So, it turns out that raising taxes is reducing the deficit. A lot!!

[Playinghardball]

The federal government’s budget deficit was slightly more than $600 billion in the first 10 months of fiscal year 2013, CBO estimates, almost $370 billion less than the shortfall recorded for the same period last year. Revenues have risen by about 14 percent, accounting for much of the decline in the deficit. The results through July suggest that total outlays and revenues for the fiscal year will both be slightly less than CBO projected in May, when it estimated a deficit of $642 billion for the year.



Receipts From October Through July: Up by 14 Percent Compared With Collections During the Same Period in Fiscal Year 2012

Receipts for the first 10 months of fiscal year 2013 totaled $2,287 billion, CBO estimates—$278 billion more than receipts for the same period last year.



More at: http://www.cbo.gov/publication/44495

[cthulu2016]

1. Since deficit reduction is destroying the economy, probably not something to get excited about

[Lasher]

2. Same thing happened during the Clinton administration.

Then GWB cut taxes and the deficits exploded. Saint Ronnie cut taxes and tripled the national debt. Then he raised taxes.

[snappyturtle]

3. How much is the payroll tax contributing? Richard Wolff contends that

it contributes more to revenue than the taxes on the wealthy. And we wonder why
people aren't shopping as much.

[econoclast]

5. Answer - 79 billion

According to the table above 79billion of the increase in revenues came from social security taxes

[snappyturtle]

6. Yes, I see that. I guess a better way for me to phrase it: How much

has come from the 99%....vs. the 1%. Wolff's point is that more of the
revenue comes from the middle class and that the payroll tax is a straight
tax...negatively effecting those with grossly less income than the 1%.

[econoclast]

8. Have to wait a while for those numbers

I believe the IRS won't publish data for 2013 until well into 2014 at the earliest.

[snappyturtle]

10. Guess it would take a while to sort it all out. A couple more points:

Wolff said that the top income brackets can evade the payroll tax if the first
$113.7 isn't from wages per se...so those folks would need to be subtracted
as contributors.

He also pointed out that the increase in the payroll tax from 4.2% to 6.2% for
lower income folks is a hard hit vs. the 4% raise in the income tax of the wealthy
over $450K....much loop hole avoided. His point was that the bulk of the equation
has been laid on those with the least.

[Igel]

4. Higher rates.

And more income to be taxed.

Thing about recessions, they reduce revenues. And the thing about recoveries is that they increase revenues. All things being equal, revenues would have increased even if the rates had stayed where they were.

Increase the rates as employment's going up and that's a real "multiplier" effect.

[KittyWampus]

7. strongly recommend. Great thread.

[silverweb]

9. K&R