Wednesday, January 5, 2011
Tax Rates vs. Tax Revenue
Frankly, I've heard enough of this tax debate. 'Tax the rich' or 'only the top 1%' are spouted off from the mouths of progressives and liberals while others seem to be happy with the way things are. Simply studying history will reveal that this experiment has been going on for a hundred years. Every generation tries to raise taxes or punish the rich - IT HAS FAILED TO INCREASE REVENUE in each and every case! Don't believe me, read this:
This article sheds light on the consequences of lowering tax rates. What ends up happening is, simply put, prosperity. Here's the rub, tax rates effect revenue but the relationship is inverse. In other words, if you lower one then the other goes up and vice versa. Every time we have lowered tax rates, Government revenue has gone through the roof. Every time we have raised tax rates, the U.S. economy has slowed.
Do you see the ultimate irony here? Liberals want to provide more services and entitlements, all of which cost lots of money. They also want to raise tax rates, which 'THEORETICALLY' will increase revenue (only in theory as history gives proof) but now we know will LOWER GOVERNMENT REVENUES. If liberals lowered tax rates they would have money piled up to the ceiling to spend on whatever they wanted! Funny, isn't it. This makes me wonder, are they really looking out for 'the people' or 'middle class'?
We Conservatives want to lower tax rates, both individual and corporate, because of the certain prosperity that would ensue. America would return to work, companies would invest and grow exponentially, and the $14 Trillion deficit would begin shrinking. See, this action would generate more revenue for the Federal Government. Now, how to spend all the extra money sounds like a nice problem for a future Congress to have.
So, why don't liberals study history and get on board? It's my opinion that they are simple ideologues, hungry for power. Maybe they just want to oppose Conservative Republicans... it's clear the current group of lib Democrats despise Ronald Reagan and resent his success. Their pursuit of these dysfunctional policies is a mystery to me, but in the end their experiment will fail. Conservatives will be there to pick up the pieces and get the ship on the right course... again.