Yes, I just read the same article.
We do have low revenue compared to GDP, but this didn’t suddenly change because of the extension of the tax cuts.
It changed because of so many more people out of work, and the lower income of those working.
Most articles that quote the taxes at 15% of GDP leave out that spending is now at 25% of GDP.
We could also say ‘The last time
they were this low spending was this high , the first baby boomers were riding tricycles. Now, they’re collecting Social Security and Medicare.’
‘Combined with the effect of the economic slowdown, this decade long tax-cutting binge has decimated federal revenues, which currently stand at less than 15% of GDP.’
If the economy bounces back, we will return to about 17-18% revenue.
The question is, if it bounces back, will we return to spending of 20%.
In 2007 with the tax cuts the government took in 18.5% of GDP and spend 19.6%
In 2009 revenue went down by 3.3% of GDP, but spending went up by 5.4% of GDP.