Beruflich Dokumente
Kultur Dokumente
An Introduction
The Foundation for any economic policy begins with Tax Policy it is the most immediate connection between government objectives and individual impacts. Tax policy also tends to be the most controversial area of economic policy because lets face it taxes are not and never have been popular. Whats more, they never will be, regardless of ones political affiliation. The current Right/Left debate about tax policy has not changed over the past 40 years. There is no reason that the debate cant change there are alternatives that havent been explored yet.
Copyright 2011
Real Wages have been stagnant for nearly 30 years the cost of living for the American Middle Class has been rising but income has not kept up. At the same time, with large tax cuts to the wealthy, the Middle Class has become increasingly responsible for paying the governments bills. The actual tax burden has shifted dramatically from high income earners and corporations to middle income earners. Thats Not Fair
Copyright 2011
Fair is Smart
One of the main principles of Fair Economics is that the Fair policy is also the Smart policy. This applies to Fair Economics as well. Lets ask ourselves a question; If the vast majority of the American economy is driven by Middle Class spending and their real income is shrinking, what sense does it make to place the majority of the tax burden on them? The more money the government takes from the people who are actively spending in an economy, the less spending there is. In this situation, income taxes become an economic disincentive or de-stimulus. Any tax breaks given ought to be dedicated to policies that are 100% guaranteed to stimulate the economy.
Copyright 2011
If our economic focus becomes directed once again towards increasing jobs and increasing incomes, more and more people will once again be making enough to afford to pay income tax at the same they will grow the economy. This is both Fair and Smart
Copyright 2011
Taxes as Investments
We already have a long history of combining Taxation with personal Investment weve been doing it for more than 70 years with Social Security and more than 40 years with Medicare. Add to that the fact that a growing % of Americans have no other pension plan other than a 401k and the stock market has become increasingly volatile. There is no reason why Americans of all income brackets couldnt buy government bonds targeted to pay for either current budgets or existing debt. The bonds could guarantee a decent rate of return and would represent the safest investment possible for any American. This gives Americans a choice in what they want to fund.
Copyright 2011
Summary
1. Bottom Line shifting the tax burden from the wealthy to the Middle Class is not Fair, its not Smart and its definitely not sustainable. Such a policy guarantees both permanent deficit / debt growth and as well permanent economic decline. 2. We can fix this immediately by shifting the tax burden back to where it has always supposed to have been. 3. We can add extra revenue to make up for shortfalls by adding tax investments such as new bonds and tax disincentives such as the Jobs Export tax. 4. This if combined with an end to the concept of the Endless War can lead to balanced budgets and economic growth.
Copyright 2011
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