Jan 05 2009
What can the $300b tax cut do?
Obama has just proposed a $300b tax cut on individuals and businesses aiming to stimulate the economy.
What can it do?
Presidents have been spending government budget to cut tax just to win vote and trust from citizens. Ronald Reagan was an example; while back to 8 years ago, Mr. Bush enact an $1.35 trillions tax cut plan for 10 years, which became the largest amount in the history. While, these leaders have been put America more and more in debt. Although, people have more money to spend and to enjoy, the whole America is totally in debt and loosing its power to other nations. To be honest, we are in $10 trillions debt with no solution to end it. It is growing more and more.
To me, the tax cut doesn’t solve the problem, while worsen it. It is the consumerism of Americans that creates more and more debt. We do have problem with spending. We do buy stuff we don’t need. And we do buy properties that we can’t afford. Thanks to the credit system that has been making our lives easier; but, the whole nation is going down with our recognitions. Guess what, with the cash left out from the tax cut, we don’t save but spend it. That means, no matter how much we own, we spend it all. Therefore, the tax cut might stimulate the nation for a while, but as a whole, it just creates more and more debts. Because, America doesn’t produce products, but China and India do. The more we buy, the more we gonna owe them.
All we can do it using propaganda and education to urge Americans not to spend profligately but to save and to live more spiritually.
