When President Clinton left office in 2001, Americans paid 20.6 percent of Gross Domestic Product (GDP) in taxes. President Bush twice cut taxes and gave major tax breaks to the wealthiest Americans, resulting in a reduction in our total federal revenues for each of the past two years to just 14.6 percent of GDP, the lowest rate in the last 60 years. Seventy percent of these tax cuts went to the wealthiest Americans. Bush created the myth, “You cut taxes and the revenues increase” which so many Republicans still believe.
Federal deficits are clearly a major problem today. Under Clinton with fair taxes on the wealthy our national debt, as a percentage of GDP, was reduced by 9 percent.