Right wing propagandist
Fox News NPR and the New York Times on why taxing the rich won’t work:
It’s tempting to look to our millionaires and demand they pay more in taxes, but the same inconvenient truth applies. When you add up all the money made by all the people who earn more than $1 million a year, it amounts to around $700 billion. But since the millionaires already pay close to $200 billion in taxes, the government would have to increase rates to nearly 100 percent — which is about the worst idea ever — for it to have any real impact.
Obama even LAST NIGHT claimed that the rich needed to pay their “fair share” as if they didn’t and that it would magically solve our spending problem. The class warfare argument is nothing but a political ploy for Obama to win reelection. So, what will work? Taxing the middle class.
To solve our debt problems, we have to go to where the money is — the middle class. People who earn between $30,000 and $200,000 a year make a total of around $5 trillion and pay less than 10 percent of that in taxes (owing mostly to tax incentives and the fact that most families make less than $68,000, where larger tax rates begin). Increasing the middle-class tax burden an additional 8 percent, however, would actually have a bigger impact than taxing millionaires at 100 percent.
Rich middle class!!! Taxing merely the rich will slow growth and not get us where we need to be.
Regardless, most economists acknowledge, and most politicians privately concede, that the middle class will have to give up some benefits (Social Security, Medicare) or it will have to pay more in taxes. Actually, it will probably have to do both.
Obama chided Republicans yesterday for what he considers their failure with the supercommittee. But, John Podhoretz points out the supercommitte did exactly what it was supposed to do. Nothing. It allowed Obama to raise the debt ceiling through the end of his term, and that was a success.
Oh, the supercommittee’s putative purpose was to find massive spending cuts and tax hikes acceptable to both Democrats and Republicans. Then, after achieving this supernatural goal, it was to place these historic changes before Congress, the president and the American people and solve America’s spiraling debt problem at no political cost to anyone.
That scenario was a transparent absurdity. Indeed, it was so absurd that committee members couldn’t even go through the motions of pretending to fulfill it. Politico’s Mike Allen informs us that the supercommittee never actually met during the month of November.
The only plan the Democrats, and Obama, were going to agree on was one that taxed the rich which is purely a political ploy, not one that will solve anything. Their price? $1 trillion.
The talks broke down because Democrats demanded $1 trillion in tax increases as the price of doing any deal that included entitlement savings — which is to say, as the price of doing any deal that begins to address the major drivers of spending going forward.Republicans have never quite owned up to being open to a tax increase, but that is what they are talking about when they talk about “pro-growth tax reform,” which includes broadening the tax base and eliminating some deductions and exemptions, producing a net tax increase even if tax rates stay the same or go down. But even that isn’t good enough for the Democrats, who insist that any tax increase be enacted through a relatively narrow range of options, mostly through raising tax rates on individuals with above-average incomes and on businesses that do not fall within the protective circle of Democrats’ political favoritism. (Don’t expect General Electric or the next Solyndra to start paying 35 percent, whatever else happens.) Because Republicans rightly declined to go along with this class-warfare program and insisted upon savings in entitlements, the supercommittee failed.
Unless spending is dealt with (inlcuding entitlements) we need to increase taxes 88%. On everyone.