Let’s Fix the Problem, America! Part I
This post was inspired by a comment on my previous post, Land of the Freebies, made by Heather of Ultimate Outcasts. Heather and I do not see eye to eye on many political issues but we are able to maintain a respectful, open discourse, and sometimes, we even find agreement. On parenting issues, we often agree.
I do not like to read extremely long posts (okay, I’ve admitted it). I think many of my readers feel the same so I have broken Let’s Fix the Problem, America! into two parts.
Part I
We cannot place the full blame of America’s ills on corporate America. Capitalism, entrepreneurship and the freedom to pursue those entities are what has made this country the most prosperous in the world. The poorest among us still have a better lifestyle than the majority in many countries.
No one is balking at paying taxes for necessary government services. What are unsustainable are a federal government that spends more than it takes in, year after year, an ever-decreasing number of taxpayers paying into the system, and an ever-increasing number of Americans taking from the system. We will hit bottom soon if these trends are not reversed.
Instead of addressing the need for more job creation in the private sector, President Obama now wants to raise the tax burden on “wealthy” Americans–the same Americans that are responsible for job creation. If the tax ceiling is raised to 40% on those making over $250,000 per year, the federal government will realize an additional $83 Billion in annual tax revenue. That sounds like a lot of money but not when you consider that our government spends that much money every four days. And the additional burden will further hamper the small business owner from creating more jobs and decrease the spending power of those so-called “wealthy” individuals, thus doing much more harm to our economy.
The solution is, and has historically been, not raising taxes, but decreasing spending. Our government is bloated with non-essential spending, much of it created by non-essential regulation, and frankly, much of it related to unconstitutional laws.
Of course lower wages benefit employers. But when the unemployment rate is low, the competition becomes NOT for jobs–as it is today–but for employees. Thus, when the economy is doing well, companies must compete for the best employees with higher wages and better benefits and incentives.
Today, the looming threat of higher taxes, new, burdensome healthcare mandates, the implementation and maintenance of new stifling regulations (Frank-Dodd on the banking industry, for example, new, stricter environmental regulations, such as the endangered species act and the cultural resources act, etc.) tie up millions of dollars and have hog-tied companies’ plans for expansion and growth. When you factor in that consumer spending is down because consumer confidence is low and unemployment is high you have an economy that is in a quagmire.
…to be continued.
Let’s Fix the Problem, America! Part II
Looking forward to part 2.
As am I.
Well, decided not to wait. Part II is up.
Be along, right quick
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Reblogged this on Boudica BPI Weblog.
“In politics, stupidity is not a handicap.”
― Napoleon Bonaparte
An appropriate epitaph, I suggest, for the Democratic Party.
That’s because for the electorate, stupidity is not a disqualification.