How else are we going to pay for all of the soon to be unemployed once employers start to let them go because they can't afford them anymore?
The most amusing thing to me, is how stupid our elected leaders are, or alternatively, how stupid they think we are. The Democrats need to punish the wealthy as some form of Calvinistic redemption, the economy and workers be damned. And Republicans seem to fear anytime someone calls them "racist, hater" or whatever is the term du jour to make them falter. When Obama wants to claim that busting the debt ceiling means that Granny won't get her Social Security check, and the soldiers won't be paid while serving in a war zone just to keep the wealthiest tax cuts, why don't the Republicans point out that the Democrats want to starve Granny just to keep money going to the National Endowment for the Arts, Planned Parenthood, whatever version ACORN is calling itself now, and subsidies for "green tech" that doesn't even come close to being efficient. We not only have a problem with spending, but we have no priorities when it comes to spending.
Someone please tell me the justifications for either the Department of Education or Energy, both of which have seen a continued slide in their benchmarks since their creation. How much worse off would we be without Pell Grants that encourage universities to keep price pressure higher and higher to the detriment of whoever has to take out a loan to go to school? Or how much money would we save if we quit giving ethanol subsidies and lifted the tariff on imported ethanol, or for that matter, just allowing for the expansion of energy development, even if it means coal or oil.
And the thing that ticks me off the most is the complexity of the tax code. How is it that GE managed to pay less taxes than I did? Oh, that's right, I can't afford to hire a lobbyist like they do, and oh yeah, I am not being nominated for Treasury Secretary, or Chairman of the House Tax Committee, yet those same people will demand that I pay more before they do.
The only solution is a complete rewrite of the tax code. I suggest a 10% Value Added Tax with a 15% income tax for all incomes over the national median. No deductions, (amazingly called "tax expenditures" in the Orwellian language of the Obama Administration) no shelters for investment or business development, nothing. Just a flat tax that would apply to everyone, no matter their station or if they are a corporation or not. Everyone over the median would pay the same and everyone who consumes will also pay the VAT, so we will all be involved in paying for the government we get, deserved or not. It would stand out like a sore thumb when the first politician decides to do the bidding of the person who bought him and pass through a tax break that wouldn't apply to everyone.
But by removing the deductions, we will increase the rate of unemployment as lobbyists, accountants and tax lawyers have to go find something else to do. But I am sure that as creative people they will finally find something of use to do.