Do republicans have egg on their faces right now in regards to taxation?

It proves your thesis.
The more taxation, the more AWESOME.
Taxing ourselves into Prosperity works every time.
Who can even argue.

And... we move into that most horrible of places.. the tax rate.

Too little taxes and you can't meet the obligations that we all want met.

Too much and you choke the life out of industry and start losing income.

If we did not not have ACA to deal with I'd say bump taxes up just a little bit to make the deficit grow smaller, combined with some cuts of course.

The problem is that once the ACA bill comes due all of our gains will washed away.

Sadly you are correct.
Baseline budgeting Baby.
My least-favorite alliteration.

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The problem is that once the ACA bill comes due all of our gains will washed away.

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This will go unmentioned. But the gas price "pay raise" will get round the clock attention.

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Medicare, medicaid, and welfare needs to end asap.

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Oh STFU. Never going to happen.

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Salaries and budgets for public officials needs to be drastically reduced.

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I'm sure the new applicant pool for those jobs will be outstanding.

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We could have much lower taxes and a far more industrious economy if we did these things. Unfortunately, we will not.

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Can I assume, then, that you're all for a drastically reduced military budget? Or do we need to spend 20X's as much as the rest of the world?

All about small gubment. Oh wait, what? Cut back military? NOOOOOOOOOOOOOOOOO. The TERRORISTS. We're all big pussies.

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And just because the stock market is good, doesn't mean your average Joe is.

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5% GDP growth is not good for your average jeaux?

Not when he has to take his gain and buy an overpriced health insurance plan with it.

Republicans have been so piss poor regarding taxes and economics the past several years it is dumbfounding. 95% of the reason I have turned from them.

Romney's economic plan with massive tax cuts was so frickingstupid and pie in the sky fantasy I figured it was a hoax until I realized he was serious.

Taxation has no effect on GDP.

GDP = C+I+G+(Ex-Im)

That's consumer spending + Business investment + Government spending+ (exports - imports).

If you tax more, the government spends more on goods and services. If you tax less, the consumer spends more on goods and services. Both are calculated into GDP so it's a wash. Government spending on entitlements is not counted in GDP, but the recipients of the entitlements will spend that money and it goes into Consumer Spending. Taxing for entitlements is simply wealth redistribution but has no effect on GDP.

GDP is driven by consumer confidence. A financial recession due to wavering markets causes less confidence, therefore people spend less money. This has a domino effect on the economy, causing a slow down in the liquidity of money, a reduction in business investment to cut costs, and lower availability of loans.