Q

self-ownership asked:

And then you lose money through inflation. I'm not saying it can't be done I'm just saying it's stupid.

A

(RE: this)

I totally agree. Also, depending on your ethical stance towards what the government is doing with that free loan you’re giving them, it’s arguably immoral. 

Nonetheless, there are vast swaths of the working poor who are shut out of mainstream financial institutions. Further, behavioral economics suggests that “savings behavior” (regardless of interest / efficiency) is most effectively achieved when it is easy, automatic, and not cognitively burdensome. From this perspective, whatever this strategy of “structured withholdings” sacrifices in profit maximization / efficiency, it definitely compensates in other ways to make it a viable savings vehicle for the working poor.

It’s definitely not ideal but neither is being so poor that you’re shut out of easy, safe, and profitable savings mechanisms. As much as it pains me to say it, I can (at least) sympathize with the strategy.

shorterexcerpts:

jennyjennybobenny:

“You food chilling motherfuckers.”

Jon Stewart nails this.

World of Class Warfare

LIVING IN AMERICAAAAAA!

“Corporations are people, my friend.”
— GOP presidential contender Mitt Romney, on why the U.S. shouldn’t raise taxes on corporations to shield Social Security and Medicare from cuts. “Everything corporations earn goes to people,” he told the audience.  (via officialssay)

shorterexcerpts:

blissandzen:

azspot:

CANDORVILLE

I don’t know about y’all, but I’ve been working since before Reagan was Pres, and I’ve been trickled on plenty already.

Again, one day I’m going to wake up, check my Google News headlines, see “Grover Norquist accidentally drowns self in bathtub” and stay home from work that day because I will laugh so hard I will probably break a few ribs.

PERFECT PERFECT PERFECT.

cyclingbum:

Indeed, the revenue loss just from extending the tax cuts for people making over $250,000 — the top 2 percent of Americans — would itself be almost as large as the Social Security shortfall over the 75-year period. Members of Congress cannot simultaneously claim that the tax cuts are affordable while the Social Security shortfall constitutes a dire fiscal threat.”

This is what happens when you aren’t required to pay for a tax cut up front — you can’t lump it in with “cut spending.”

inforgraphics goooooooooooo!

(via reagan-was-a-horrible-president)

The People’s Budget

  • Deficit reduction of $5.6 trillion
  • Primary spending cuts of $869 billion
  • Net interest savings of $856 billion
  • Total spending cuts of $1.7 trillion
  • Revenue increase of $3.9 trillion
  • Public investment of $1.7 trillion
  • Budget surplus of $30.7 billion in 2021, debt at 64.1% of GDP.

Support for the People’s Budget

Paul Krugman

“genuinely courageous”

“achieves this without dismantling the legacy of the New Deal”

Dean Baker

"if you want a serious effort to balance the budget, here it is."

Jeffrey Sachs

“A bolt of hope…humane, responsible, and most of all sensible”

The Economist

“Courageous”

“Mr Ryan’s plan adds (by its own claims) $6 trillion to the national debt over the next decade, but promises to balance the budget by sometime in the 2030s by cutting programmes for the poor and the elderly. The Progressive Caucus’s plan would (by its own claims) balance the budget by 2021 by cutting defence spending and raising taxes, mainly on rich people.”

The New Republic

“In passing, Miller also draws attention something that’s gotten far too little attention in this debate. The most fiscally responsible plan seems to be neither the Republicans’ nor the president’s. It’s theCongressional Progressive Caucus plan…”

The Washington Post

"It’s much more courageous to propose taxes on the rich and powerful than spending cuts on the poor and disabled."

Rachel Maddow

“Balances the budget 20 years earlier than Paul Ryan even tries to”

The Guardian

“the most fiscally responsible in town… would balance the books by 2021“

The Nation

the strongest rebuke…to the unconscionable ‘Ryan Budget’ for FY 2012.”

Center for American Progress

once again put[s] requiring more sacrifice from the luckiest among us back on the table”

Economic Policy Institute

National budget policy should adequately fund up-front job creation, invest in long-term economic growth, reform the tax code, and put the debt on a sustainable path while protecting the economic security of low-income Americans and growing the middle class. The proposal by the Congressional Progressive caucus achieves all of these goals.”

to my mind, CPC’s “The People’s Budget” is the most interesting thing being discussed in fiscal politics these days.

also, Dean Baker has been the single most important Economist / Commentator in America for the last 5 years and continues his righteous reign to the present moment. meeting him last year was definitely a high point of my professional life. 

thenoobyorker:

drinkthe-koolaid:

ryking:

Center for American Progress, Infographic: [The GOP’s Favorite] Tax Breaks vs. [Proposed GOP] Budget Cuts

Call me crazy guys but I think I know how we can start getting this deficit down…

If you want to read some enlightening and infuriating work on this kind of policy, I highly recommend Dean Baker and Marxist economist Richard Wolff.

I’ve had the pleasure of meeting and discussing economics with Dean Baker and can heartily second that endorsement. 

(via absurdlakefront)

unburyingthelead:

Reps. Bob Inglis of South Carolina and Jeff Flake of Arizona on Wednesday became the first Republican lawmakers to introduce legislation imposing a carbon tax on producers and distributors of fossil fuels.

The bill, co-sponsored by Democratic Rep. Dan Lipinski of Illinois, would set a tax of $15 a ton of carbon dioxide produced in its first year in effect, with the tax rising to $100 a ton over three decades.

“The first axiom of economics is if you want less of something, you tax it,” said Flake, a leading fiscal conservative, in an interview. “Obviously, we want less carbon, so we tax it.”

HOLY PIGOVIAN TAXES BAT MAN!
"America was built on the backs of poor people. Why stop now?"

"America was built on the backs of poor people. Why stop now?"