We’re hearing a lot lately about solving our nation’s fiscal problems by ‘taxing the rich.’ It sounds good, but the facts just don’t agree with the talking points.
Breitbart.com posted an article yesterday that crunched some of the numbers involved.
“The president’s plan to increase taxes on the upper two percent covers the spending by this federal government not for eight years, not for eight months, not for eight weeks but for eight days. Eight days only,” said Mr. Price (Rep. Tom Price (R-GA)). “It’s not a real solution. So, again, I’m puzzled by an administration that seems to be more interested in raising tax rates than in gaining economic vitality.”
So what is going on?
The article cites a comment by Warren Buffett that may explain things:
Indeed, even Mr. Buffett seems to concede that he and the president’s “soak the rich” proposals are more an act of political theater designed to generate an emotional response than serious solutions: Mr. Buffett told Matt Lauer he believes his proposal would boost the “morale of the middle class.”
This is not about fiscal responsibility. This is called class warfare, and unfortunately, a lot of Americans have bought into the idea that punishing success is better than formulating policies that will help more people achieve success.
There is one important thing to remember as we approach the fiscal cliff. The Republicans control only one-half of one branch of government. Whatever happens, if it is not successful, the media will blame the Republicans. The Republicans might as well stick to their guns about not raising taxes and at least get blamed for something they did right. The idea of raising taxes now and dealing with spending cuts later is laughable. The Democrats have made that promise before, and the spending cuts never happened.
The problem is on both sides of the aisle–bigger government means more power concentrated in Washington. Congressmen like power. Until we elect people who put the welfare of the country before their own personal ambitions, nothing will change.