You stated that when the books are balanced, that you would cut taxes. This equates to cutting income. The debt isn't going to be paid off any time soon, so why would you even consider cutting taxes (income) when times are good? I fail to understand. How can the books be balanced if one has debt. Applies to Gov or Individuals. It's the opposite of what you should do, because as you point out debt needs to be paid off. In fact taxes should be raised in good economic times. Why? If you run large surplus like Japan or China you are taking money out of the system. Balanced books is the objective not surplus or defecits. You may choose to raise taxation in good times and spend in recession but this leads to boom bust scenarios.
"Obviously if you have debt"... well the government does. This is a fact. Any discussion about not having the debt is irrelevant. So again, why cut taxes just because on a particular year, our government might be running a surplus? If you're suggesting that balanced books means there is no total debt either, then your point again is irrelevant, because we can't be in that position for a long time, if ever. Let's apply your arguement to what today. If you spend more than you earn you raise debt. If you then complement that by taxing less you are encouraging greater disparity between earning and expenditure -> even more debt. This is why Keynesian approach fails. Politicians will spend out of recession and continue spending on in a boom cutting taxes. You can't have it both ways.
What is your objection to;
1. Raising taxes
2. Reducing spending
to pay off debt. What part of the logic do you object to. The rest of the geezers banging their drum about lower taxes making people work harder is tosh.
Think how you would respond to the stimulus. (assuming you have no debt but savings too. Would you really work twice as hard)?
Are we having a discussion about what people do, or what people SHOULD do? Suppose times are good and I can earn £20 per hour for work, and I am aware that in a few years I may not be able to earn much or at all, AND I have debts. Then yes I work harder now while times are good and pay off my debt. Look mate - If you have debt you are not well off alright. Have can you class people in debt as well off??? If your assets > liabilities and you are in positive equity then you're ok I don't have any debt, eliminating any debt asap is one of my priorities, and I'll work 3 jobs to pay it off if I need to. Again, as you say some people in that position will work less hard. They may have to suffer the repercussions of that choice. We're all suffering the repercussions now of our governments 'leisure time'. So when will you ease off work? Ask this question will you then continue working as hard. Would more money make you work harder. Taxes go down are you going to say - oh taxes went down I can earn more money. Don't know how much you earn but let's say you earn £50-100K and this range is not unusual to many people in Banking... +bonuses on top. You going to want to work on BH and weekends doing OT?
It's interesting that I gave an analogy comparing your philosophy of what governments should do (cutting taxes etc), with an individual in a similar position. And on reading it you realise it's a ridiculous philosophy for the individual. But for some reason your head is clouded with economic concepts, which stop you from seeing the obvious. The policy that you espouse IS ridiculous. Whether it be for an individual working, or for a government. No you didn't. You conjured up some daft assumption with debt saying you are well off.