Taxes and Power

        1% of the public pays 34% of all federal income taxes. 5% of the public pay 67% of all federal income taxes. 47% of the public pay no federal income taxes at all. The rest, middle and lower upper class pay the rest.
        It is claimed that the 1% of the public that pays the most income taxes controls anywhere from 60 to 90% of the money in this country.
I ask, if the group that earns the most doesn't control what they make or own who should? Of course the liberal answer always comes back that there should be a more even distribution of wealth. That's where the government comes in. They redistribute the wealth. But who, what person,  in government decides who gets what?
       There are two sides to every argument.
       I say, if 47% of the public does not pay any federal income taxes because they, presumably don't earn enough, then they should be incentivized by being asked to pay some token amount, perhaps 1% to 5%, amount in taxes. Imagine how that would go over in and election. This new incentive tax code might inspire them to reach the 35% tax level the very rich pay, and might even allow states to participate in the new found riches.

       So I say, tax the poor and let them rise up and become something.

       If Democrats keep espousing 'tax the rich' 'tax big business' and Republicans keep espousing tax breaks for those the pay taxes, who among the 47% are likely to vote Republican? All those that want something for nothing will vote Democrat because almost half of all the people in this country do not pay income taxes and they like it that way.
       If Democrats espouse free health care and Republicans say we can't afford it who are the poor going to vote for?
       The answers to all the above questions seem obvious to me but in a democratic society the majority rules, usually, and practical solutions to economic questions seldom get practical answers.
   
        Another subject, as Diritives, Reit's, Shorts, Longs, Puts and Calls are all traded on stock markets around the world they all generate profits and loses and are subject to taxes like any other manufactured product. Be it buggy whips, ipods or mortgage bundles, the world is a competitive place and in it are products and services that are bought and sold  at a ridiculous pace. Fifty years ago people would have had no idea of those products today. But they did know of the flawed governmental system we had then and what we have today is just as flawed. It's a system that tries to control wealth and those that earn it.

The Economy and Politics

The battle on Capitol Hill over the 2011 budget and rising debt continues with politics playing a key roll keeping the real issues as muddy as possible. No apparent solution resulting in something good for the general public seems in sight. Polls indicate by 51% that the Republicans don’t have a clue. Polls indicate that Obama’s approval rating is falling but only to slightly less than 50%.

Those figures baffle me. Explain to me why, when Congress and the White House last year were totally Democratic they didn’t vote and complete a budget for the year 2011, nor address a sky rocketing debt. Why has the Congress offered up Continuing Resolutions, totalling six to date to keep the government operating. Why has Obama and Democrats have stood by and watched us sink deeper in debt? The Democratic Congress did not offer any budget cuts until the new Republican majority in the House pressed for them. Since the new Republican House majority began January the last three of those six CR’s have all included cuts in the budget. And the Republicans don’t have a clue? Seems to me that no cuts would have occurred without the public making their feelings known in last fall’s elections by electing as many Republicans as they did.

The newly elected Republican state’s governors and legislatures have also tried to cut budgets and debt with huge resistance from rising health care costs, deeply entrenched unions, liberal institutions and unfunded pensions. The newly elected Republicans are doing their job and insisting that budgets must be smaller and reflect the governments income. How can Democrats ignore what’s right in front of them? Declining income and rising costs cannot be swept under the rug or by using the usual rhetoric of big business and the wealthy not paying enough taxes.

The New 2012 Budget

Paul Ryan’s proposed budget for 2012 contains many cuts, among them is a cut in the Corporate Tax Rate from 35% to 25% paid for by eliminating many federal subsidies and tax loopholes that allow big corporations from paying any tax at all.

I think that included in the new budget should be a two year, 0% tax rate moratorium on the current 35% corporate tax on specific off shore profits. These profits have been estimated to be about two and a half trillion dollars. These profits are sitting in off shore banks held by US Corporations that could be brought back into this country for job creation, investment and expansion here, instead of overseas. It seems a no brainer.

Some Political Rumblings.

On Libya…

Obama is: hedging, vacillating, and has a bumbling stumbling confusing policy. He is engaged militarily, but wants to duck and cover, let NATO run the show, save the endangered rebels but Gadaffi must go, or not. Believe it or not half of the country supports him and his disengaged, engagement. They don’t want us involved in another war. I can respect that but Libyan people are dying because of their nut-job leader and we are supposed to believe that American’s don’t care or just should stand by and watch?
Those that can stand by and watch are the same isolationist American’s that hated Roosevelt for getting us in the Second World War. They hate any President that gets us in any kind of conflict any where. We Americans get into conflicts because we don’t like bullies, not in school, or in running a country. Everybody agrees with that mindset, right? Wrong. Those that choose to tolerate bullies and stand on the sideline while innocents get beat up are using the NY City mindset of not being involved. “It’s not worth”, it is the feedback. Well BS. We can’t fight back against all the bullies of the world but we can choose when and where to make a stand.

On the First Anniversary of Obama Health Care.

Got a government health care plan? Go find a Doctor, or a specialist, or a test facility, good luck. Doctors and Hospitals by the thousands are abandoning treating senior citizens and those on a government assistance plans. Government mandated fee reimbursements are no longer cost effective for the treatment of patients with government insurance. The first thing medical facilities ask when you call for and appointment is the name of your insurance. Now that’s not new but now when you reply with some form of government plan, Medicare, Medicaid, etc. they say they are sorry they are NOT TAKING NEW PATIENTS. Is the next move that the government is going to force them too? Yes that is the plan. That the government has now claimed that thirty million new people will have insurance coverage that they did not have before is wonderful but reality says what good is the insurance when there are not enough doctors to service them or accept it or have fled the health care business entirely. Why are the best doctors in the world right here in America and not in Canada, or England or in Saudi Arabia?
Because the best chance for a decent living and to pay off their school loans is right here. For now.

On Japan,

The earthquake and tsunami were tragic enough but when six nuclear power plants almost went ‘nuclear’ we started rethinking the advisability of constructing more plants right here at home. Maybe that’s a good thing, to rethink how to build them safer. Maybe we need some new updated safety equipment on the ones’ already in operation. One problem per decade is one problem too many.
The immediate and long term after effects of the three tragedies will be felt world wide. Japan has assimilated itself directly into the fabric of the American way of life though it’s people, it’s manufacturing, its technology, and even the fool chain. They are as close to us as we are to each other.

On the 2012 election.

It’s early and it’s scary. I don’t see a serious GOP candidate the can beat Obama unless he’s a governor from New Jersey. The rest have baggage to heavy to overcome voter resistance. Someone with principals that independents can support like, Walker from Wisconsin or Christie from New Jersey. The old guard Republicans need to step aside and let the young winners step up.