23 Steps to Solving America's Crisis!

This is the best economic plan I've seen yet for America, and I wish some presidential candidates would adopt this platform: www.tabbarianreport.com... 23 great solutions!!

1. Replace the Federal Income Tax with a national consumption/sales tax: We should eliminate the federal income tax on Americans and replace it with a flat, national sales tax of 15-20%. This will allow Americans to keep more of their hard earned money while encouraging the proper re-balancing of the economy away from over-consumption and over-indebtedness toward paying down debt, saving, and investing; which will create more productivity. This national sales tax would also replace taxes like the gas tax, as we would be paying the national sales tax on gas rather than the gas tax.

2. End all government subsidies: We have to end the government subsides to big agribusiness, big oil, big alternative energy companies, etc. Subsidies distort the market, create less efficient firms, encourage companies to keep rolling out the same products instead of innovating to meet market price demands and expectations, and are an unnecessary burden on tax payers. The conservatives who say that ending subsidies amounts to a tax hike are truly incompetent. A subsidy is government intervention into the free market, whereas taxes are also intervention into the free market. Cutting taxes= less government intervention. Cutting subsidies=less government. The result is a freer market, more efficient industry, and money better spent.

3. Lower the federal corporate tax rate to a flat rate of 10%: Today, small and medium business are burdened with paying huge federal business taxes of 15-35%, depending on their size. If we lower this tax to a flat rate of 10%, they will have more money to pay off debts, invest, and create jobs. Small and medium business contribute to over 70% of the jobs in America. We cannot continue to burden them. Big corporations effectively pay 15-20% business tax, only the government does not receive a penny. That money is spent paying teams of lawyers, accountants, closing business in America, opening business overseas, paying off corrupt foreign officials, hiding their revenue, etc. If they didn't have to avoid paying the 35% corporate tax and only had to pay 10%, it would be easier and less costly for them to simply pay the tax and provide our government with revenue. Then, they could use the left over money they now have to invest more efficiently. Included in this reform, is the closing of all tax loopholes that corporations currently use.

4. End the Warfare State: Today America manages a global empire rather than a Republic. Our defense budget is nearly $700 billion on budget, with an additional $300 billion off budget. We spend $1 trillion a year running an empire. We have bases in countries like Germany that are entirely unnecessary. For the next five years, America should cap defense spending at $225 billion per year. For the five years after that, we should cap defense spending at $300 billion. China will spend around $120 billion this year on its defense budget. However, a top military superpower is not built in five or ten years. It takes decades to build the supreme military power of the world. It took America nearly 60 years to gain that status. Furthermore, invading countries to fight terrorism is a stupid, costly policy that makes everyone in the world hate America more. The special forces operation against Osama bin Laden was the right way to fight terrorism (It would've been more American to take him alive and put him on trial because that would've represented the victory of true American ideology against his). Doing good police work is the right way to fight terrorism. We should save our money and stop bombing innocent people, who are increasingly hating us. We must leave Afghanistan and Iraq. Why are American troops and contractors defending Chinese run copper mines in Afghanistan? It is an unbelievably stupid policy. Capping defense spending at the levels discussed will allow us to get our fiscal house in order, save our economy, and maintain our global military supremacy.

www.tabbarianreport.com...

1.
So make the poor people and middle class pay more, and the rich pay less. Yeah, that will fix our problems(sarcasm)

2.
Not quite sure on this issue, but i was under the impression that the subsidies went to small businesses in the fields you mention, not the big ones.

3. Big corporations don't actually pay that much. With all the loopholes, many wind up getting paid, not paying taxes.

4. Whoever wrote this, titled this paragraph with "End the Welfare State" and only talked about ending our military intervention over the globe. Two different topics.


Besides number four, the first 3 will only make us slaves to the corporations even more so than we already are.


This whole article looks like republican/corporate propaganda.

You have to read the whole thing carefully. America has a problem of overconsumption, so a national sales tax of 15% or 20% will solve that problem, while taking away the federal income tax. It's true that only 47% of Americans pay the federal income tax now, but that's simply not fair. This tax will increase tax collection and ensure all Americans are supporting their country. If you think about this, it's really a tax on China and others who we buy products from. It will help stop overconsuming and start up savings, production, and investment in America.

You don't just easily get govt. subsidies. There's a whole process to go through in order to get them. So big companies benefit from them much more than small farmers or businesses.Subsidies almost always make industries less efficient if history is any lessen. Republicans and neo cons like subsidies for big business. This plan takes it away.

READ WHAT HE WRITES ABOUT THE CORPORATE TAX. COMPANIES SPEND INEFFICIENTLY TO PAY LAWYERS, ACCOUNTANTS, MOVE BUSINESS OFFSHORE, BRIBE FOREIGN OFFICIALS, ETC....INSTEAD OF PAYING THE TAX. HE'S ESTIMATES THAT THIS IS EQUIVALENT TO PAYING A 15-20% TAX ONLY GOVT. DOESN'T GET ANY OF IT. SO IF YOU LOWER IT TO 10%, THEY WILL START PAYING IT INSTEAD OF AVOIDING IT AND USE THE REST OF THEIR CAPITAL MORE EFFICIENTLY. THE LOWEST BUSINESS TAX IS 15% FOR THE SMALLEST BUSINESSES. A FLAT RATE OF 10% WILL HELP LOWER THE BURDEN ON THEM AS WELL.

END THE WARFARE STATE? Did you even read this? He's talking about the defense budget. He talks about the welfare state later on.

THIS IS FAR FROM THE TRADITIONAL REPUBLICAN STANCE. READ IT MORE CAREFULLY BEFORE CRITICIZING: www.tabbarianreport.com...

reply to post by Ghost375

You have to read the whole thing carefully. America has a problem of overconsumption, so a national sales tax of 15% or 20% will solve that problem, while taking away the federal income tax. It's true that only 47% of Americans pay the federal income tax now, but that's simply not fair. This tax will increase tax collection and ensure all Americans are supporting their country. If you think about this, it's really a tax on China and others who we buy products from. It will help stop overconsuming and start up savings, production, and investment in America.

You don't just easily get govt. subsidies. There's a whole process to go through in order to get them. So big companies benefit from them much more than small farmers or businesses.Subsidies almost always make industries less efficient if history is any lessen. Republicans and neo cons like subsidies for big business. This plan takes it away.

READ WHAT HE WRITES ABOUT THE CORPORATE TAX. COMPANIES SPEND INEFFICIENTLY TO PAY LAWYERS, ACCOUNTANTS, MOVE BUSINESS OFFSHORE, BRIBE FOREIGN OFFICIALS, ETC....INSTEAD OF PAYING THE TAX. HE'S ESTIMATES THAT THIS IS EQUIVALENT TO PAYING A 15-20% TAX ONLY GOVT. DOESN'T GET ANY OF IT. SO IF YOU LOWER IT TO 10%, THEY WILL START PAYING IT INSTEAD OF AVOIDING IT AND USE THE REST OF THEIR CAPITAL MORE EFFICIENTLY. THE LOWEST BUSINESS TAX IS 15% FOR THE SMALLEST BUSINESSES. A FLAT RATE OF 10% WILL HELP LOWER THE BURDEN ON THEM AS WELL.

END THE WARFARE STATE? Did you even read this? He's talking about the defense budget. He talks about the welfare state later on.

THIS IS FAR FROM THE TRADITIONAL REPUBLICAN STANCE. READ IT MORE CAREFULLY BEFORE CRITICIZING: www.tabbarianreport.com...

If you read further down, there are major investments in infrastructure and education, along with environmental stuff. This is far from Republican/Corporate Propoganda if you actually just read all 23 steps in full!

I just read the whole thing. I honestly think that while probably not perfect I seen more intelligence in that one blog than during the debt ceiling debacle.

reply to post by Ghost375


Number four actually says WARfare state. Ending the welfare state was in the teens somewhere.

reply to post by Ghost375


The rich would pay more in a sales tax scenario. And if you did a VAT tax, businesses would also pay a larger share of the taxes (this system works well in Europe). A VAT would not eliminate the need for an income tax (at the rate we spend) but it would allow the income tax to be lowered to about 5-10%

However, since we are a Republic, taking one tax source is taking from another.. States mostly rely on sales taxes, the VAT system would have to allow a certain percentage to states/cities and then to the Federal Government. Over all, the amount taxed would probably increase for the average American ... but the rich would pay significantly more than what they do now. Of course... they would just go to Mexico to have the new gigyacht built...

reply to post by Rockpuck


The point is we need a national sales tax to replace the federal income tax. This may not bring in as much revenue, especially with the current state of the economy. However, when you put more money in people's pocket in this way, they will pay down debts, save, and consume (this raises revenues) or invest in the future. The point is we can't keep spending at current levels either way. If you cut spending, you can do away with the income tax and replace it effectively with a 15-20% national consumption tax.

If 1 in 6 Americans are living below the poverty line I say 1 in 6 government officials should too. Our leaders need to reflect the face of the nation. Here's my steps for solving our crisis.

1. Randomly chosen 1 out of every 6 officials will have their assets/benefits frozen for a minimum of 1 year receiving only minimum wage pay for their government job.

2. If necessary they would be required to go on food stamps, drive POS gas guzzling cars and live in public/cheap housing.

3. Receive health care through medicare/medicaid, except for veterans they could go through the VA. They can self pay for medical, pay their own insurance premiums or do without.

4. Their children would be required to attend local public schools.

5. If they want to better their situation a second minimum wage job would be allowed as long as their government duties aren't neglected. Since they're doing this anyway I don't think a second job would hurt them one bit. Or better yet they could jump through the same hoops as the rest of us and start their own small business.

It would be an interesting experiment in light of the fact that everything they're doing is enriching them and their corporate constituents. I just think there needs to be a more level playing field before we see any real change for the ever increasing numbers of working-poor Americans. I guess it all depends on which side of the crisis you're on. It seems a bit more "in your face" over here on our side of things.

reply to post by Morningglory


I'm all for equality of opportunity, but against equalizing outcomes, and that's why this "Tabbarian Platform" is great because of massive investments in education and infrastructure, which helps level the playing field in the long run. Frankly, I understand where you're coming from. I think the plan listed on this website is pretty damn good though in terms of creating jobs, which is the best thing we can do for those 1/6 Americans. JFK said a job is the best type of welfare, and plus it adds to economic productivity and growth, unlike welfare. It's true that leaders are out of touch with the reality of not just the 46 million in poverty, but the bottom 98 or 99% of this country. This "Tabbarian Platform 2012" is great stuff in theory and it would work brilliantly if implemented, the question is, can you get the crony capitalist politicians to actually implement it, when the big banks, big pharma and health insurance, etc. would be against it?

reply to post by KevinBally

the question is, can you get the crony capitalist politicians to actually implement it, when the big banks, big pharma and health insurance, etc. would be against it?

Well you said it right there. Crony capitalist politicians represent big banks, big pharma and insurance companies not "we the people." Our leaders have thrown out the concept of public service in exchange for self-service, they have forgotten their place. This is why I say unless they feel our pain in a more personal way, change for us won't happen.

We're inadvertently giving them carte blanche via our votes. With no real candidates change will never happen. Even if a workable solution is agreed upon crony capitalists will find a way around it and continue business as usual. They're all lawyers they know how to work the system in their favor. TBH I feel it's a no win situation for the majority of us.

reply to post by Morningglory


Couldn't agree more.

You want to fix the US economic crisis. It's easier than 23 steps that I don't agree with. I've narrowed it down to 3 steps:

1. Place a Cap on Personal Wealth

Let's say 10 lifetimes worth of average income or 10 * 75yrs * $50k = $37.5mil. How much money do you really need to live a content life? We have to stop obscene wealth in the world - stop the hording and spread the wealth!

2. Place a Cap on Corporate Wealth

This cap is based on the number of employees the corp has. The more full-time employees the higher the cap. This can be considered the adding a fair share of civil responsibility onto corporations. This alone would eliminate unemployment across the country over night. Any wealth that goes above this limit get taxed 100%.

3. Permanently Fix Commodity Prices

This means buying eggs, milk and iron nails will cost the same in 150 years as they do today. Some of you may say that impossible due to supply and demand. Well it's simple, increase supply by hiring more people or developing better ways to produce - increase innovation. Hell go mine the moon if needed but don't change the price of copper. This would eliminate scarcity and ensure continued innovation and employment across the world forever. This would have to be government regulated to ensure demand is met by private corporation for their own benefit because it would increase their own profit. Again any wealth that goes above this limit get taxed 100%.

Optional but a 4th would be:

4. Get Rid of the Stock Market

Seriously. It's all based on "feelings" which has gotten downright silly and economically devastating.

reply to post by CantSay


I understand your feelings, but communism doesn't work and never will, unless the equation is changed from scarce resources to infinite resources, which may one day be possible with nanotech and the like. The problem is, if food prices are supposed to go higher, and you fix the price lower, farmers will simply stop producing. Store shelves will be empty. Food will not be available for any price, and if it is, the debts incurred would be devastating. All your solutions have been tried, and have failed. I feel your frustration, but please learn some history. The 23 point plan is 10x better than what you're recommending. I must respectfully disagree with you.

How about we replace the income tax with nothing! This plan will do nothing to fix the problem. The problem is government needs to be reduced to its proper place and the spending purse taken away. Until that happens NO PLAN WILL WORK! They will continue to over spend and monkey with the taxes to feed thier addiction to spending with no accountability.

Government does not need taxes for support it can sustain itself with investments. It only needs taxes to be able to borrow trillions of dollars it does not have to spend us into oblivion . A 15-20% sales tax along with corporate VAT would kill business and innovation faster then the current tax system. Consumers would vote with their wallets and not buy.

Forced taxation is theft. A society based on theft cannot stand as we now see for ourselves while circling the toilet bowl. It's time government earned its keep or go out of business like everyone else!

reply to post by hawkiye


There was no mention of any VAT, including a corporate VAT in that plan. Replacing the income tax with a flat 15% consumption tax helps rebalance our economy appropriately. People need to pay down debt, save, and invest rather than spend on consumer items that are just not necessary. Furthermore, with no income tax and nothing to replace it, how do you propose we get revenue? We'd have to drop social security, medicare, medicaid, and so many other things overnight! That would cause unimaginable civil unrest, violence, and a doomed economy. This 23 step plan is working in transitions, recognizing that you can't throw the people who've become so dependent on government out on the street overnight. You need a transition period, which has been endorsed by Ron Paul. As far as I can see this guy's plan is about 70% Libertarian in all reality, but it's liberal in that he wants to invest massively in education, infrastructure, and R&D while transitioning out of the welfare state, cutting defense spending in more than half, ending most regulations and taxes, etc.....But to rebuild America's infrastructure and educational system takes revenue, and with no income tax and nothing to replace it, like the consumption tax mentioned in his program, would leave the U.S. government with only a few hundred billion dollars/year. That kind of immediate shock to the system would be devastating. So from an ideological standpoint, I'm with you; but pragmatically speaking I'm with this guy's 23 point plan until we get to the point where libertarian ideology can meet reality without causing a total disaster, which would ensure that nobody votes for a libertarian minded candidate again. This plan will work, maybe not 100% ideally, but it will work and you can get a lot of independents to agree with this plan as well.