Jeff Jacoby makes a lot of sense and provides a heap of background in "Obama's soak-the-rich mentality"
Governments delude themselves when they imagine they can easily raise all the money they want by soaking the rich. The rich always have other options. When taxes grow too onerous, high earners can adjust their economic behavior. Some move to Spain to play soccer for La Liga. Others, less glamorously, cut back on their investments, forgo new business opportunities, seek out tax havens, or work fewer hours. The impact is felt not only in lower-than-expected tax revenues, but in lower rates of growth and productivity and job creation. Jobs are disproportionately created by those who have money to invest. "You can’t have employment and despise employers," Massachusetts Senator Paul Tsongas used to say. "No goose, no golden eggs."Sound reasoning, I'd say. How about you guys?
Senate Democrats are revisiting proposals to raise taxes on high-income people to help pay for an overhaul of the health-care system.Feh.
2 comments:
It is strange that most liberals can't understand this concept. Kennedy and Kerry were/are both "soak-the-rich" believers while most of their assets have been moved offshore.
Hypocrisy comes so naturally to them.
Others, less glamorously, cut back on their investments, forgo new business opportunities, seek out tax havens, or work fewer hours.
Ah, our old friend "Going Galt™." The petulant plot point from a work of fiction. The same one that silly internet conservatives talk about as if it's real.
And still OTHER rich people (or ducks) stash their wealth in a gigantic vault. And instead of hiring or investing, they use it as a coin-filled swimming pool. IT COULD HAPPEN HERE!
The drawbacks to taxing the wealthy can be fairly pointed out, without dreaming moony dreams about the imaginary threats that animate phony economic fanfic.
Post a Comment