Do you know where the presidential candidate you support stands regarding the mortgage mess, taxes, and jobs?
Which candidate has proposed a 5-year freeze on the adjustment of rates for adjustable rate mortgages?
Which candidate has proposed spending $10 billion to help those who are about to lose their homes to foreclosure?
Which candidate would abolish the IRS, eliminate incomes taxes, and establish a 23% national sales tax?
Which candidate would renew the Bush tax cuts and further cut taxes for corporations?
Which candidates would raise income taxes on individuals making $250,000+?
Find the answers to these questions and more by viewing this NBC News video.
Showing posts with label fiscal policy. Show all posts
Showing posts with label fiscal policy. Show all posts
Monday, February 25, 2008
Thursday, February 07, 2008
NEXT YEAR'S WAR IN IRAQ AND AFGHANISTAN TO COST APPROXIMATELY $170 BILLION
According to testimony yesterday by Defense Secretary Robert Gates, military operations in Iraq and Afghanistan will cost approximately $170 billion above and beyond the $515.4 billion already budgeted for regular Pentagon expenditures in the next fiscal year. On a per day basis, that calculates to roughly $466 million per day in costs for the military actions in Iraq and Afghanistan, about $1.4 billion per day for regular Pentagon expenditures, and about $1.866 billion per day in total.
From The New York Times:
From The New York Times:
The military operations in Iraq and Afghanistan could cost $170 billion in the next fiscal year over and above the $515.4 billion regular Pentagon budget that President Bush has proposed, Defense Secretary Robert M. Gates said on Wednesday.
Mr. Gates gave that estimate in testimony before the Senate Armed Services Committee after cautioning the panel that any estimate would be dicey, given the unpredictability of war.
“Well, a straight-line projection, Mr. Chairman, of our current expenditures would probably put the full-year cost in a strictly arithmetic approach at about $170 billion,” Mr. Gates said in response to questions from Senator Carl Levin, the Michigan Democrat who is the head of the committee.
“While the monetary cost is not the most important part of the debate over Iraq or Afghanistan, it does need to be part of that debate, and the citizens of our nation have a right to know what those costs are projected to be,” Senator Levin said.
Saturday, January 19, 2008
USING MONETARY AND FISCAL POLICY TO STIMULATE THE ECONOMY
With most economic indicators heading south, there is little debate that the country is headed for a slowdown or even a recession. To stimulate the economy and lessen the impact of any downturn, the government is prepared to use two weapons: monetary policy and fiscal policy.
Monetary policy is controlled by the Federal Reserve, the United States' central bank. The idea behind monetary policy is that the Fed can increase or decrease the supply of money in the economy. If the economy is overheating and/or inflation is a worry, the Fed can decrease the supply of money in the economy, slowing the economy down to a more acceptable level. This is considered a restrictive or contractionary monetary policy. If the economy is sluggish, as is the case now, the Fed can increase the money supply in the economy. While there are several ways this can be done, none gets more attention than the lowering of key interest rates, which the Fed has done recently, and is expected to do again very soon. So, while there may be debate about whether the Fed acted in a too-little, too-late fashion, there can be no argument regarding the Fed's actions being consistent with an attempt to stimulate the economy, which is called an expansionary monetary policy.
Fiscal policy concerns governmental revenues, which are primarily taxes, and expenditures. Fiscal policy is controlled by the president and congress. Neither usually get to dictate a preferred policy, but rather must work together through compromise to establish a tax and spending program. During an economic downturn, as we are experiencing now, fiscal policy can be used to stimulate the economy. How? Typically by some combination of cutting taxes, tax rebates, and governmental spending, all designed to put money into the pockets of consumers and businesses so that they will spend, spend, spend. The more and the faster they spend, the less likely a downturn will continue or worsen.
President Bush is working on a stimulus plan to put approximately $150 billion into the economy, which is roughly 1% of GDP. Democrats agree that a stimulus plan is needed, but there is disagreement about how to tailor such a plan. Democrats want tax rebates for most Americans combined with one-time increases in programs such as food stamps, unemployment benefits, and home heating assistance for the poor. President Bush wants a tax relief-only plan that gives $100 billion to individuals and $50 billion to businesses. Both plans would likely provide needed relief and stimulate the economy. Now, it is up to our governmental leaders to compromise on a plan that both they and the American people can live with and benefit from.
For more information on the fiscal stimulus plans being developed, check out the following articles:
BUSH PUSHES $150B ECONOMIC AID PACKAGE - AP via Yahoo
BUSH PROPOSING $145 BILLION PLAN TO SPUR ECONOMY - The New York Times
TAX REBATES SEEN AS ECONOMIC STIMULUS - USA Today
Monetary policy is controlled by the Federal Reserve, the United States' central bank. The idea behind monetary policy is that the Fed can increase or decrease the supply of money in the economy. If the economy is overheating and/or inflation is a worry, the Fed can decrease the supply of money in the economy, slowing the economy down to a more acceptable level. This is considered a restrictive or contractionary monetary policy. If the economy is sluggish, as is the case now, the Fed can increase the money supply in the economy. While there are several ways this can be done, none gets more attention than the lowering of key interest rates, which the Fed has done recently, and is expected to do again very soon. So, while there may be debate about whether the Fed acted in a too-little, too-late fashion, there can be no argument regarding the Fed's actions being consistent with an attempt to stimulate the economy, which is called an expansionary monetary policy.
Fiscal policy concerns governmental revenues, which are primarily taxes, and expenditures. Fiscal policy is controlled by the president and congress. Neither usually get to dictate a preferred policy, but rather must work together through compromise to establish a tax and spending program. During an economic downturn, as we are experiencing now, fiscal policy can be used to stimulate the economy. How? Typically by some combination of cutting taxes, tax rebates, and governmental spending, all designed to put money into the pockets of consumers and businesses so that they will spend, spend, spend. The more and the faster they spend, the less likely a downturn will continue or worsen.
President Bush is working on a stimulus plan to put approximately $150 billion into the economy, which is roughly 1% of GDP. Democrats agree that a stimulus plan is needed, but there is disagreement about how to tailor such a plan. Democrats want tax rebates for most Americans combined with one-time increases in programs such as food stamps, unemployment benefits, and home heating assistance for the poor. President Bush wants a tax relief-only plan that gives $100 billion to individuals and $50 billion to businesses. Both plans would likely provide needed relief and stimulate the economy. Now, it is up to our governmental leaders to compromise on a plan that both they and the American people can live with and benefit from.
For more information on the fiscal stimulus plans being developed, check out the following articles:
BUSH PUSHES $150B ECONOMIC AID PACKAGE - AP via Yahoo
BUSH PROPOSING $145 BILLION PLAN TO SPUR ECONOMY - The New York Times
TAX REBATES SEEN AS ECONOMIC STIMULUS - USA Today
Wednesday, October 24, 2007
NEW INCOME TAX PROPOSAL UNLIKELY TO BE ADOPTED NOW
From The New York Times:
The House’s leading Democratic tax writer will propose a sweeping overhaul of the tax code on Thursday that would increase taxes on many people with incomes above $200,000 but cut them for most others.
The bill, to be introduced by Representative Charles B. Rangel of New York, chairman of the Ways and Means Committee, would also overhaul corporate taxes by eliminating many major tax breaks and lowering overall tax rates.
Mr. Rangel has acknowledged that he does not expect to enact such a bill this year, and President Bush would almost certainly veto legislation that raises taxes on the wealthy.
The plan is probably most important as a preview of what Democrats are likely to pursue after the 2008 elections, especially in rolling back a good part of Mr. Bush’s tax cuts for people at the top of the income ladder.
The House’s leading Democratic tax writer will propose a sweeping overhaul of the tax code on Thursday that would increase taxes on many people with incomes above $200,000 but cut them for most others.
The bill, to be introduced by Representative Charles B. Rangel of New York, chairman of the Ways and Means Committee, would also overhaul corporate taxes by eliminating many major tax breaks and lowering overall tax rates.
Mr. Rangel has acknowledged that he does not expect to enact such a bill this year, and President Bush would almost certainly veto legislation that raises taxes on the wealthy.
The plan is probably most important as a preview of what Democrats are likely to pursue after the 2008 elections, especially in rolling back a good part of Mr. Bush’s tax cuts for people at the top of the income ladder.
Thursday, September 20, 2007
PRESIDENT'S FISCAL POLICY: NO TAX INCREASES
From the Los Angeles Times:
But he would not rate the risk of recession, saying, "You need to talk to economists. I think I got a B in Econ 101. I got an A, however, in keeping taxes low."
Sidestepping the turmoil in the housing market and the credit problems associated with it, President Bush said today that the nation's economy was strong and would remain so if Congress steered clear of tax increases.
But he would not rate the risk of recession, saying, "You need to talk to economists. I think I got a B in Econ 101. I got an A, however, in keeping taxes low."
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