Posted on

The Right Side of Wrong

Looks like the GOP is on the right side of wrong. They are certainly correct that some taxes are more equal than others. Some have the potential to increase economic growth, while others have no impact. Some may increase demand which can lead to job creation while others will have no such effect.

“It’s always a net positive to let taxpayers keep more of what they earn,” says Rep. Jeb Hensarling, “but not all tax relief is created equal for the purposes of helping to get the economy moving again.” The Texas lawmaker is on the House GOP leadership team. via Madison,Com

The wrong, of course, is they have their equation ass backwards. Businesses create jobs when consumer demand increases. Companies are not going to create products no one can buy just because they got a kick back from the federal government. What these kick backs will do is increase the capital flight from American businesses to businesses in China and elsewhere.

More important here is Republican no longer pretend to be class war neutral when it comes to taxes. They no longer desire to pretend they are against increasing taxes “as a general rule” but just for those at the top. The Republicans line is the  top 1%wealthy are “productive tax payers” while the bottom 50%  are “moochers”.

We, in Wisconsin, feel this onslaught all too well with Walker Taxes. Walker Taxes will increase teacher, public employees taxes this coming year up to 40%.  Interestingly, the income from these tax increases funded countless tax breaks for bottom of the barrel capitalism. For example, tax credits for pay day businesses that could no longer operate in Illinois, or sweat shops where Walker had to bring in his own air conditioning for the photo op. In Wisconsin, Walker is focused on dividing the working class by union / non union with unions becoming the new state enemy. But have no fear if you are non union they will be coming for you soon.

On a recent episode of The Daily Show, John Stewart too on the Republican’s War on the Poor. Republicans found a 1 or 2% tax increase on the richest 1% as unacceptable , and argued it would only get the treasury a meager 200 billion. The Republicans (Fox News) argue instead we should get the “moocher class” to pay its fair share. This “moocher class”that the GOP is gunning for seems to be the bottom 50% of taxpayers. In order to reach the parity that the GOP is striving for the lower 50% would need to be taxed between 50 and 75% of their income. That as Stewart smuggily points out equates  to that eager 200 billion the GOP objects to on the other side of the equation.

So yes, while Dems want to raise taxes only a few % points on top 1%, Republicans want to raise taxes by as much as 75% on the bottom 50%.

Advertisements

3 responses to “The Right Side of Wrong

  1. Annie K. ⋅

    So…is a guy who supports Walker taxes
    a Walker Taxes Ranger?

  2. Annie K. ⋅

    ….on a serious note, I really do not understand how — if people are either poor or unemployed, many sick and many starving, tons of homeless, untreated addicted and mentally ill, the rest in prisons, with future generations of kids under-educated and under-fed — HOW is this even good for THEM? I’m not an Econ genius but don’t you need an overall robust and interactive economy for even those on top to benefit? Isn’t it more that money cycles thru? THERE WILL BE NO ONE TO BUY PRODUCTS. I have said before that (in the case of the Koch Bros) poor people do not place Dixie Cups and Brats on their very limited must-have list. And car ownership/driving is outta the question so how’re they gonna recoup the losses by selling more oil. The guys who can buy all this will only be other rich guys.
    If the wealthy make sure that once a dollar reaches them, it comes to a screeching halt, how does that not kill the economy.

    I really don’t get it. And increasing pollution etc only kills their own future earnings, since they’re the only people who can afford to engage in industry or actually make money off of the now-dead resources. They’re working hard to be able to shit on stuff that’s sitting in their own “pantry”, stuff they will need later.
    I do not get it.

  3. Well Marx himself talked about this, left to its own devices capitalism will destroy itself. It is in this sense they say FDR saved capitalism.

    We are told that capitalism is rational as in the rational consumer contemplating his choices in the market place. The opposite is the case, capitalism is anti-rational a pre cognitive emotional reaction to consumption.

Comments are closed.