Wouldn't tax hikes be less harmful to the US economy?

[King]

I'm no economist nor have as deep an interest like many of you here so I may be complete wrong.  Please educate me.

We have about a trillion dollar deficit, correct? I remember hearing we take in, say, $2.3 trillion in taxes and spend $3.3 trillion.  Well, obviously, we want all would sleep better at night with a balanced budget.

So, we cut spending by 1 trillion dollars. What happens to that $1 trillion?  It doesn't go to the taxpayers.  It's not the taxpayers money.  It's borrowed.  We can't just give a $1 trillion tax cut because then we'd have $1.3 trillion in taxes and spend $2.3 trillion and we'd be back to where we started.   $1 trillion would be exported out of the United States economy and into China, Japan, EU, or whoever loaned.  They then spend it on whatever and wherever they choose.

So, we raise taxes by 1 trillion dollars. That's $1 trillion out of the pockets of taxpayers.  It sounds terrible.  But where does it go? From the United States public to the United States government and back through the United States economy.  All the money stays here.  It doesn't leave.

Is this not correct? It seems too simplistic so it might not be.  Obviously I realize the government (DoD and State mainly) spends money outside of the United States all the time, but not a trillion.

An interesting angle to look at deficit reduction nonetheless.

[King]

You act like the teabaggers actually think about this type of stuff. Their entire mindset is "OMG TAXES AND BIG GUBMINT BAD!"

People think how they are informed.  You'll never turn on a TV and see any sort of explanation of the budget deficit other than it exists.

[King]

Since liberals can't understand anything that isn't in anecdote form, I'll explain this rather simple concept with a metaphor.

Raising taxes is like taking King's paycheck/welfare check/allowance (not sure which, most likely the third), and telling him that instead of spending it on useful, self-improving, productive things, he can only spend it on cheeseburgers and cheap pot.  Writ large, it is immensely damaging to the economy.

(oh, wait...)

Since Libertarians can only speak in idealism that has no practical application and disregards current events, I'll restate my post in the following manner:

You grow three tall trees,
Across the pond is not you,
They drink your milkshake.

[King]

Since liberals can't understand anything that isn't in anecdote form, I'll explain this rather simple concept with a metaphor.

Raising taxes is like taking King's paycheck/welfare check/allowance (not sure which, most likely the third), and telling him that instead of spending it on useful, self-improving, productive things, he can only spend it on cheeseburgers and cheap pot.  Writ large, it is immensely damaging to the economy.

(oh, wait...)

To answer seriously now, this not a discussion about whether I would want to pay high taxes.  I think everyone would want to pay 0.  I would like to add that ideally I would be immortal as well.

This is about paying off a deficit the easiest way possible and you do not address my point one iota...

The United States government takes my money away and where does it go? The United States economy whether in the form of a social security check, weapons manufacturing, or hell to pay the salary of some halfwit working at the Lobster Museum in Maine.  The United States gets rid of its excess money and where does it go? China's economy.

We are in a $1 trillion dilemma.  I would rather give $1 trillion dollars to the halfwit in Maine than the halfwit in east Asia as the former halfwit is about 100% more likely to spend that money in the United States.