Stay the Course!
Opine Needles has one message for the Republicans–STAY THE COURSE!
The November elections produced an exciting outcome. But the midterm vote only marks the beginning of what must be a sustained effort to wrestle back control of our destiny.
The democrats are bound and determined to post the following message after completion of their war on success in America–MISSION ACCOMPLISHED.
The current compromise (which extends the Bush tax cuts for 2 years, reduces business payroll tax deductions, and implements a 35% death tax rate on estate amounts in excess of $5,000,000– in return for a costly $56,000,000,000 13 month extension of unemployment benefits) is a temporary reprieve. Ironically, the deficit busting increase in unemployment benefits is a job retardant. (Why take a job that is “beneath” me when I can collect unemployment for another year?)
The President just fired his first re-election salvo. To not have done this deal was to sign his political death warrant. The lefties on the Keynesian social bandwagon of redistribution are furious. How dare the President abandon his plan to punish the wealthy?!
Sidebar–let’s make sure we all understand what the liberals mean when they say wealthy.
–They mean anyone who has worked hard and accomplished something.
–They are talking about people who have diligently and steadfastly pursued and caught a piece of the increasingly elusive American dream.
–They are talking about the people who have been successful enough to hire other people. Yes, successful people hire other people, and give them an opportunity to be successful.
The men and women on the left are horrified. How on earth will be reduce our deficit if we don’t tax the rich? Doesn’t it amaze you that these people are oblivious to the lessons one can learn from history?
If you like ancient history, I recommend a visit to the decline of the Roman Empire. After too many costly wars, and a slow, steady dilution of the founding principles of their republic, the Romans taxed their wealthy class into a state of irrelevance. The wealthy class was the producing class. The Roman empire without capital crumbled.
If you prefer a modern case study, you only need look at the UK in the 20th century. The UK was basically broke after WWI. It just didn’t admit that fact. They were still wrapped up in the false security blanket of empire. During the Battle of Britain, the harsh reality of economic destitution hit home. Enter John Maynard Keynes, who is clearly on our President’s short list of idols. While ostensibly developing a plan to finance Britain’s war debt, Keynes actually (and admittedly) promulgated a tax plan which would irrevocably redistribute wealth in the UK. By taxing the wealthy (with tax brackets of up to 90%) he forever crushed industrial output in the UK. His plan eliminated surplus capital by stealing from the rich, and giving to the poor.
To study the demise of ALL great civilizations is to witness common demoninators of decline…societies become self absorbed and narcissistic. Their currencies are inflated to a point where they no longer hold value. And sadly, inevitably, and inexorably, they tax their producing base into oblivion.
Am I ringing any bells here!?
The Republicans should line up behind the President’s bipartisan committee results. With Alan Simpson as the senior sage on the right, the recommendations finally and necessarily take on many sacred cows. Is it perfect? No, but nothing ever will be. We cannot expect perfection. We have to stem the tide of runaway deficits.
The work of Congress must be about reducing expenditures-eliminate the deficit through reduction in spending-and rationalizing the tax code- permanently lower taxes for:
–everyone who earns a wage,
–businesses,big and small, and
–capital appreciation and gains.
We need to tax and spend LESS. If we create an environment for capital formation, capital will be formed!
I know, it’s not rocket science. Unfortunately, we have a Senate and and White House controlled by people who do not get it. That’s why we must stay the course. There is still serious work to do.