Fox Business
Expand
Browse All Video
Watch Live

You're watching...

Schiff: Tax Hikes Need to Be Bigger

Details

  • Description

    Euro Pacific Capital CEO Peter Schiff weighs in on the fiscal cliff and deficit.

  • Duration 3:17
  • Date

Clips

Also in this playlist...

Latest Video

Auto-advance: ON

Auto-advance
View All

Transcript

This transcript is automatically generated

Thank -- -- -- 46 days and counting until the fiscal Clinton is upon us but our next guest says don't know that clip.

He gives a thumbs up leadership that is and your specific outlays as CEO and chief global strategist why -- heck would you think that.

While personal you know we need a bigger -- this one is actually too small.

Unfortunately there's not enough spending cuts here this spending cuts are trivial and in fact they're not really -- they're simply reductions -- -- rate of increase.

Now I don't want to trivialize.

The size of the tax hikes.

They're big they're gonna hurt but unfortunately they need to be -- need to be bigger because we have enormous government we're spending a fortune and if we wanna huge government if we want all this free stuff provided to so many people it costs money.

And unfortunately you can't get that money.

Yes from the rich you've got to get it from the middle class and the working for so President Obama wants all this government it has to be paid for and it can't be paid for by rich people think -- -- need tax increases on everybody if we're not gonna cut spending.

So Peter you would let all of the bush era tax cuts expire every single one of them.

Well if we're gonna spend all this money then yes I think that.

Taxes are less damaging to the economy than the deficits that replace them but the real problem is the spending.

The reason that taxes have to go op.

Is because the government is spending so much money and so if you're taxes go up in Europe set then stop voting for politicians who does something for nothing.

So much of that spending has already just built entire future are.

Medicare for example is up thirteen and a half 14%.

Of government spending as it is so are are we destined then.

For much higher taxes -- forget to add high tax bracket rates of close to 40% listen let's start talking about 60% right because we're never gonna be able to cut as government spending because we become addicted to it.

Yet we're gonna pay that tax in one way or another either we're gonna pay it legitimately.

Or we're gonna -- -- through inflation because they're not gonna have the integrity to raise taxes they're gonna crank up the printing presses and they're gonna take our purchasing power not our money so prices are gonna go through the roof and the increase in the price of everything you have to buy is simply to be another tax in disguise we actually need to cut Medicare we need to cut Social Security not in the future we -- need we need to cut the checks that people are getting right now.

Because we don't have the money.

And if it the only way we can pay a -- not.

-- taxes on the very people that nobody wants to attack.

Long term interest rates are close to one and a half percent it's not gonna happen.

Not now.

Well -- but they're there only down now what happens when they're 10% what happens when their 15%.

How long can -- fed keeping interest rates artificially low when they have to print money didn't do it if you keep destroying the value of money and creating inflation rates are gonna have to go walk in the meantime.

These low interest rates are destroying the economy we need -- higher interest rates were never gonna have a real recovery.

Until we have higher interest rates but the politicians and it and the bankers haven't figured that out yet so they keep pouring gasoline on the fire expecting a far to go out but he keeps getting bigger.

Later did the same always on fire leadership -- -- -- -- -- thing.

Load More