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re: Thomas Gallatin: Obama Doubled Your Healthcare Premium

Posted on 5/27/17 at 5:54 am to
Posted by NC_Tigah
Carolinas
Member since Sep 2003
124713 posts
Posted on 5/27/17 at 5:54 am to
quote:

quote:

Do tell.

Just please no reference to the recent Pocahontas/Summers' embarrassment
Don't know what you are referring to, but you don't need any of that. Just simple addition and subtraction skills, basic accounting knowledge, and some logic.

They used their farcical 2 trillion dollar revenue projection twice, once to pay for tax cuts, and then again to help balance the budget.
farcical?


It appears to me the Trump Administration's economic team simply applied obamanomics' growth rate (2%) vs a frankly conservative assessment of growth rate projection under Trump's Proposed Tax Reform Plan (3%). Then they tallied differences over 10yrs.

The cumulative tax revenue differential IAW Hauser's Law, using an 18% rate, would be $4.152T. So all things being equal, Trump's Tax revenue would exceed that in the Obamanomics model by over $4.1Trillion.

However, as Larry Summers, Elizabeth Pocahontas, and others point out, all things are not equal. Due to rate reductions, Trump Tax may not collect as much as obamanomics tax would have. To remedy that, it appears Mnuchin and Mulvaney adjusted their tax revenue numbers downward by over $2Trillion.

So they claimed a "cost" of $2Trillion with a net of $2.1Trillion in revenue.

ETA: I wouldn't be surprised if the Trump Team's numbers, with rounding, came out at $2.1T in "cost" and $2.1T in revenue. That would account for Pocahontas, Summers, the Networks, etc. all jumping on the repeated $2.1T number, assuming it was some sort of double count.

This post was edited on 5/27/17 at 6:46 am
Posted by bonhoeffer45
Member since Jul 2016
4367 posts
Posted on 5/27/17 at 2:45 pm to
quote:

It appears to me the Trump Administration's economic team simply applied obamanomics' growth rate (2%) vs a frankly conservative assessment of growth rate projection under Trump's Proposed Tax Reform Plan (3%). Then they tallied differences over 10yrs.

The cumulative tax revenue differential IAW Hauser's Law, using an 18% rate, would be $4.152T. So all things being equal, Trump's Tax revenue would exceed that in the Obamanomics model by over $4.1Trillion.

However, as Larry Summers, Elizabeth Pocahontas, and others point out, all things are not equal. Due to rate reductions, Trump Tax may not collect as much as obamanomics tax would have. To remedy that, it appears Mnuchin and Mulvaney adjusted their tax revenue numbers downward by over $2Trillion.

So they claimed a "cost" of $2Trillion with a net of $2.1Trillion in revenue.

ETA: I wouldn't be surprised if the Trump Team's numbers, with rounding, came out at $2.1T in "cost" and $2.1T in revenue. That would account for Pocahontas, Summers, the Networks, etc. all jumping on the repeated $2.1T number, assuming it was some sort of double count.



I don't know how to explain this any clearer NC. If you have 2000 dollars you got on a bonus check and you buy a TV for that 2000 dollar bonus check, you no longer have that 2000 dollars. You have a TV.

What the Trump team did was buy that TV for the 2000 dollar bonus check, then pretend they never used that 2000 dollar bonus check and then bought a new refrigerator with it.

They never had in their possession the money to pay for both. They just used the same 2000 dollars twice. It was a basic accounting frick up. And despite that, and their completely unrealistic growth projection that they used to generate that 2000 dollar bonus check, they still couldn't balance.

You bringing up Hauser and Obama is a ridiculous red herring to this. The core issue is the elementary math screw up and the more complex and unrealistic growth projection.
This post was edited on 5/27/17 at 2:51 pm
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