Discussion: Trump's Treasury Department Admits Tax Cuts Don't Pay For Themselves

TPM Article Topics
21

Actually, the Bureau of Engraving, which is part of Treasury, does sell uncut sheets. I have a sheet of two-dollar bills.

22

“Instead, the report says the tax cuts “as well as from a combination of regulatory reform, infrastructure development, and welfare reform as proposed in the Administration’s Fiscal Year 2018 budget” will do the trick.”

It’s highly dubious that any of these factors, with the possible exception of infrastructure development, would have any meaningful effect on economic growth. But welfare reform? Really? Where does that come from as a possible factor? That’s just a bizarre statement.

23

The plan was always to slash benefits when the tax cuts didn’t pay for themselves.

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24

In this case, the Treasury report is akin to picking out the wallpaper for your new home, cutting it to some random size, then building the home around it.

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25

I sell sheets of uncut three-dollar bills, at a discount to face value.

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26

A bit off topic, but folks should be prepared for what’s coming on the social safety net, etc etc.

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27

Mnuchin’s message to the American people to achieve that magica 2.9%… (via Tom Waits)

Step right up, step right up, step right up,
Everyone’s a winner, bargains galore
That’s right, you too can be the proud owner
Of the quality goes in before the name goes on
One-tenth of a dollar, one-tenth of a dollar, we got service after sales
You need perfume? we got perfume, how 'bout an engagement ring?
Something for the little lady, something for the little lady,
Something for the little lady, hmm
Three for a dollar
We got a year-end clearance, we got a white sale
And a smoke-damaged furniture, you can drive it away today
Act now, act now, and receive as our gift, our gift to you
They come in all colors, one size fits all
No muss, no fuss, no spills, you’re tired of kitchen drudgery
Everything must go, going out of business, going out of business
Going out of business sale
Fifty percent off original retail price, skip the middle man
Don’t settle for less
How do we do it? how do we do it? volume, volume, turn up the volume
Now you’ve heard it advertised, don’t hesitate
Don’t be caught with your drawers down,
Don’t be caught with your drawers down
You can step right up, step right up
That’s right, it fillets, it chops, it dices, slices,
Never stops, lasts a lifetime, mows your lawn
And it mows your lawn and it picks up the kids from school
It gets rid of unwanted facial hair, it gets rid of embarrassing age spots,
It delivers a pizza, and it lengthens, and it strengthens
And it finds that slipper that’s been at large
Under the chaise lounge for several weeks
And it plays a mean Rhythm Master,
It makes excuses for unwanted lipstick on your collar
And it’s only a dollar, step right up, it’s only a dollar, step right up
'Cause it forges your signature
If not completely satisfied, mail back unused portion of product
For complete refund of price of purchase
Step right up
Please allow thirty days for delivery, don’t be fooled by cheap imitations
You can live in it, live in it, laugh in it, love in it
Swim in it, sleep in it,
Live in it, swim in it, laugh in it, love in it
Removes embarrassing stains from contour sheets, that’s right
And it entertains visiting relatives, it turns a sandwich into a banquet
Tired of being the life of the party?
Change your shorts, change your life, change your life
Change into a nine-year-old Hindu boy, get rid of your wife,
And it walks your dog, and it doubles on sax
Doubles on sax, you can jump back Jack, see you later alligator
See you later alligator
And it steals your car
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It’s a friend, and it’s a companion,
And it’s the only product you will ever need
Follow these easy assembly instructions it never needs ironing
Well it takes weights off hips, bust, thighs, chin, midriff,
Gives you dandruff, and it finds you a job, it is a job
And it strips the phone company free take ten for five exchange,
And it gives you denture breath
And you know it’s a friend, and it’s a companion
And it gets rid of your traveler’s checks
It’s new, it’s improved, it’s old-fashioned
Well it takes care of business, never needs winding,
Never needs winding, never needs winding
Gets rid of blackheads, the heartbreak of psoriasis,
Christ, you don’t know the meaning of heartbreak, buddy,
C’mon, c’mon, c’mon, c’mon
Cause it’s effective, it’s defective, it creates household odors,
It disinfects, it sanitizes for your protection
It gives you an erection, it wins the election
Why put up with painful corns any longer?
It’s a redeemable coupon, no obligation, no salesman will visit your home
We got a jackpot, jackpot, jackpot, prizes, prizes, prizes, all work guaranteed
How do we do it, how do we do it, how do we do it, how do we do it
We need your business, we’re going out of business
We’ll give you the business
Get on the business end of our going-out-of-business sale
Receive our free brochure, free brochure
Read the easy-to-follow assembly instructions, batteries not included
Send before midnight tomorrow, terms available,
Step right up, step right up, step right up
You got it buddy: the large print giveth, and the small print taketh away
Step right up, you can step right up, you can step right up
C’mon step right up
(Get away from me kid, you bother me…)
Step right up, step right up, step right up, c’mon, c’mon, c’mon, c’mon, c’mon
Step right up, you can step right up, c’mon and step right up,
C’mon and step right up

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28

Even this document is bullshit as it assumes something happening over which the government has no control and which historically has never happened - substantial increase in business activity absent to correlating increases in demand.

Most American corporations pay so little in income tax now that a 5-7% cut is not enough to spur supply side growth. This has always been a bullshit proposition with zero empirical support.

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29

A 1 page report. Wow, these non government private industry folks are so efficient!

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30

This is the entire point. T rump and the Republicans are doing what they do best: Bankrupt America! Get rid of government, and re-establish a true and insurmountable separation of economic and racial classes, and amend the Constitution to support themselves as the Lords over us, the Serfs.

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31

Ryan: This deficit increase will be all due to Social Security, Medicare and Medicaid.
Trump: I will kill them all in my next tweet.

32
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33

Did anyone notice how badly received the tax bill was at Trumps rally in Florida (Alabama) last weekend? The crowd was cheering at every little thing Donnie said, until he started talking about the tax bill and they all went silent. He tried to lead a rousing cheer for the end of the ‘death tax’ and got nothing. I thought it was striking.

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34

To what point? Gut the economy and destroy the middle-income brackets’ abilities to over-consume at current levels and they undermine themselves. Hollow out the American economy and the world economy collapses. It’s counter-productive and makes no sense.

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35

You’re over-thinking the consequences of their ideology! You know what will happen. I know what will happen. They don’t care what will happen, regardless of what the consequence prove to be. They want to secure what they believe to be theirs, and fuck everyone else. That is the end game for them.

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36

They have no idea, either.

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37

:heart_eyes: :heart_eyes: :heart_eyes:
But we’ll throw in the muck and shit for FREE!!! We’ve got plenty laying around D.C.

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38

So let’s see: They have to pass something, anything, to please their donors while pissing off every other demographic in the country. It’s so unpopular that they will be voted out of office and others will reverse the ridiculous provisions in the bill. What is to be gained for them politically? It’s so short-sighted, it really makes no sense. As if anyone is going to go along with cuts in SS and Medicare.

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39

Treasury’s quickie analysis is basically in agreement with other respected assessments of what the tax cuts will do to the deficit absent economic growth: reduce tax revenue by $1 trillion. But the Treasury analysis accepts as a given the White House’s projection for 2.9 percent economic growth over 10 years, which turns that $1 trillion addition to the deficit into a $300 billion net gain in government revenue. But even the rosy Treasury analysis conceded that the tax cuts alone will not spur this growth.

The real quickie analysis is that the person on the right would never get a quickie from the person on the left if he didn’t figure out a way to shovel more taxpayer money his way.

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