Bush's tax cut is a good one

[adamzion]

Originally posted by Dagnabit
[b]The table I saw went like this:
<pre>
Taxable income Current Proposed

Under $43,851 15% 10%
Under $105,951 28% 15%
Under $161,451 31% 25%
Under $288,351 36% 33%
Over $288,351 39.6% 33%
</pre>

How could that be determined to be supply-side.

You read my original post incorrectly. A tax cut cannot be, in and of itself, supply-side economics. Combining a tax cut with spending increases, with the hope that the tax cut will combination will stimulate the economy, is the very definition of supply-side economics. And that is precisely what President Bush <i>fis</i> proposes.

Is the tax cut, as laid out above, as regressive as many had feared it would be? No. But neither is is as progressive as it should be. The definition of a progressive tax structure is one in which higher earners pay a higher percentage of their earnings than lower earners. By lowering the top end of the scale from, I believe, 36% to 33%, he has reduced the tax rate on that end of the scale by 8%. Unless, therefore he reduces lower brackets by *more* than 8%, this tax cut is regressive.

Since I don't have the current tax structure in front of me, I can't do the math myself.

Z