And now, for the rest of the rest of the story...Just a quick FYI...I overheard this story initially as reported by Rush Limbaugh and as usually I did my Paul Harvey impression...you know the one..."and now for...the rest of the story". As I figured, there was that one little detail Rush purposely omitted; April is, afterall, tax collection month
Taxes are collected all year round. Those that have to pay taxes when filing their returns genrally pay in April, but that's not the same as collecting taxes in general.
It should be noted that the U.S. structural budget deficit for 2010 is projected to amount to 9.2% of GDP. Structural budget deficits are those that do not disappear when the economy is in a cyclical expansion. As the stimulus winds down and tax revenue increases from economic growth, the cyclical component of the nation's budget deficits will fall. The structural component will not. In other words, the U.S. cannot "grow" its way out of its fiscal imbalances.
Addressing the nation's structural budget deficits will require unpopular political choices: reduced discretionary spending, mandatory spending reform (including far-reaching health care reform), and tax hikes to cover what cannot be achieved from the discretionary spending cuts/mandatory spending reforms. Unfortunately, there remains an implicit bipartisan consensus that "no immediate fiscal crisis = no fiscal problem." That crises typically result only after problems have festered and grown over a period of time is irrelevant to that bipartisan consensus. Hence, going into the 2010 elections, very few politicians are likely to make credible fiscal consolidation a centerpiece of their campaigns.
People sleep peaceably in their beds at night only because rough men stand ready to do violence on their behalf.