Dude, that's no fair, you're a dog.
NH, It's a temporary uptick from people believing that the tax cuts are gonna help our economy. Sorry, bud, but I'm not buying. It's p/e ratios that counts; not tax breaks for the rich. c.i.
I think it's the start of our recovery. I've been plotting, on a daily basis, the increase in my investment value. It's increasing, for sure. Slowly, but surely, swinging upward.
Thank God, MO is improving!
The latest analysis I've read is that the current government is afraid to admit that the U.S. may be heading for a depression.
I know that this is a time where solid goods interest me a lot more than intangible investments.
I think it is too little of a good thing, I hope the sun never sets on any of the provisions, and I predict that within 2 years tax revenues flowing into federal coffers will increase due to growth in the economy.
Scrat
I should say from your mouth to God's ears. However, in this instance I am sure he will be deaf.
Scrat.
The fear now is for deflation. Should that occur depression is sure to follow. Bush's economic policies have been and continue to be a disaster.
au - There's a better chance of every man, woman and child in this country simultaneously winning the lottery without buying a ticket than there is of deflation taking hold.
Scrat.
How I wish I had your crystal ball. Never say never.
There was a wonderful report just now on NPR about the lifting of the limit on the nation's debt. NPR reported that Bush signed the lifting of the limit today "and no cameras were present." The lifting of the debt limit was made necessary by the big tax cuts, a measure "which will be signed by the president with cameras present."
(As this was being reported and I was chuckling grimly, I thought to myself about Bush not really knowing much about the details of what he was signing. It's his advisors who tell him what to do. And, as with all administrations, he will carry the can if there's a political backlash or if serious economic problems result from the increasted national debt. But the advisors -- we barely know their names and faces -- will simply move on to other administrations and think tanks...)
Scrat, I'm not sure which crystal ball you're using, but it isn't the same one that's showing that the stock market is over-bought. P/E ratios are still too high in relation to our depressed economy. That some would think the near-future looks bright are based on flim-flam math and cock-eyed logic. Keep your eye on who gets the biggest share of the tax cuts, the continued layoffs by the thousands, the reduced savings rates of Americans, and the over-value of real estate. More middle-class Americans are spending down their retirement savings to stay afloat, and workers are beginning to drop from 401K plans, because companies are reducing their contributions, and many suffered huge losses from the tech bust. It doesn't bode well for the next several years. I'm looking at a minimum of five years before anything positive might happen to the world economy - and ours. People looking to the stock market for quick riches are gonna lose big time. c.i.
Taxpayers ambivalent on cuts
By Linda Feldmann | Staff writer of The Christian Science Monitor
WASHINGTON – What if they threw a tax cut and nobody came? As President Bush signed into law Wednesday his second major tax cut in as many years, on yet another dreary, drippy Washington day, the nation seemed to react with a collective yawn. For months, as Bush has scored well in the polls on overall leadership and foreign policy, he has registered far lower numbers for stewardship of the economy. In the public wish list from Uncle Sam, tax cuts barely make the top 10.
STORY at:
http://csmonitor.com/2003/0529/p01s03-usec.html
Some thoughts on tax cut.
au, The tax cut of $318 billion over ten years is peanuts in a ten trillion economy. Consider that the major portion of those tax cuts goes to the wealthy, the amount the poor and middle class ends up with will be even less impressive to our economy. I like the analogy of how effective this tax cut is to how mountains grow on this planet. If one drops a few tons of sand on all the mountains of the world every year, how long will it take for them to show any 'noticeable' growth? It took over 350 millions years to create the earth's geology to this point. Get it? c.i.
From what I can tell, the tax cut is goign to put somewhere around $2K-$3K back in my pocket. I'm certainly not wealthy, maybe by some peoples standards but not by my own. I make good money but in order to do so I live in one of the most expensive areas in the country. Personally, I'll take the money, thank you.
By the way, I mentioned this before. I heard a Democrat say on CNN the other day that anyone who reports dividends on their taxes is wealthy and shouldn't get a tax break. Seriously. So, does this guy live paycheck to paycheck and keep his savings stuffed in his mattress? What about retired people who are living off of their savings and whatever pittance SS provides? How can they not have dividends? That kind of thinking just blows me away. I'm sure someone will care to comment...
cjhsa
That is dividends not interest. You have to own stock not put money in the bank.
Let me also make you aware of one more little wrinkle.
If you own stock through your 401k or a standard IRA account you will be paying standard income tax on those dividends. Why because monies disbursed on those accounts are subject to regular income tax rules. In other words it is considered income and subject to your normal taxable rate.
The people who will benefit are those who own large blocks of stock and receive dividends directly. Who do you think that is on average. Joe six pack?
Not necessarily true. Many people have moved their funds from banks and credit unions to brokerage accounts. The "interest" paid on those savings shows up as a dividend. It's still just a different color of money.
cjhsa
I doubt whether many retirees have done as you suggest further in addition I wonder it they would qualify under the new law. As for IRA's and 401k's the gains whether they are dividends or not will be taxed at the normal rate upon distribution.
Cjhsa -- The first paragraph of your post says a great deal and puts you firmly in the Bush camp. Have you the slightest idea why many of us might find that kind of statement you made a tad self-satisfied and not very aware of the plight of others?
Tart, the majority of people where I live make a great deal more than me and are elite Democrats. I am very aware of the plight of others, unemployment here is hovering around 10% and I have several friends out of work.
Do I think this is Bush's fault? No. Silicon Valley has long existed on a the boom-bust cycle, and that last boom was just way too big. I don't know what could have prevented the current economic situation. If 9/11 had never happened it would still be bad, just not as bad as it is.
