Cynical Nation

And one of the worst things about budget deficits is that people try to use them as an excuse to raise taxes. Bush's opponents rightly criticize the Republican leadership for the oceans of red ink, but rather than focus on the orgy of federal spending that has characterized the past five years, they prefer to place the blame on the relatively modest tax cuts that Bush implemented during the economic downturn following the tech bubble crash and the attacks of 9/11.

We can't let them get away with that. Even a cursory look at the revenue side of the equation will demonstrate the problem lies elsewhere.

In the first five months of Fiscal 2006, through February, overall revenue continued to surge, growing at an overall rate of 10.3%, or an $81 billion increase from the year ago period, to $871 billion. That builds on the astonishing 15%, or $274 billion, revenue increase for all of 2005, which various fiscal wisemen assured us would fall off dramatically. Apparently not.

This year's double-digit increase is roughly triple the rate of inflation, reflecting strong gains in business profits and individual wages and bonuses -- both signs of a vibrant underlying economy. Corporate income taxes are up 30% so far this year, while individual income tax payments have climbed by 10.3% through February.