It’s background noise while I sip morning coffee and play Spider Solitaire while idly planning when I’ll shower.
I added the word rhetoric. And the high pitched part of that exchange caught my attention when they started discussing tax cuts and the effect on the market. Do we make them permanent, have they been effective, are the rich not paying enough, should they be excluded from the cuts and only the middle/lower classes’ rates cut, should the corporate rates be raised, should all the cuts be rolled back, is that nothing more than a tax increase at this point, and what about minimum wage?
Fact as reported in the New York Times:
So what is the definition of “the wealthy” or “rich”? Compared to those living in boxes in parts of Brazil, I am rich. If we can limit the discussion to the above USA pie chart, would it be ok for those already paying 83.88% to pay 100% of all taxes and all us “lower thans” pay none if we aren’t part of the current 83.88% now? After all, they’ve been getting rich off the backs of us poor people since — since — well, since — whenever.
YES! YES! I like that! Let’s pretend it was on the ballot and all us rabble voted in a landslide to make those already in the so-called rich bracket pay all the taxes from now on. I know! A constitutional amendment! The working class gets to keep all their money, pay no sales taxes, pay no gas taxes, very simply NOT PAY TAXES of any kind whatsoever!!
(Me! Me! Elect me!)
Whew! Free from the burdensome yoke of taxes for this, that, and the other, I have enough extra cash to take trips, buy things I’ve not been able to before, invest in the market, and save for, oh, say, a franchise business I can operate from my home computer or maybe one that will generate multiple locations. I like this idea more and more. I would be my own boss, take off when I felt like it — in other words, achieve the big American Dream. And my franchise has created much needed jobs. I feel really good about myself.
Then, suddenly one day, I wake up to see that I am in the bracket of the taxable wealthy. Now what do I do? It’s been MY American Dream and therefore MY MONEY!! I know. I’ll close a location or two and duck under the zero tax income ceiling. Did I just put some people out of a job? Oh, well. It’s my money and I don’t want it taxed. I also see that some of my investments have created corporate growth and are responsible for my income increase. Sell! Sell! I really don’t care that I and countless others like me are pulling money out of the market and possibly causing other businesses to eliminate jobs or close their doors. Oops, the total tax dollars collected shrank.
Too bad. It’s my money and I don’t want it taxed.
If the 83.88% experience a tax rate cut, they’ll increase investments, expand businesses, create jobs, and by virture of sheer performance volume, the tax coffers will have more money in them and the deficit shrinks. It’s sort of like when a retail owner decides to lower prices, creates more purchase volume and has more money to pay the suppliers and more money to pay his employees and has more money to take home and invest.
Hmmm, let me think. I tend to be simplisitic. For instance, if you really, really, really are determined to eradicate AIDS, abstinance could work.
If we want to increase our wealth, we need a permanent break.