The U.S. may be trapped in a positive feedback mechanism where problems continually get worse and the attempts to do something about them actually make matters worse in the long run, Deterioration of the economy would them follow an exponential function. I do hope that is not the case.
The tax increases proposed are very small, a few percent in the upper most bracket. Too small to cause any real impact in the areas you have focused your article on. This is why economists such as Christine Romer, who are in general opposed to tax increases in a recession.seem to think that focused small tax increases at the upper income bracket won't cause harm and can be very helpful in reducing deficits at a time when the government needs to be leveraging up. After all , the government isn't going to take the additional revenue (800-900 billion) and bury it in a fruit jar under the White House lawn. If you were to tax that same amount away from the middle class, that would be another matter entirely.
Hitting the fiscal cliff will be the best thing that ever happened to the US. The bloated military will be forced to reduce its outrageous spending and the country will see that its much easier to balance the books than everyone thinks. Runningbear
Similar thinking last century invited Japan's aggression because the US was perceived as weak (also GB and France did the same in EU). If you look at the history of WWII then you would notice that bureaucrats almost destroyed democracies making them defenceless. Only luck and enormous sacrifice by ordinary people saved freedom. This time Oceans and Channels got smaller and room for error is much less. No need to experiment. Check library.
"Private banking is a problem"? "A deeper problem than just super rich"? Why don't you socialists head back to retard ville in Paris with that tard Hollande. I'm rich and you're not- get a grip. Rich people and successful companies made the world, that's why the US is number 1 and you aren't. The financial crisis is a small potato compared to maladjusted & spiteful socialists.
Don't you think your military is mighty enough yet to deter aggression? If not now, when will it be? All due respect, you have a shining military second to none, bigger and better than its ever been and crumbling embarrassing infrastructure. What's required is a think is a shift in mindset.
In my opinion, the problem is we the people. Who keeps sending the reprobate politicians back for more? Who votes for good of self instead of good of country? Tax the rich until the rich cease to exist. Spend more. Then spend more. We are already paying for the sins of our leaders, our vampire leaders. But we the people just wants what we wants.
Here in Canada, we reach the highest tax bracket at $60,000 (46% federal and provincial). Correct me if I'm wrong, but in the U.S. your highest level is reached well over $200,000, and Camadians have various other consumption taxes piled on top. Based on the above, I think Canadian's deserve a break and pay too much. All Americans need to toughen up and start paying more to pay your bills. Americans can jump up and down all they want but if you are spending the money, ie; deficits then you need to step up and pay for what you are spending. Stop borrowing to pay your bills.
I think that is a bit unfair. The majority of people need the money they get. It is just that the money spent is taken by a new form of middle class. One thing I have noticed is the more money that is spent by governments the higher rent becomes. Is it really the people who benefit of the private landlords and the sellers of over priced housing? Also the more money that is spent on health care the higher the cost becomes. There is a free market pricing mechanism to what is really a command market system.