earnings in the toilet........the stock market will get this memo when they read either 3'rd or 4'th Q earnings....till then La la land in the market

[edit on 7-6-2009 by cpdaman]