Yesterday the President met with union leaders and Bono on the fiscal cliff crisis. The sage advice on economic matters from Bono and union thugs was so important to the President, he had to meet with them prior to his meeting with Speaker Boehner this Friday. I believe President Obama is sending a clear message that, to his way of thinking, any fiscal cliff deal has to include more spending, not less. Expect the deal to provide the President's union supporters with a fresh supply of billions of taxpayer dollars, while expanding the federal government in the form of some new social program for the "poor". The question is whether or not Speaker Boehner and House Republicans will allow such a deal to come to fruition.
The idea that the Democrats want to raise the tax rates on the very segment of taxpayers that already shoulder the lion's share of the total tax burden, is discriminatory. According to the latest IRS data, the top 10% of wage earners pay a whopping 70% of the total Federal taxes collected in this country. And still the Democrats say the "rich" aren't paying their fair share, which is true, they are paying more than their fair share. Raising tax rates on only certain taxpayers, i.e. "the rich", in my opinion, is the poster child for discrimination. Discrimination is the treatment of an individual or group of individuals based solely on their membership in that group. Someone has attained, through their own hard work and meritorious behavior, an income that government determines to be too high. This individual is then singled out to have their tax rate increased, while the rest of the population sees no change in their rates. This is the very essence of discrimination, but it is Democrat-sanctioned discrimination, so it is entirely acceptable. You see, Democrats aren't opposed to discrimination, only the perceived discrimination that they think will garner them votes on election day and a reason to confiscate more taxpayer money for their pet projects.
It is ridiculous for the President and the rest of the Democrats to talk about raising revenue through higher tax rates on the rich. Even the most optimistic predictions from the administration itself, shows that taxing the wealthy at a higher rate will only generate 40 billion dollars a year in additional revenue. This amount is about 1% of the total budget, which illuminates the need for less spending, not more revenue. According to the government's own data, Federal tax revenue has recovered to pre-recession levels, but spending has expanded far beyond its former unsustainable highs. Which is illustrative of what Conservatives have been saying for years, that sending more money to Washington is like providing a crack addict with more crack.
John Boehner and the House Republicans need to stand firm on raising no one's tax rates, but rather reform the tax code to generate more revenue and cut spending in order to balance the budget. Both Republicans and Democrats know the economically sound course to take in order to achieve the stated goals. The road block to fiscal probity is the Democrats unstated agenda of union payoffs, expanding government and continuing the class warfare tactics that won Barrack Obama a second term.
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