Evaluation of the policies of George W. Bush and his Republican conservatives on America.
If so, it may backfire!
Published on October 2, 2004 By COL Gene In Politics
"Starving the Beast" is a theory that says, the conservatives are creating a financial crisis by drastic cuts in taxes with sizeable increases in spending. Professor Paul Krugman of Princeton is one who talks about this idea. This theory says,the purpose of creating this fiscal crisis is to attack Social Security and Medicare which many conservatives hate. It is doubtful President Bush is the author of this idea but may be the means for conservatives to make it happen.

Wether the fiscal crisis we are creating is due to "Starving the Beast" or some other reason like GREED, it will be of little consequence. The harm it will cause will be the same!

I believe the reaction to our impending fiacal crisis will not be to make significant cuts or eliminate either Social Security or Medicare. These two social programs are by far the most popular programs ever created by congress. In addition, only the wealthy could live out their retirement years without these programs paying the expected benefits. Any real change to either program would have to be very far out so as to not impact the current voting population.

If the conservatives, as a reaction to a future fiiscal crisis, were to attempt to are actually cut or eliminate either of these programs, they will be swept from power. Then the moderate and liberal majority will imopose their solution to the crisis and keep Social Security and Medicare in place. Some possible solutions they may employ come to mind:

End the cap on Social Security Wages ($87,700 this year) and tax all earned incone the same as Medicare. This would only impact the weathiest 10 % of Americans.

Include all earned, tax exempt, dividend and capital gain income to the tax base for Medicare. This would only impact the wealthy.

Increase the tax rates for the top two income brackets and use the added revenue to solve the fiscal crisis.

These are but a few ways to solve the problem and make sure the wealthy pay the bill.

I guess it would be good for the conservatives, reguardless of the motivation for the current fiacal and tax policies to remenber this saying: BE CAREFUL WHAT YOU ASK FOR!


Comments
on Oct 02, 2004
You act like taxing the rich justifies the increase. But it is still taking money out of the ecnomey rich people spend money too which helps the ecnomey. I doubt anybody is ploting to remove social security perhaps welfare though.
on Oct 02, 2004
There are some who would like to cut or end both SS and Medicare. Yes rich do spend money. However, the more money you have the less of each added dollar is spent. Middlle income taxpayers will spend all or most of any money from a tax cut. The wealthly will spend far less and save more. Bottom line, CBO estimates that about $270 Billion of the current year deficit of about $450 Billion is due to the tax cut. We are borrowing money, paying interest on the borrowed funds to provide tax cuts.
on Oct 02, 2004
Some day he will!
on Oct 02, 2004
I never doubted this basic theory, although I had never heard it called by this name before.

Many people are opposed to social spending, and not because we cannot afford it. The thing that has changed the political climate is that, in an age of what is called globalization, the larger corporations do not need domestic spending as much. As foreign markets expand, it makes less difference to the economy whether social programs economically empower a sunstantial chunk of Americans -- and this trend is predicted to accelerate.

That is the the impetus behind the privatization of social security. There was always a consitituency for this -- certainly, there were always people who would have dumped the system of subsidizing today's retirees out of the pockets of today's workers, in return for a similar deal when today's workers retire. However, the certainty, the economic stability that resulted from KNOWING that retirees would always have some money to spend was of substantial value to the vast center of business oponion -- and so it remained firmly in place.

When looking to make a profit in the global economy today , however, the spending ability of America's seniors just does not seem so important, and so pulling the system down, through most any device, seems more reasonable.

It is one of the ironies of American life -- the right drapes itself in the flag and carries the image of love of country. Yet, their true loyalty is to big corporations, which become, in truth, less American every year. As it stands, you get painted as somehow not patriotic if you prefer the interests of average American citizens over those of international corporations.
on Oct 02, 2004
It is one of the ironies of American life -- the right drapes itself in the flag and carries the image of love of country. Yet, their true loyalty is to big corporations, which become, in truth, less American every year. As it stands, you get painted as somehow not patriotic if you prefer the interests of average American citizens over those of international corporations.

But they do not see it that way. Conservatives see things in black and white and this goes for people as well, you are either for them or against them (similarly on the so called 'war on terror.) If you are for them then no largesse is too much no crime unforgivable. If you are against them (i.e. everyone who is not for them) then there is no punishment in hell bad enough for you.
on Oct 03, 2004
To heyhey

Exactly.
on Oct 18, 2004
To both of you...exactly again!!!!!!! These people are so blinded by ideology they just can't see it. I do hope they're the first to pay if this zealot is re-elected.