The Real Numbers On Tax Cuts & Infrastructure; One More Time

Thursday, January 29, 2009
I have to post these numbers again, just so people can take a good look at what the Republicans are saying about their uh good 'Ideas' . . .

These figures are based on $$ returns for every $1 spent.

So, Tax Cuts give you $0.27-$1.29 for every $1 spent.

Spending gives you $1.36-$1.73 for every $1 spent.

Which do you want? I personally will take both, But I want a huge chunk to be Infrastructure spending.


Fiscal Economic Bank for the Buck

One year $ change in real GDP for a given $ reduction in federal tax revenue or increase in spending.

Tax Cuts
Non-refundable Lump-Sum Tax Rebate 1.02
Refundable Lump-Sum Tax Rebate 1.26

Temporary Tax Cuts
Payroll Tax Holiday 1.29
Across the Board Tax Cut 1.03
Accelerated Depreciation 0.27

Permanent Tax Cuts (This is what Republicans say will fix our economy)
Extend Alternative Minimum Tax Patch 0.48
Make Bush Income Tax Cuts Permanent 0.29
Make Dividend and Capital Gains Tax Cuts Permanent 0.37
Cut in Corporate Tax Rate 0.30

Spending Increases
Extending UI Benefits 1.64
Temporary Increase in Food Stamps 1.73
General Aid to State Governments 1.36
Increased Infrastructure Spending 1.59

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