Posted on 01/01/2013 8:35:57 AM PST by zerosix
Just received an email from my accountant informing of tax increase on ALL American taayers.
I wonder what the rates will be after the “signing statement.”
But this time, with guns. Should be fun .................................................... FRegards
The simplest way to state it is:
No matter how high the tax rate goes, it never collects more than around 21% of GDP and begins to collect less the higher you go. The secret to more tax revenue is raising GDP, not the tax rate.
The point I was attempting to make is that those Americans, especially those paying little or no taxes, do not understand or care that the only pot large enough to come close to meeting the desires of the greedy has to come from the pockets of the so-called, "middle class."
Even in America, there aren't enough rich people working and being taxed at higher and higher rates that will fulfill the desires of the greedy. Only when the, heretofore, largest group, the working and taxable "middle class" have their taxes raised, can the government come even close to meeting the spending habits of DC, according to the philosophy of Keyensian economists!
It cannot and will not happen. They can increase taxes all they want but they will thereby reduce revenues. They will, however, have a larger and larger percentage of the whole wealth of society as they transfer wealth to the elite through inflation, even as the total wealth of the system declines. The will be a super-elite in a small wealth pond. We will be effectively living at the level of the Moslem countries where wealth is almost totally concentrated in the hands of a tiny elite of rulers in countries that are overall poor. No debt can be paid off by increasing taxes, not in the short term, not in the long term. The government cannot pay off anything by soaking the citizenry. That pot of wealth ISNOTTHERE for the taking unless they do an actual wealth confiscation or expropriation as it is known in the Communist countries.
Keynes was not an economist. He was a fantasist. Did you ever read him? In classes where he is taught his paragraphs are read for the firs line and the conclusion. Everything in between is nonsensical. Most does not cohere as English and meaning can only be assumed or speculated. It reads like a poorly done MIT paper designed to be accepted in prestigious journals then to be jeeringly outed by the authors as a fraud.
Everyone inside the belt way has sold out or bought in to big gov-mint. They are all in it together. They have theirs and they determine what theirs is. Once that is done, they control all. We are subject to the king and his court called congress. All liars, thieves, of the same skin.
I mention Keynes as beltway folk seem to make him their god, of course most of them are too dumb to know anything about economics of any kind, they only listen to "brilliant minds" like Paul Krugmann.
Did you know Reagan had an actual bachelor’s degree in real Economics? He was the only president in recent times to understand the subject. You have to go back to Coolidge and Harding for others. It is a dull subject. Dynamic people, and politicians tend to be dynamic people, don’t have time for boring stuff like that.
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