Is this what this country needs? A little "spreading around of the wealth?" Has this ever worked in world history?Joe the Plumber was not someone that would be called 'super rich'. If he owns his small plumbing business, he may have $250,000 as income, but not personal income, business income. He will get the tax increase under our President elect's economic plan if that is the case.Remember…Obama is the one who said in the ABC debate during the primary season that his approach to raising tax on capital gains is not based on whether it would provide more revenue but on his idea of what is fair: GIBSON: All right. You have, however, said you would favor an increase in the capital gains tax. As a matter of fact, you said on CNBC, and I quote, “I certainly would not go above what existed under Bill Clinton,” which was 28 percent. It’s now 15 percent. That’s almost a doubling, if you went to 28 percent.
But actually, Bill Clinton, in 1997, signed legislation that dropped the capital gains tax to 20 percent.
OBAMA: Right.
GIBSON: And George Bush has taken it down to 15 percent.
OBAMA: Right.
GIBSON: And in each instance, when the rate dropped, revenues from the tax increased; the government took in more money. And in the 1980s, when the tax was increased to 28 percent, the revenues went down.
So why raise it at all, especially given the fact that 100 million people in this country own stock and would be affected?
OBAMA: Well, Charlie, what I’ve said is that I would look at raising the capital gains tax for purposes of fairness.
That being said, we now find ourselves in an economic downturn. Just yesterday, the highest number of job losses in one month since 1974 was realized. Yet, the stock market held its own and actually ended the day up. Go figure!
In this environment, can any tax increase be good? Even repealing Bush's tax cuts early is in a sense a tax increase. Would it be prudent to do even this now? It seems to me that whatever system one believes in, (Socialism or Capitalism, Christianity or Atheism, for example) that system should be able to stand firm in any environment. I say if Socialism, I believe the core belief of our President elect, is right in good times (stick it to the rich if you will) it should be able to stand in bad as well. Which will it be Mr. President elect? Is it really all about fairness? Can fairness ever be achieved? Does Socialism produce fairness when it is enacted? It might look good on paper, but in reality it fails.
As it is now, we are looking at bail-outs left and right paid with money we don't have so we must print more. There is also talk of no tax increases and of letting the Bush tax cuts (BTW 100% of American's got a break under this legislation) expire on their own. I do not see how any new Government program (Universal Health Care) can be a serious consideration with the outstanding debt the Country has now.
One more thing while I am on a roll. Why aren't the Oil companies the bad guys anymore? How soon we forget. If they can manipulate the market so easily to take the big profits, why aren't they doing so now when oil in a good $100 less per barrel than it was just this summer?
So, Is Socialism the way out of this mess? Is Socialism the way not to get into this mess in the first place? Let's ask the people of China or Russia. The politicians in these countries have it real good while the citizens wait in line for bread and can have their home and land taken away with no recourse. There is no middle class in this type of government. The middle class and what it stands for is what makes America prosperous and the envy of most of the world. Don't be fooled, there will always be poor and there will always be rich. Which side of the stick would you be on if the Socialism line were drawn? I know which side Mr. Obama would be on.