Monday, November 12, 2012

Why Taxing the Rich Simply Cannot Work

According to the prevailing leftist worldview, in order to cure the nation’s debilitating debt disease, and in order to aid the nation’s poor, we ought to raise taxes on the rich so that they begin to pay their “fair share.”
It’s a futile remedy.
If you took every penny from every person in America who made a million dollars or more last year, you could run the government for only a few weeks.  Taxing millionaires, even at 100%, won’t fix the problem.  Our problem is that we spend more than a trillion dollars every year that we simply do not have.
But when conservatives try to keep an out-of-control government from driving the entire nation over a cliff into the gaping maw of economic destruction, liberals claim conservatives lack compassion.  They do not.  They are trying to avoid scuttling the ship of state.  Avoiding a shipwreck is not lack of compassion because, when the ship sinks, all who are aboard -- the poor and the wealthy alike -- are set adrift in the open sea, a result that benefits no one except the Marxist sharks patrolling the waters of international dissolution.
Think about it:  Even if you tax the wealthy at 100%, not only you will not have enough money to do what liberals want to do via government, but you will have succeeded only in creating many more poor:  Those who once were rich now have nothing.  And once you have taken all their money, and succeeded in running the government for only a few weeks with it, from whom will you get money to run the government when that handful of weeks has passed?
You can’t get it from the poor because they don’t have it.  The only option left is the middle class, who then will be destroyed in short order.  Taxing the rich even at 100% will not work.  Even all their money combined will not solve the problem.  And if you do not tax the rich at 100%, you will have even less money to do what you think ought to be done via government, and that money will run out even quicker.  Once the money of the rich is gone, and you still wish to do what leftists want government to do, you must take the money of the middle class.  At that point, everyone is poor.
In short, you cannot fix what’s wrong by means of tax increases.
It’s simply impossible.
So, why pursue it?  I see no more elevated reason for doing than craven envy and destructive class warfare.  If you can, then let me know.
So as not to be unhelpful, I recommend the following ideas: 
(1) You must lower taxes all around, which leaves more money for investment, invention, and job creation. More workers means more taxpayers, which means more government revenue. In other words, I'm talking about the Laffer Curve, which has been proven correct at least twice.  (2) You must reduce the burden of government mandates, regulations, and red tape, which impose enormous financial burdens on businesses and force investors to withhold, at this, point, several trillion dollars in investment money, which is lying idle because investors don't know what injurious things will emerge from Washington next.  No one wants to lose.  They want to invest wisely, and they can't invest wisely because they can't trust Washington to provide a stable business environment.  No investment, no new jobs.  (3) Reduce spending drastically.  We ought not do nationally what the Constitution does not explicitly permit us to do at that level.  All those things have been reserved for individuals and the states. 

1 comment:

David L. Russell said...

Sheesh Mike, don't you understand basic Leftist economics? It goes like this:

$1,000,000,000,0000 - $1,000,000,000,000 = Payback to all those dirty rotten, greedy bastards who create industry, jobs, and more tax payers.

Again, let me say that Liberalism, in all of its bleeding heart stupidity, is a mental disorder. We've seen this term degenerate from a do-gooder kind of compassion to an ideology for mental midgets. Sounds to me like we need a new Age of Reason, but then again that would presuppose that the Lilliputian minions who embrace this twisted logic, would be transformable.

What I see instead is a coming NEW Dark Age that will open the floodgates to the kind of revolution that Lenin and his useful idiots, the Bolsheviks, brought upon Russia in 1917. Look at the glorious gift that gaggle of sadomasochists gave to themselves.

On a different note, check out the following Youtube clip filmed this past October in Cleveland, OH. I give you THE OBAMA PHONE lady. These are the lemmings who are today's useful idiots.