We didn’t have to wait until 2012 to see if tax cuts grew economies, Mister Laffer already showed us, when he was with former President Reagan that it didn’t work. If we look back to President Reagan and Mister Laffer’s grand experiment, we see that congress was obliged to raise taxes because the Laffer curve was a bust and did not reflect real world economic behavior. However when President Clinton came in and raised taxes modestly we did see economic growth chug along, only to be brought down once again, wiping an econoic surplus by President Bush simultaneously cutting taxes, funding two wars and passing Medicare Part D which to this day I don’t think is doing what the program was supposed to do. If I was someone from Kansas I would be mortified by the headlines; “State so Broke Forced to sell Sex Toys” I really don’t see the logic or the economic sense in cutting taxes at the high end of economic income. The economic growth that is generated by higher marginal tax rates on the wealthy is due to the incentive that the maginal rate has on pushing those wealthy people into diverting their wealth towards investments, businesses or anything that will grow that excess money rather than give it back to Uncle Sam. So while our coffers may not get filled in the treasury by that certain wealthy individual, the treasury coffers will be filled nevertheless, because that wealthy individual’s investment in our economy will grow something that may lead to new services, new manufacturing and thus new jobs that create new sources of income tax. It is a win win situation, one that also produces a virtual cycle. Moreover the fatter our treasury, the more that we can invest in our infrastructure, thus making a better, more efficient business environment for all of those companies looking to build and transport their products. Tax cuts are all about greed and power, the more money one gets, the more power one gets to effect policies that correspond to the wealthy and powerful classes wants and vision and that is what a vicious cycle looks like; it is not that hard to see that greed and power are two extremely powerful addictions and they are as harmful to society in general as all the other addicitions that we fight. That is why it is an absolute imperative that we get money out of our political system; we cannot fight all of that money and power if the deck is already stacked against us, we need to decontaminate Washington D.C and all of the State’s capitols of Big Money and get it back to political public financing, let ideas rule instead of the all mighty dollar.
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