Our present position, including momentum, is intransigent. We have no outs. There is no way we can pay off our outside debt in 2006 dollars.

You are a moron every day of the week to think that the tax cuts have not far exceeded even the wildest rosy expectations for the economy, through all it has been through-from the recession started while Clinton was in office, to 9/11, to the war on terrorism. Can you please take a day off? Please? Just one?

It is pretty much established that if taxes hadn't been cut, we'd have a much smaller deficit and would have added less to the national debt. It might have resulted in a slightly longer recession, but taxes are at best a cumbersome tool for fiscal stimulus (same for spending).

As for the collapse, it will mean that the money in your hands will be worthless. Look at the Weimar Republic after WWI. One way for governments to get out of their debts is via an inflation tax--i.e. print a shit load of money and use that to pay off the debt. Either that or the government will tax the crap out of the people to get that money. Or the government will simply default point out that we have nukes and tell the Chinese and everybody else to go pound sand. Still, this would not be good either plunging financial markets into turmoil.

Collapse is imminent if something isn't done, but my guess what will be done will be only slightly less worse than a collapse.

Especially since the tax cuts weren't structured in a way likely to provide much supply side stimulus.

Monopoly profits are the best kind of profits when you have earned your monopoly with research, and when you deliver a safe, and unique, life saving drug to those that need it. By the way, I am still holding Bristol Meyers Squibb stock at $25, that I had back in '01 in the $50s. Some profits, some monopoly.

Do you really believe this, or are you just another republican running around making up stuff?

As long as people like you continue to believe in your fantasies there is no hope for this country.

I don't like high taxes and I'd like to see them lower. Not because of some idea that it will stimulate growth, I just don't think the government should be doing nearly all the things it is doing.

But, it is, and most likely will continue to do these things. As such, cutting taxes to spur growth isn't a solution. Cutting other spending doesn't seem to be much of an option either. So we need to reform things like Medicare. But that isn't an option either, at least not if the politicians suggesting it want to get re-elected. Maybe we can find a group of career suicidal politicians, but I doubt it.

We are in one heck of a mess that is our own making...well more likely the fault lies with the Baby Boomers as they had an opportunity to fix much of this back under Reagan, but they blew it.

So no, making the tax cuts permanent wont do anything at all, and will actually make matters worse from a fiscal standpoint as it will cost us more revenue than they will generate.

I don't know too many republicans that liked it-but medicare drug bill was the "reach out across the aisle and make friends" attempt from the GOP, and it was a failure at that, because the democrats also hated it.

You can bet your boots that the social conservative leaders are going to tell the GOP that they saved the GOP as best they could with turnout, and that if they want their support in 2008, the GOP had better start really going after the gays.

Problem is the medicare drug bill is now a permanent line item on the budget-entitlements never get cut. While the defense budget is high, it isn't one that will permanently remain high, so it isn't a good comparison.

The market based solutions are politically unappealing and hence will probably not be implemented...so look to Europe, that is what Bush as done for us.

Oh, and yes, I have offered some solutions, problem is I get it from both sides as being both market extremism and statist/fascist.

I know, I know, I'm just lacking in faith that tax revenues will soar once the tax cuts are made permanent.

RJN,

Really, the Iraq war costs $160 billion? Did I read you correctly?

As for funding research you'd think the monopoly profits that the drug companies enjoy would be incentive enough. Thanks for showing the evidence that not only to drug companies need monopoly profits, but government pork too.

Who said anything about rescinding the tax cuts? Geez talk about trying to obfuscate the issue. Next time try, “Look, over there! Something shiny!!”

Oh, I see, your conclusion that

...making the tax cuts permanent will solve the problem via higher growth rates, you are in for a very nasty wake up call in decade or two down the road.

wasn't a solution. I like your style Steve, always poking at Bush and his administration, but never providing solutions.