Question

What are the up sides to either cutting taxes or increasing government spending?

...As a way to stimulate the economy? Opinions please! Thanks.

Answers

An increase to spending is only a stop gap measure, although a very long term project, such as building a nation-wide high speed rail system, will create jobs and help local communities.

The downside is a higher deficit, resulting in an increase to the national debt. An increase to taxes will help reduce the deficit.

Cutting taxes, with the corresponding decrease in spending, causes more unemployment and reduces government income even more so. There is no guarantee that the people receiving the benefit of tax cuts will do anything useful to help the economy.

#1

The new health care and other regulations like environmental have made it impossible for private companies to prosper and do well and make jobs, it is like Obama hates private companies and wants them all to go out of business

#2

If they cut taxes that gives companies more money to hire more people.

Increasing spending means WE the people have more to pay the government to get rid of a already HUGE deficit! That would be like having no job, running up 6 credit cards you already have and getting 12 more, and maxing out the dept on them!

#3