Entitlements and Tax Cuts

Re “The New Entitlement,” Opinion, Aug. 1: Whether by ignorance or arrogance, Kevin Phillips repeats the common liberal error of confusing entitlements with tax cuts. Oddly enough, “entitlement” usually refers to government programs that take money from folks who earned and give it to folks who did not. Tax cuts simply take less from people who earned it. If I promise not to take Phillips’ family car, does that mean he owes me a favor in return? Of course not.

JAMES BASS

Thousand Oaks

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Congratulations to Congress on the new tax bill. Including tax credits for those purchasing yachts while denying Medicare recipients prescription benefits is the perfect example of the compassionate conservatism this country will get if George Bush gets the nod.

BOB KERTESZ

Los Angeles

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According to The Times (July 30), the Republican Party’s proposed tax cuts will provide more tax relief to business than to the average worker. What that means to me is more dollars for economic growth via capital expenditures and more dollars being injected into the economy.

HUD has earmarked $488 billion for low/moderate-income housing and rentals over a 10-year period. What that means to me is more dollars being injected into the economy. I am no wizard in finances, but it seems to me that both of these items would serve as catalysts to increase the rate of inflation.

The Federal Reserve system is contemplating an increase in interest rates to control economic growth and inflation. What this means to me is we have two government agencies pushing our economy and financial system in one direction and the Federal Reserve system trying to pull it back. What am I missing here?

GILBERT NIXON

Huntington Beach

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I get tired of hearing Sen. Trent Lott and other Republican leaders saying the surplus belongs to the taxpayers and should be returned to them. Of course, what he really means is return it to the rich. But the question I have is, we have a deficit in the $5-trillion range--just who belongs to that?

BERNARD RAPKIN

Los Angeles