Tax cuts good for the economy.

From The Patriot Post

Tax cuts free capital for reinvestment, creating jobs and wealth.

The economics of tax cuts are really quite simple: Capital is freed for reinvestment in business. Thus, if a business owner is taxed at a lower rate, he has more money for expanding, hiring and buying more equipment and supplies. On the other hand, forced redistribution of business wealth achieves the exact opposite. To see this truism at work, one need look no further than Michigan, whose economy thrived under the tax-cutting policies of three-term Republican governor John Engler, but now ranks dead last in nearly every economic category under tax-happy Democrat Jennifer Granholm.

I have to agree whole-heartedly; the US began as a virtually taxless nation. Most government revenue came from tarrifs on trade and slight sales taxes.

Income tax was not formally instituted until the early 1900s (1916?) and it was used as wealth redistribution.

Tax the rich; give to the poor was the idea.

But little did the poor realize, if you're taxed, you have to work THAT much harder to make more money; thus it makes gaining wealth more difficult.

Now the tax is such a burden; one must wonder what usefulness there is in being taxed so much to fuel a giant useless bureaucracy?

I said once before, not sure to who:

Time, politics, disorder, none of these things will ruin an Empire; Bureaucracy is why Empires fall.

The British Empire; the Soviet Union, all fell because of their bureaucracies soaking all the wealth into a black hole of waste.

Well Tax cuts were the main selling point for the National party at the last election. Many of the middle - lower income earners were going to get an extra $6 in there hand a week this was in exchange for interest on student loans a in all likely hood a user pays health system.

Add to the fact that most of the right wing partys didnt support a raise in the min wage and the private health system isnt viable and all of a sudden the tax cuts wouldnt get us very far. I support the concept of user pays however I dont think the tax payer should have to pay for a service twice.

You have to raise the min wage , cut income tax and aboilsh the likes of GST and other taxs only then can you reduce hospital waiting lists e.t.c.


[edit on 18-3-2006 by xpert11]

[edit on 18-3-2006 by xpert11]

I completely disagree with the premise of 'wealth re-distribution'.

I do not think taxtation should be compulsory. Furthermore, I do not think the government should have a monopoly over any of the 'services' that we commonly pay taxes for.
It is, in essence, like a shoe store forcing you to pay for one pair of new shoes a month regardless of whether you want or need them. Of course, since the payment would be compulsory, you would have no control over the quality of what you are paying for.

As well, those who are in support of the raising of Minimum Wage for workers are also the ones who complain about homegrown corporations going overseas to get their workforce.
Kind of ironic, no? People demand that the government (an arbitrary body) endow them with a certain paycheck for basic necessities, and then whine when employers just decide not to employ them anymore.

Originally posted by Brittany
As well, those who are in support of the raising of Minimum Wage for workers are also the ones who complain about homegrown corporations going overseas to get their workforce.

Unless you belive in slave labour western countries cant match the wages that workers get paid in China.
So tell me why should people suffer just to keep a minorty known as big business happy ?
If peoples wages dont go up any tax cut is gobbled up by rising living costs.

Originally posted by xpert11

Originally posted by Brittany
As well, those who are in support of the raising of Minimum Wage for workers are also the ones who complain about homegrown corporations going overseas to get their workforce.

Unless you belive in slave labour western countries cant match the wages that workers get paid in China.
So tell me why should people suffer just to keep a minorty known as big business happy ?
If peoples wages dont go up any tax cut is gobbled up by rising living costs.

Why do you look at it that way?

Why don't you look at it this way:

"America cannot compete in cheap labor fields; so America must let those jobs go and create more technical more costly jobs that China cannot perform cheaply and thus..competitively."

Stratrf_Rus I dont live in America but this is an interesting debate.
What is your definition of costly ?
You have to have a system that allows your small - medium bussiness to propser. I think that small bussiness shouldnt have to pay any taxs in the first year or no tax at all .