Friday, October 24, 2008

What If

clipped from www.qando.net
However, deficit hawk or no, we have Obama touting his tax increases and href="http://www.qando.net/Details.aspx?Entry=9537" target=new>Barney Frank
saying taxes need to be increased as well.

Any guess which group is most
likely to prevail?

Any guess as to why there is a great sell off going on
on Wall Street right now?

James Pethokoukis says:
In 1980, anxious Americans voted for lower taxes and smaller
government as the solution to the nation's economic ills. Would the opposite
prescription also have led to a 25-year economic boom? With Obamanomics, voters
may be about to play a fascinating game of "what if." Except it's for real. When
Goldman Sachs ran a sophisticated economic simulation of the effect of a total
repeal of the Bush tax cuts, the computer predicted a 3 percentage-point drop in
GDP. Maybe investors fear that with perhaps a trillion-dollar budget gap ahead,
revenue-hungry Dems will raise taxes further than Team Obama is suggesting—right
into the teeth of a weak economy. What if, indeed.