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Chicago Tribune: Kansas tax patches fail as tea-party experiment riles residents

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Tripon

Member
Kansas lawmakers in June approved the largest revenue increase in state history thinking they'd closed a $400 million hole created by income-tax cuts Republican Governor Sam Brownback pushed through three years earlier. They hadn't.

The state took in $66 million less than expected in the three months ending Sept. 30, and the turmoil is expected to worsen next week when a panel of economists issues its annual projections. They are likely to confirm the need for the Republican-controlled legislature to adjust the budget again because promised benefits from the decrease in taxes still haven't materialized.

"The income-tax cuts passed in 2012 and '13 were way too steep and way too quick," said State Sen. Jeff Longbine, a Republican from Emporia. "The revenue continues to decline and we have to do something."

The state's budget drama encapsulates a broader ideological debate over the influence that tax cuts have on economic performance. Republican presidential candidates have each endorsed federal tax reductions in the belief that they will spur investment. In Kansas, the idea is being tested as residents await the promised jolt.

"This is absolutely a cautionary tale, because it's basically cutting revenue without figuring out how to cut expenditures," said Norton Francis, senior research associate at the Urban-Brookings Tax Policy Center. "At the federal level, it's different because they can deficit-finance, but you can't be a deficit hawk and a tax cutter at the same time."
http://www.chicagotribune.com/news/...2d-11e5-bfb6-65300a5ff562-20151029-story.html

Basically you just can't wish away your expenses. Still don't get how Kansas voters voted back in Brown for a second term. Party ID can't be that strong that they would reward incompetence like that.
 

mcfrank

Member
YOU_DONT_SAY.png
 

Beartruck

Member
I don't understand what republicans think tax cuts will accomplish. Do they really think gutting the government's main source of revenue will somehow earn them more money? Like, even if that did work, it would likely be a temporary jolt unsustainable in the long term.
 
I don't understand what republicans think tax cuts will accomplish. Do they really think gutting the government's main source of revenue will somehow earn them more money? Like, even if that did work, it would likely be a temporary jolt unsustainable in the long term.

Historically, that's basically how tax cuts perform, iirc - an initial surge of growth, then a return to normalcy, except this time with deficits, to boot.
 

TyrantII

Member
I don't understand what republicans think tax cuts will accomplish. Do they really think gutting the government's main source of revenue will somehow earn them more money? Like, even if that did work, it would likely be a temporary jolt unsustainable in the long term.

RiffTrax-_Kim_Cattrell_in_Star_Trek_6-_The_Undiscovered_Country.jpg


I believe it's called Sabotage.

(starve the beast)
 

Averon

Member
And in November 2016 they will re-elect the same legislators that guided them into the mess they are in. In November 2018 they will elect another trickle down econ GOPer as governor because voting for a Democrat is too much for too many voters in that state to bare.

Then again, whoever is elected to succeed Brownback will be pretty much forced to raise taxes, so maybe it is better for another GOPer to win. Let them own up to the quagmire they created and not allow them to use a Dem governor to hide behind.

Edit:
"The new governor will have the hellacious duty of having to raise taxes," Totten said. "And he'll serve one term."

So sad and yet so true.

Sorry, but my sympathy for Kansas voters is pretty thin at the moment.
 
Won't make a difference unless the voters realize why this failed and will avoid anyone with a similar platform in the future.

Which, OF COURSE, won't happen.
 
Guy was re-elected just last Fall and his approval rating is at an insanely low 18%:

A new poll from the Docking Institute of Public Affairs at Fort Hays State University shows only 18 percent of Kansans are satisfied with Gov. Sam Brownback's performance in office, and most (61 percent) think his signature tax policies have either been a "failure" or a "tremendous failure."

Obama's approval rating in the state is a solid ten points higher:

It’s not that Obama has won the hearts of voters in the heartland—just 28 percent of respondents said they were “very” or “somewhat satisfied” with the president’s performance. It’s that support for Brownback has fallen off a cliff in the midst of a difficult year that saw the tax policies he enacted early in his tenure lead to a gaping budget deficit. Just 18 percent of Kansas voters said they were satisfied or very satisfied with Brownback, while nearly half—48 percent—were “very dissatisfied” with his performance.

I guess that's what record low voter turnout gets you.
 
What really bugs me is that everyone seems to blame Brownback's failures on massive tax cuts, while Jindal's problems here in Louisiana mostly get pinned on vague tax credits and "selling out the state". We cut taxes too, you idiots!
 

JdFoX187

Banned
Oklahoma is facing issues as well. There's an income tax cut coming next year for the top earners and the government is facing a $1 billion shortfall. It's ridiculous how bad state governments can fuck up and still get voted back in because of the R beside their name.
 
Oklahoma is facing issues as well. There's an income tax cut coming next year for the top earners and the government is facing a $1 billion shortfall. It's ridiculous how bad state governments can fuck up and still get voted back in because of the R beside their name.

Some unknown democrat needs to run as the typical republican then give'em the ole' Face Heel Turn
 

Mathunilx

Neo Member
I don't understand what republicans think tax cuts will accomplish. Do they really think gutting the government's main source of revenue will somehow earn them more money? Like, even if that did work, it would likely be a temporary jolt unsustainable in the long term.

I think they believe tax cuts will raise aggregate demand. This would mean the even if taxes were lower, since more people could contribute to the economy it would end up in a win.

It's basic economics misunderstanding. It doesn't work.
 

Kusagari

Member
In states like Kansas and Oklahoma these shitheads can do whatever they want because there's almost zero chance a Dem can win regardless of how bad their numbers get.
 
I don't understand what republicans think tax cuts will accomplish. Do they really think gutting the government's main source of revenue will somehow earn them more money? Like, even if that did work, it would likely be a temporary jolt unsustainable in the long term.

Tax cuts to rich = More money for the wealthy = More campaign donations to politicians = Richer Politicians.
 

Mathunilx

Neo Member
Tax cuts to rich = More money for the wealthy = More campaign donations to politicians = Richer Politicians.

aside from that, I think some people genuinely believe trickle down politics work. Like, if the rich have more money they will surely invest it into the economy, rendering them even richer and so on.

Let's ignore the fact that most rich people tend to accumulate wealth and capital (physical capital that will not be used to create jobs) and that those won't contribute to the national GDP.

eh.
 

Klotera

Member
Meanwhile, they poach businesses from Missouri by basically giving them free money. (I say this as someone from KCMO)

The thing about it is that they're not taking tax money from Missouri and giving it to Kansas residents. They're taking tax money from Missouri and giving it to the corporations. The only winners are the corporations and the politicians who can claim they "created" jobs by moving them down the street.
 

old

Member
They lowered income taxes and raised sales taxes. Yeah, that's a recipes for success.... Because shifting the tax burden away from the wealthy and towards the middle and lower classes always ends well.

Edit
If the GOP dominates a state and their policies run it into the ground, how do they spin that positively?

They're strategy for denial and dismissal of facts has been and will always be "Blame Obama".

They will always claim that because Obama is in the White House he's holding them back. This is all really Obama's fault. If he didn't force federal regulations and policies on Kansas then everything would be going peachy. This is really all Obama's failure.
 
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