Bush's tax cuts are like a subprime mortgage.

More people are waking up to the fact that the Bush tax cuts cannot be sustained without slowing the growth of the economy, and the tax cuts eventually will have to be scaled back. On top of this, in order to pay the interest on the national debt created by the Bush tax cut, there will have to be a permanent tax increase of at least five percent (see my previous post). This forever tax probably will be even higher, depending on how long the current tax cuts last and whether there is consensus to pay down any of the enormous debt they've created. If you were a twenty year old who got a twenty percent tax decrease for ten years while your income was low, you may not be happy that as a thirty year old you'll face a five, six or seven percent tax increase for the rest of your life when your income is higher. In the end, you'll lose money on this "tax break." Come to think of it, this tax deal is structured like a subprime mortgage. You get a teaser payment upfront, and then get hit with high payments you can't afford later.