Avenue-X--Overture Forgets That the Federal Government Collects Revenue Throughout the Year

[quite]Sorry, but on the subject of the rebates, you are incorrect. The government IS spending money it doesn't have. We are already in the worst deficit spending ever seen in American history. The government was spending money it didn't have, long before the tax rebates came along, and these are simply adding on to that total. The tax rebates provide short term gain at a cost of long term pain.

Overture[/quote]

Actually, you're wrong, here's why.

You're assuming that all government expenditure is done so with money it doesn't already have. Nothing could be further than the truth.

The problem is pinpointing where the government is spending on credit. The tax rebates aren't one such area. Again, in order for people to get the rebates, they have to file taxes. Two things happen when people file taxes, they either owe taxes, or they're owed a refund.

Most the people, and entities, making allot of money ("rich and super rich" categories") end up paying most the taxes.

The government collects these taxes. Then turn around and disburse these taxes to the people that are owed a rebate. In order to get the rebate, you have to file your tax returns.

As for deficit spending, we've already been this route. As a percent of GDP, our deficit spending from today doesn't match what we've spent during World War II. Hence you're incorrect about this being the worst deficit spending in history.

Keep in mind that we're locked in a prolonged fight with an enemy that won't quit. This is an enemy that's not using methods of warfare that we're familiar with.

Like I told the previous poster, the tax rebates are meant to start a PROLONGED trend with the economy. Case in point, the tax rebates given after George Bush came into office.

If they were a "short term trend" at the expense of a long term trend, then we would've reentered the recession a few years ago. But we didn't, we even showed economic growth in the first quarter of 2008.

Tax rebates were given early this decade, and it lead to years of economic expansion.

By saying that the government is spending money that it doesn't have, you're essentially saying that the tax revenues they've collected this year don't exist.