“These are tough times for state governments. Huge deficits loom almost everywhere, from California to New York, from New Jersey to Texas. Wait—Texas? Wasn't Texas supposed to be thriving even as the rest of America suffered? Didn't its governor declare, during his re-election campaign, that 'we have billions in surplus'? Yes, it was, and yes, he did. But reality has now intruded, in the form of a deficit expected to run as high as $25 billion over the next two years. And that reality has implications for the nation as a whole. For Texas is where the modern conservative theory of budgeting—the belief that you should never raise taxes under any circumstances, that you can always balance the budget by cutting wasteful spending—has been implemented most completely. If the theory can't make it there, it can't make it anywhere.” PoliticsUnited StatesNew YorkTaxesEconomicsBudgetsCaliforniaTexasNew JerseyBalanced BudgetDeficit Spending20102011United States Elections 2010Financial Crisis Of 2007 2011Economy Of The United StatesRick PerryEconomy Of CaliforniaEconomy Of New JerseyEconomy Of New YorkEconomy Of TexasGovernor Of TexasState Governments Of The UsTexas Elections 2010 Author:Paul Krugman
“For decades the G.O.P. has won elections by appealing to social and racial divisions, only to turn after each victory to deregulation and tax cuts for the wealthy a process that reached its epitome when George W. Bush won re-election by posing as America's defender against gay married terrorists, then announced that he had a mandate to privatize Social Security.” AmericaTurnsSocialProcessCuttingSecurityVictoryGayTaxesMarriedElectionDecadesTerroristWealthyDivisionSocial SecurityDefendersMandatesTax CutsPosingEpitomeDeregulation Author:Paul Krugman
“Congress has always had a soft spot for "experts" who tell members what they want to hear, whether it's supply-side economists declaring that tax cuts increase revenue or climate-change skeptics insisting that global warming is a myth.” WantSidesCuttingTaxesMembersIncreaseClimateClimate ChangeCongressMythSpotsExpertsGlobal WarmingEconomistRevenueSkepticTax CutsDeclaringInsisting Author:Paul Krugman
“It has been obvious all along, to anyone paying attention, that the politicians shouting loudest about deficits are actually using deficit hysteria as a cover story for their real agenda, which is top-down class warfare. To put it in Romneyesque terms, it's all about finding an excuse to slash programs that help people who like to watch Nascar events, even while lavishing tax cuts on people who like to own Nascar teams.” PeopleHas BeensRealHelpingStoriesTermAttentionClassWatchesCuttingTeamEventsPoliticianTaxesFindingsProgramObviousExcusePay AttentionAgendasWarfareDeficitShoutingHysteriaTax CutsClass WarfareTop DownNascar Author:Paul Krugman
“Tax cuts were not going to be effective at creating jobs, and the job creation record is lousy.” JobsRecordsCuttingCreationTaxesCreatingTax CutsJob CreationCreating Jobs Author:Paul Krugman
“America's political landscape is infested with many zombie ideas - beliefs about policy that have been repeatedly refuted with evidence and analysis but refuse to die. The most prominent zombie is the insistence that low taxes on rich people are the key to prosperity.” PeopleHas BeensIdeasAmericaPoliticalDiesBeliefRichPolicyKeysTaxesLowsEvidenceProsperityRefuseLandscapeAnalysisZombieRich PeopleProminentInsistence Author:Paul Krugman
“Political figures who talk a lot about liberty and freedom invariably turn out to mean the freedom to not pay taxes and discriminate based on race; freedom to hold different ideas and express them, not so much.” MeanIdeasDifferentPoliticalTurnsPayRaceLibertyFiguresTaxesFreedom And LibertyDifferent Ideas Author:Paul Krugman
“Raising the minimum wage and lowering the barriers to union organization would carry a trade-off - higher unemployment. A better idea is to have the government subsidize low-wage employment. The earned-income tax credit for low-income workers - which has been the object of proposed cuts by both President Clinton and congressional Republicans - has been a positive step in this direction.” Has BeensIdeasPhilosophyGovernmentPoliticalPresidentStepsCuttingObjectsHigherRepublicanTaxesLowsEconomicsOrganizationTradeUnionsClintonWorkersCreditIncomeEmploymentBarriersMinimumUnemploymentIncome TaxMinimum WagePresident ClintonLow IncomeTrade Offs Author:Paul Krugman
“In fact, I'd say that the sources of the economy's expansion from 2003 to 2007 were, in order, the housing bubble, the war, and - very much in third place - tax cuts.” WarPhilosophyFactsPoliticalOrderEconomyCuttingSourceTaxesEconomicsThirdsBubblesExpansionHousingTax CutsThird PlaceHousing Bubble Author:Paul Krugman
“Wealthy individuals bought themselves a radical right party, believing - correctly - that it would cut their taxes and remove regulations, but failed to realize that eventually the craziness would take on a life of its own, and that the monster they created would turn on its creators as well as the little people.” PeopleBelieveWellsLittlesTurnsIndividualRealizingPartyCuttingTaxesCreatorMonstersRadicalRemoveWealthyRegulationTurn-onCraziness Author:Paul Krugman
“Some years down the pike, we're going to get the real solution, which is going to be a combination of death panels and sales taxes. It's going to be that we're actually going to take Medicare under control, and we're going to have to get some additional revenue, probably from a VAT. But it's not going to happen now.” YearsRealHappensTaxesSolutionsCombinationRevenueMedicareVatSales Tax Author:Paul Krugman
