RECEIVED THIS RETORT TO CARTOON FROM A FRIEND
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The other alternative is to increase tax revenue. Republican rhetoric to the contrary, cutting taxes has never, since Reagan first tried it, raised revenue. It has always led to higher deficits, particularly in the Bush 2 presidency. When Bush 1 and Clinton raised taxes, the deficit was reduced. Reducing federal expenditures puts a damper on the economy, throwing people out of work and reducing consumption. The cutbacks in federal, state and local government budgets since 2009 has largely offset the new hiring in the private sector, keeping unemployment high. That further decreases tax revenues and increases the deficit. That’s why austerity budgets in Greece and Spain have been so destructive, but Greece in particular got where it was because it doesn’t collect enough taxes. Tax evasion there is rife. As economic Nobel Laureate Paul Krugman has often pointed out, the federal…
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James' World 2 
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