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Plain and simple, the GOP wants to win the Whitehouse and will do anything they can to obtain this goal. The directive here is they have a better chance at beating Obama if the recovery stalls and unemployment spikes. The directive they have is to stop the recovery and since public spending has been the engine, cutting the budget under the pretense of fiscal responsibility is only a lie that cover's the true intentions.
If they really were worried about deficit spending then why did they line up behind President Bush with Iraq and the stimulus packages handed out prior to Obama's presidency?
Stop being stupid and read between the lines. This budget standoff is all about politics and has nothing to do with fiscal responsibility!
If our personal taxes go up, it in no way affects the business we own. Corporate taxes are not an issue, and there have been tax CUTS for small businesses. My personal spending will remain unchanged; we do not spend all the money we make. My annual savings will be reduced by the amount of the additional tax...
BUT...I have substantial investments in stocks and real estate. If raising taxes and reducing the deficit improves the economy, the value of my portfolio should go up, and even a small rise in the value of my portfolio would more than offset any increase in taxes. Further, my portfolio gains are tax-advantaged; I do not have to pay capital gains taxes until I sell the security, so the time value of money reduces my taxes, and capital gains are taxed at half of the tax rate on my earned income...which would make the net effect of raising my taxes to both increase my wealth and to decrease the total tax paid on my income.
Busieness, even those like Bachmann husband's god hospitial, will get less government money and will be forced to cut jobs too.