Monday, February 02, 2009

Stimulus Packages and Tax Cuts

For those that receive a check from the government for the upcoming stimulus package, with the goverment in the hopes that you will spend it on something, thus getting the economy moving (are there magic wands attached too?), think about this:

That check from the government is money they received from the taxpayers. So essentially, they are giving back some of the money they took from you, plus a little of it is money they took from other people too. Obama calls it a tax cut, but disagrees with Bush's tax cuts, which reduced how much taxes you paid in the first place. Democrats will say to you that it is the same thing. You are still getting some of your tax money back - it is just that they are giving it back to you, rather than not taking it in the first place. After all, if they actually cut taxes, and didn't take what they are going to give you in the first place, then they wouldn't be able to pocket some of the money, and redistribute it where they think your money should go.

Clear as mud?

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