Featured Research

VOTERS BELIEVE “WE WILL NEVER TAX OUR WAY OUT OF THE DEFICIT.”

May 10, 2012
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Six months before election day, electoral fundamentals favor Republicans according to the latest Resurgent Republic national survey of 1000 registered voters conducted April 30-May 3, 2012. Following are key highlights pertaining to solving the deficit.




Read the full report: Electoral Fundamentals Favor Republicans in 2012




  1. A majority of voters do not think we can tax our way out of the deficit. Voters were asked to choose between two statements:


    Congressman A says we need to raise taxes on the wealthy. We must have more tax revenue if we are ever going to reduce the deficit and make the wealthy pay their fair share.


    Congressman B says we will never tax our way out of the deficit. The way to reduce the deficit is to restrain government spending and reform our tax code to generate more economic growth.


    By a margin of 52 to 40 percent, Americans do not believe we can tax our way out of the deficit, with Republicans agreeing by 63 to 31 percent and Independents agreeing by 54 to 40 percent. Only Democrats think raising taxes on the wealthy is critical to reduce the deficit, 50 to 42 percent.





  2. A plurality is skeptical of the benefit of raising capital gains taxes. Voters were asked to choose between two statements:



    Congressman A says we should raise taxes on capital gains for the wealthy, regardless of whether or not it will increase revenue for the government, because we need to ensure fairness.


    Congressman B says it makes no sense to raise capital gains taxes since it will reduce revenue for the government. That would increase the deficit and hurt economic growth.


    By 47 to 43 percent, a plurality opposes raising capital gains taxes if it will not lead to increased revenue, including 58 to 33 percent among Republicans and 49 to 44 percent among Independents. Democrats want to raise capital gains taxes regardless of its effect on revenue by 50 to 39 percent.





  3. One reason for those beliefs is that most Americans think raising taxes will just lead to more spending rather than deficit reduction. If the federal government raises taxes, 64 percent think the new revenue will go primarily to more spending, and 28 percent think it will go primarily to reducing the deficit. That belief cuts across partisan lines: Republicans think more revenue will lead to more spending by 76 to 18 percent, as do Independents by 73 to 22 percent and Democrats by 47 to 42 percent.





  4. Another reason for those beliefs is that most Americans do not buy into class warfare arguments about the wealthy. Fifty percent of voters think "most millionaires in this country became wealthy by working hard and playing by the rules," while 40 percent think they became wealthy "by taking advantage of the system." Republicans and Independents think most millionaires succeed through hard work by 68 to 24 percent and 54 to 38 percent respectively, while Democrats think the wealthy succeed by taking advantage of the system by 56 to 32 percent.





Read the full report: Electoral Fundamentals Favor Republicans in 2012




 

Filed under: Free Market Economy and Polling Analysis