Dreary words and figures
Dick Morris does some numbers:
President Obama’s will become notable for his War on Prosperity. We’re speaking, of course, of Obama’s plans to hike income taxes on the most wealthy 2 or 3 percent of the nation. He’s not just raising the top rate to 39.6 percent; he’s also disallowing about one-third of top earner’s deductions, whether for state and local taxes, charitable contributions or mortgage interest. This is an effective hike in their taxes by an average of about 20 percent.
And soon the next shoe will drop — he’ll announce that he’s keeping yet another of his campaign promises: to apply the full payroll tax to all income over $250,000 a year. (Right now, the 15.3 percent Social Security tax only applies to the first $106,800 of income — you neither pay the tax on income above that, nor accumulate added benefit.) For many taxpayers in this bracket, this hike will raise their total taxes by about half. Finally, he’s declaring war on investors by raising the capital-gains-tax rate to 20 percent.
These increases are politically insignificant: The top 2 percent of the nation casts only about 4 percent of the votes, barely enough to attract the notice of even the most meticulous pollsters. But they have enormous economic significance. Those who earn more than $200,000 pay almost 60 percent of America’s income taxes and account for a third of its total disposable income…
Here is a president who would rather redistribute income than create wealth. He thinks it more important to grow government than to fight inflation….We have a president, in short, who will stand on his principles. Unfortunately, they’re bad ones.
Clever commentators who fancy themselves conservative and use big words like epistemological are having second thoughts about the second coming. ‘Bout time.
March 3rd, 2009 at 9:33 am
On the other hand, supposedly the Democrats are the party of the super rich and, to some extent, the rich. Why? Are upscale Democrats willing to accept higher taxes in exchange for lower social mobility and, accordingly, more stability for their privileged positions?
Brooks:
The thought that the experiment might be a political success is pretty scary too, as far as the country’s long-term future is concerned. And the Democrats seem no more fit to wield power than the Republicans were. The danger IMO is an ongoing process of societal breakdown: from a flawed but successful President (Clinton) to an unsuccessful one (Bush) to a worse one (Obama?) to an even worse one…
March 3rd, 2009 at 11:07 am
As Obama’s cabinet picks so clearly show, Democrats do NOT pay taxes. Democrats do not care what the tax rates are, they simply do not pay them, just as they do not contribute to charities (so who cares if Saint Obama takes away or reduces charity deductions?)
Obama is going after conservative, Republican high income earners – those EVIL conservatives who actually create jobs and wealth.
I think Obama, and his mindless cultist followers, may soon find out who John Galt is.
March 3rd, 2009 at 6:22 pm
The Visigoths are sacking Rome… The Dark Ages v2.0 may be inevitable before the 2010 mid-terms…
Dow 953.20 – the closing on 11/3/80 – the day before Reagan’s election… A target for those who have openly stated they wish to reverse the “injustices” of the Reagan Era…
March 4th, 2009 at 6:24 am
What percentage of all jobs in this country are in small businesses that pay income taxes at the personal rate? That’s a rhetorical question.
A lot of people who voted for this guy are going to find themselves unemployed. I wonder how many will be smart enough to figure out why. Or if they’ll take solace from the fact that the “evil rich” are now paying “their fair share.”