Jim Inhofe: “the idea is that nobody benefits from a capital gains tax or some of these tax reductions until they have actually…”

“the idea is that nobody benefits from a capital gains tax or some of these tax reductions until they have actually provided a stimulus to the economy. For example, if you have a capital gains tax, the individual who will eventually benefit from that tax cannot benefit until he has already started a company, already invested his money, already met a payroll, and already hired people. What the liberals in Congress refuse to recognize is that for each 1 percent increase in economic activity in America, it produces an additional $24 billion of new revenue. I am so sick and tired of sitting on the floor here listening to the liberal Members of Congress talk about how it did not work in the 1980's, how we tried tax reductions in the 1980's and look what happened to the deficit. Well, the deficit went up during that decade, but it did not go up because we had tax reductions. It went up because the Members of the House and the Senate have an insatiable appetite to spend money that is not theirs and are borrowing it from future generations. I will give you an example. Back in 1980, the total revenues that were derived from the marginal tax rates in America were $244 billion. Then, in 1990, the total revenues that were derived from the marginal tax rates in America were $466 billion. What happened during that 10-year period? During that 10-year period, we had the greatest tax reductions in this Nation's history.”