Monday, January 25, 2010

Liberals should take notice...

But we all know they won't and never will.

This should be a good lesson for them...

Sales of previously occupied homes took the largest monthly drop in more than 40 years last month, sinking more dramatically than expected after lawmakers gave buyers additional time to use a tax credit.

The report reflects a sharp drop in demand after buyers stopped scrambling to qualify for a tax credit of up to $8,000 for first-time homeowners. It had been due to expire on Nov. 30. But Congress extended the deadline until April 30 and expanded it with a new $6,500 credit for existing homeowners who move.

Imagine that...if you give people tax credit and incentive to spend they will. Just like if you give business's tax cuts and incentives they will grow. But the minute you tax them more, just like when you take away the tax credit for houses, spending dries up. Is that really that hard of a concept to understand?

No comments:

Post a Comment