Turns out the Republicans were against raising the deficit until they were for it -- at least when it comes to extending the Bush tax cuts for the wealthiest Americans (a move that comes with a budget price tag of $700 billion over the next decade). Whenever they are asked to explain the contradiction, the suddenly-plucked deficit hawks -- led by John Boehner -- fall back on the canard that if the Bush cuts are allowed to expire, more jobs will be lost. This reveals a total lack of understanding about how jobs are -- and aren't -- created. Hint: it has nothing to do with the personal tax rate of the people running the business. It has everything to do with demand -- from consumers, advertisers, government contracts, etc. When businesses have more demand, they hire more people. Simple. Maybe Boehner can skip a few rounds of golf and take an Economics 101 class.
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PEOPLE, PLEASE look at the BIG PICTURE! There are so many elements influencing this mess we're in today. READ! ANALYZE! EXAMINE! EDUCATE YOURSELVES POLITICALLY. CHALLENGE AUTHORITY. And please don't take for "TRUTH" everything you hear on TV or hear from your neighbor.
Almost everyone has something on someone in Washington. Deals are made based on fear of being "found out." And once the decent ones are "IN" they can't check out.
There's no easy fix as long as we have an abundance of greedy, heartless robots in Washington, looking for ways to protect themselves, never thinking abou future impact. Their tiny brains cannot process anything beyond campaigning. The Repugnants lie and twist words with such conviction that thousands of Americans nod their heads in agreement because they have no minds of their own. They are clueless, and sadly, some are just plain stupid. Among the Dems---Weiner, Franks, Sanders and Grayson have shown some chutzpah. What about the rest of you spineless pussycats?
Allowing the wealthy to keep their tax cuts WILL NOT CREATE JOBS. This is brainwashing at its zenith! Do the math. Wake up, and smell the Sanka, America. You don't know it yet but can't afford coffee anymore.
Save the RICHEST FAMILIES PRIVILEGED 16.1% EFFECTIVE TAX RATE - Lowest in the Civilized/Industrialized WORLD!
Lower than PRE-GREAT DEPRESSION of 1920's!
And why are not all the news agencies talking about this effective rate BEFORE we even get to a discussion about keeping a tax cut or not? Why are there not show after show proving the effective tax rate for the wealthy is way below what even the poor pay in percentages?
Would this news not make a big difference to those deciding what to do?
I had to try and educate a friend with a few examples of the effective tax rate, by dividing the amount paid in tax divided by the total income...but see, she won't believe it if I say it. It needs to be broadcast from here to eternity so that people will understand that the middle class and the poorer classes are actually paying a progressive tax rate.
Where are the programs on TV and other mediums explaining the true tax rates? Where are they ? I'm dead serious. I've written Rachel Maddow about 14 times asking why not a show on what the real tax rates are for the wealthy. I mean, anyone that was thinking of letting them keep the tax cut should change their mind right on the spot if they knew what the effective tax rate was.
WHERE ARE ALL THE NEWS SEGMENST AND PROGRAMS DISCUSSING THE EFFECTIVE TAX RATES FOR PEOPLE MAKING OVER $250,000 A YEAR???????
If China has learned from this experience with "free trade" is that it is as good as we are to providing for its people, then it should go for it, for ITS people. And this goes for many other countries, now that they have learned the "good" from capitalism. Let them develop their own national capitalism (if we want to call it that). But please leave our own capitalism alone.
We are being bled dry by the excesses of "free trade". Time to return to what our Founding Fathers had in mind when weaning themselves from English trade oppression, time to look after our own. Each country should go back to producing themselves what their people need, now that we have spread the "know-how". It isn't capitalist, it isn't protectionist, it isn't socialistic, it's SANITY.
It's not all about the education, skills, and experience. We have a higher standard of living. From an economic perspective, that is being equalized.
If anything, it's just the opposite of what you are saying. See, I don't want to pay anymore to the government than I legally have to. If there were enough demand for my products, which there is not during this recession-and that's the real problem-with my business to begin with, then I would try and spend as much as i can on business expenses that are deductible...such as hiring an employee-if tax rates go up. Hiring an employee is a tax deduction. Investing in expansion is a tax deduction. Why would I spend that money when tax rates are low. Then I'm going to keep the money and put it in savings.
Now, if tax rates are higher, and like I said, there was enough demand for products-which there isn't-then I would spend as much as I possibly can during the years when tax rates are high because i can offset the high taxes with the deductions of hiring and expanding.
That's the real world of business and taxes. I'm not sure where you got your deductions from at all!
1.) Cuts or no cuts, its the uncertainty that's tamping down everything.
For example:
As long as businesses, especially small businesses can't be sure of what kind of health care or other costs they'll be taking on, They won't be hiring. It won't matter what temporary tax incentives there may be, available, hiring someone is a long term commitment to a major expense.
2.) A historical example of what tax policy and government intervention can do to to hamper employment.
Back in 93' Congress passed a 10% luxury tax on yachts. Of course, the idea was to increase revenue. Heck, those rich guys have deep pockets. Just charge them extra for their toys and they won't even miss it, right?
Wrong.
Rich people spent money elsewhere. They aren't stupid. As a result the boat building industry on the east coast was decimated. Boat businesses closed or cut back. Vendors for those businesses did likewise. Employees were laid off and went on unemployment. Bottom line revenue increase from the tax bill was Zilch.
The bill was repealed three years later.
No. Thanks.
It is their Utopia, our doom
http://ofthisandthat.org/LettertoPresident.html
"John, you're not going to hire anyone, not until I get a new fur coat and that diamond necklace I've been wanting for months"
"Yes dear, you're right, I guess I just wasn't thinking straight. Besides, I can get more work out of the employees we have.................all I have to do is rumor another layoff, and productivity rises. Why hire more people when I can get more work from the people we already have without paying a dime more?"
Twilight zone?................no reality.
A reality that the "tax cuts for the wealthy crowd refuses to acknowledge. Tax cuts for the rich is just that, tax cuts for the rich. It has nothing to do with unemployment.