How can the USA pay it’s ~ $31 trillion debt without collecting it in taxes?

[AlexBailey]

How can the USA pay back it’s ~ $31 trillion debt without collecting it in taxes?

 

[Rightguide]

How can the USA pay back it’s ~ $31 trillion debt without collecting it in taxes?

By reducing its spending to the levels of its revenues. It will take generations to pay off the existing debt. We cannot tax 31 trillion out of the economy without destroying the country and enslaving our people.

 

[AlexBailey]

By reducing its spending to the levels of its revenues. It will take generations to pay off the existing debt. We cannot tax 31 trillion out of the economy without destroying the country and enslaving our people.

Hyperbole aside, how does taxing “destroy the country”?

 

[Sean Renaud]

By reducing its spending to the levels of its revenues. It will take generations to pay off the existing debt. We cannot tax 31 trillion out of the economy without destroying the country and enslaving our people.

We've done the equivalent before and gotten out and gotten out while the people who racked up the bill were still alive. It will take generations because you're unwilling to raise taxes on the rich. We should also make a few new tax brackets.

 

[LittleSwitchy]

Tax the rich is hilarious to me.
Do people really think those in power are going to vote to pay more taxes for themselves?

 

[Sean Renaud]

Tax the rich is hilarious to me.
Do people really think those in power are going to vote to pay more taxes for themselves?

Actually yes, yes I do. The only reason it hasn't happened is the filibuster.

 

[ll74]

We don't need to get the debt to zero. We shouldn't work to get the debt to zero

 

[Sean Renaud]

That too, hell part of the point of the Bush tax cuts was a fear we would zero out the debt and nobody is really sure what the fuck happens if you do that.

 

[BluesDriver66]

Starve poor children is the only responsible way to pay off the debt. That and raise retirement age to 92.

 

[JohnEngelman]

The debt problem began with Ronald Reagan's dishonest promise that he could cut taxes, raise military spending, and balance the budget "by 1983 if not sooner" without cutting popular domestic spending programs.

The Second World War ended in 1945.The national debt was $259 billion. The national debt as a percentage of Gross Domestic Product (GDP) was 114%.

The national debt continued to rise, but so did the GDP, so by 1980, which was President Carter's last full year in office, the national debt was $908 Billion, but the national debt as a percentage of GDP had declined to 32%.

As a percentage of GDP, the national debt declined every year. It declined during Republican administrations, and during Democratic administrations. It declined during the War in Korea, and during the War in Vietnam.

https://www.thebalancemoney.com/national-debt-by-year-compared-to-gdp-and-major-events-3306287

During this time the top tax rate never got below 70%. During most of the 1950's it was 91%.

https://www.irs.gov/pub/irs-soi/02inpetr.pdf

President Reagan reduced the top tax rate to 28%. During the eight years he was president the national debt rose to $2,602 billion. The national debt as a percentage of GDP rose to 50%.

President Clinton raised income taxes on the rich. The national debt as a percentage of GDP declined during his last three years in office, so it was six percent lower than it was when George W. Bush left office.

Bush II and Trump cut taxes for the rich, while raising military spending. When Trump left office the national debt as a percentage of GDP had grown to 129%. During the two years Biden has been president the national debt as a percentage of GDP declined to 123%.

 

[JohnEngelman]

Tax the rich is hilarious to me.
Do people really think those in power are going to vote to pay more taxes for themselves?

They did when President Franklin Roosevelt was president. When President Hoover left office in 1932 the top tax rate was 63%. In 1944 that increased to 94%.

https://www.irs.gov/pub/irs-soi/02inpetr.pdf

 

[AlexBailey]

People complain that raising taxes depresses the economy.

Right now the Federal Reserve is raising interest rates to slow the economy. Why not temporarily raise taxes on the wealthiest and reduce the deficit and debt instead?

 

[icanhelp1]

That too, hell part of the point of the Bush tax cuts was a fear we would zero out the debt and nobody is really sure what the fuck happens if you do that.

When the debt is zero the interest on the debt is zero. That interest could be used on good to have programs and paid for!

 

[BabyBoomer50s]

Grow the tax base.

 

[phrodeau]

Grow the tax base.

Yep, more immigrants.

 

[Sean Renaud]

That's not what the economists were saying. I'm not arrogant enough to argue when it seems like both sides agreed zeroing out the debt would be bad.

Grow the tax base? Maybe we should talk about letting some of those people on the Southern Border in legally, maybe some of the Muslims we screwed over the decades and a few Ukranians too! No wait, lets just ban abortion and sex ed and let idiot teens do that.

 

[icanhelp1]

When Moody’s starts downgrading our banking system that can’t be a good thing. Next could be our bond ratings, and we all know what comes after that, hint! bread lines!

 

[Rightguide]

Hyperbole aside, how does taxing “destroy the country”?

Excessive taxes destroy the incentive to produce. Income taxes enable the government to borrow larger sums of money and place indebtedness on its people the government could not otherwise pay the interest on without these taxes. Prior to 1913 all financing for federal activities came from excise taxes, tariffs, the sale of public land, and customs duties. Since 1913 it's easy to see how the production of the American people has benefitted the government to a greater extent than the American people. The American dollar has lost at least 95% of the value it had in 1913. Back then the US Dollar was backed by gold and silver. Today it's backed by the "full faith and credit of the US government" which people take less and less stock in.

One can see what high taxes do to economies just by observing the massive internal migrations from New York and California and the external migrations of people leaving countries with high taxes and less freedom for other countries with lower taxes and more freedoms.

 

[ll74]

When Moody’s starts downgrading our banking system that can’t be a good thing. Next could be our bond ratings, and we all know what comes after that, hint! bread lines!

The last time they downgraded was because we were defaulting on our debt. It has nothing to do with reducing costs or enacting new costs....it was literally because Republicans threw a hissy fit and didn't want to pay the bills we owe.

 

[Bray123]

Reducing taxes for the rich just achieves property inflation.
The cost of private Caribbean islands rises beyond the reach of the common person.

 

[Sean Renaud]

When Moody’s starts downgrading our banking system that can’t be a good thing. Next could be our bond ratings, and we all know what comes after that, hint! bread lines!

Highly unlikely.

 

[LittleSwitchy]

People complain that raising taxes depresses the economy.

Right now the Federal Reserve is raising interest rates to slow the economy. Why not temporarily raise taxes on the wealthiest and reduce the deficit and debt instead?

Far as I know. There’s no temporary taxes. Originally taxes were instituted to pay for the Civil war. I’m thinking those debts are long been paid. Yet there are still taxes and more coming.

 

[BabyBoomer50s]

Yep, more immigrants.

Yes, merit-based immigration policies that favor people with skills and experience needed to foster innovation economic growth would help.

 

[AlexBailey]

Excessive taxes destroy the incentive to produce.

So taxing the wealthy would help with the rising cost of real estate by decreasing the disposable income of the extremely wealthy.

Income taxes enable the government to borrow larger sums of money and place indebtedness on its people the government could not otherwise pay the interest on without these taxes.

So you’re pointing out how raising taxes on the wealthy can pay off debt.

Prior to 1913 all financing for federal activities came from excise taxes, tariffs, the sale of public land, and customs duties. Since 1913 it's easy to see how the production of the American people has benefitted the government to a greater extent than the American people.

“We the People” is a thing here in the USA. The government is supposed by, for, and if said people. It sounds like you’re recognizing how “elites” and the government they pay for are grifting off of the public.

The American dollar has lost at least 95% of the value it had in 1913. Back then the US Dollar was backed by gold and silver. Today it's backed by the "full faith and credit of the US government" which people take less and less stock in.

Your timing aligns with the creation of the Federal Reserve System, a system where some of the richest individuals in the world profit off of ever fiat dollar that comes into existence. You seem to recognize it yet you deny that the US financial system is advantageous to the extreme wealthy?

One can see what high taxes do to economies just by observing the massive internal migrations from New York and California and the external migrations of people leaving countries with high taxes and less freedom for other countries with lower taxes and more freedoms.

You still haven’t acknowledged that the rising cost of housing in those states provides flight money for retirees and others to leave the expensive markets to settle in poorer places.

Nor have you acknowledged that the cost of real estate in those areas is rising due to wealthy investors competing against potential home buyers.


Spinning is all you got, Rightguide.

 

[AlexBailey]

Far as I know. There’s no temporary taxes. Originally taxes were instituted to pay for the Civil war. I’m thinking those debts are long been paid. Yet there are still taxes and more coming.

Were some taxes not lowered during Trump’s presidency?