[Copernicus]

"cutting taxes makes additional work, investment, etc. LESS NECESSARY"

How does cutting taxes make investment less necessary?

there is more discretionary income, spending decisions have already been made if there is any money to invest before the tax cut, so there is more money to invest. and it is the investment aspect of tax rate cuts that is the most powerful.

what tax rate cuts also do, when designed correctly, besides increasing the amount there is to invest, is level the playing field between alternative investments. Reductions in capital gains taxes encourage equity investing by helping to offset their increased risk, reductions in dividend tax rates alleviates some of the double taxation, eliminating unnecessary hording of capital, and reduced corporate tax rates and extended depreciation schedules encourage capital investments and R&D.

As far as it being "folly" there are numerous books and studies that disagree with those cited. While "correlation != causality" , the more persistent the correlation, the better the indication that the independent variable is at least a catalyst if not the cause. EVERY tax rate cut since Kennedy has DEMONSTRABLY led to increased investment and R&D.

The prosperity during the Clinton years is the direct result of the increased investment from the prior administrations' tax cuts. That isnt folly.