Monday, August 3, 2009

Is There Any Doubt Taxes for All Will Go Up?

The pick-pocket in chief.
Soak the Rich, Screw the Rest of Us

For those paying close attention to Barack Obama’s agenda and political philosophy, it was only a matter of time – it was never “if” taxes would go up, but when. Note this date, August 2, 2009 was the date that the administration tipped its hand with his top economic big shots including treasury Secretary and admitted tax fraud made it crystal clear it’s not a question of when taxes will be increased but how. He couldn’t have been much clearer on the issue than how he responded on ABC’s, This Week with George Stephanopoulos to the host asking the questions. Additionally, advisor, Larry Summers said basically the same during his appearance on CBS’s Face the Nation.

Having two officials deliver the same message on the same day, the administration leaves itself with little wiggle room to deny their intention. Can anyone take Obama’s denials a day later seriously? His top money guys were sent out to deliver the message, period.

Today, the economic news is troubling to the government showing the steepest drop in tax receipts since 1932 as the deficit continues to rise to now $1.8 TRILLION!!! The Associated Press’s economic team indicates receipts are down 22% from a year ago, unemployment, a downturn in economic activity, and possibly potential tax payers running for shelter in fear of rising taxes all contribute to this bad news. As Ronald Reagan’s and George W. Bush’s policies provided so dramatically, stimulate the economy by cutting the tax rate freeing up capital generating sources to crank up their profitability so by increasing the volume of their taxable income rather than grabbing it away from companies at the expense of their growth the economy benefits the most and government receipts go up.

How can tremendous tax increases not be inevitable when this administration and its allies on Capitol Hill, Democratic majorities in the house and senate, have committed to a vastly larger roll for government ballooning up virtually all functions of the Federal Government to the highest levels ever with this huge societal makeover spelled out in funding allocations in the huge omnibus spending bill, the so-called bail out measures, the allocation of troubled assets relief funds, bailouts of the auto industry with huge concession to labor unions, and the biggest measure of all currently under consideration, the complete government takeover and destruction of the nation’s current health care system in favor of a Euro-Socialistic approach.

Savvy political observers who watched Barack Obama emerge as a candidate from the earliest days knew this day was coming. Higher taxes are the inevitable consequence when left wing ideologues never having had significant private sector responsibilities seize power not being able to heed the knowledge and experience from those with more pragmatic, realistic expectations of the government.

Few paid attention to the kinds of influences who inhabited Barack Obama’s inner circle. There were plenty of left wing extremists, ideologically based activists, and radical elitists from academia. His main political constituencies were from Chicago corrupt machine politics, organized labor, and insidious activist groups like ACORN.

At the heart of the Obama political philosophy is that wealth is ill-begotten. For a person to amass individual wealth must be at the expense of others more deserving of retaining such finances. The government itself should be the arbiter of what constitutes sufficient income for individuals and all wealth in excess of that amount is essentially fair game for the government to redistribute as it assesses society’s needs for such funding. The neediest, of course, are those who are the most consistently supportive of the Obama machine and to whom the administration is beholden to for their support. Is it any wonder organized labor essentially has a card blache in having their political priorities actively supported both on Capitol Hill and in the White House?

A common failure among elected officials at all levels but most pronounced among left wing ideologues is the recognition that tax receipts are the people’s money not theirs to be spent frugally for the common good. The true believers in the nanny state, that they as the “progressive” leaders have a vision from which they know what’s good for society and it’s up to them to decide how much money it is legitimate for private citizens to retain, leads to the notion that the government can solve all problems and there should be government programs specifically designed to solve each and every one. Once that mindset takes hold, then those programs become the result of special interests groups lobbying the loudest for inclusion in the master plan. When the huge expenditures leading to out of sight trillions of dollars in debt are examined and citizens realize which programs are getting massive funding, we clearly see the rewards being allocated to the special interest groups that are in favor or to whom the administration and the democratic party is beholden. Labor unions, the environmental lobby, groups like ACORN, and select industries and finance concerns are in the driver’s seat.

Since 1994, the social activists sphere and the labor lobby has had limited success getting the goods from Washington, but with strong majorities in both houses and the most left wing President ever, an orgy of wild spending giving into their every agenda item and whim is running up a seemingly insurmountable tab. However, the attitude is these groups are entitled to such goodies, and we as members of society owe it to them.

In the Obama-nation, the national government rules supreme. For-profit private sector enterprises are viewed with contempt to be regulated into compliance where the government is empowered to regulate salaries, determine workplace conditions, impose more and more environmental and energy use regulations through “cap and trade,” and provide for overwhelming subjugation to union power. State and local governments are subservient to the Federal government beholden to administering as directed what the Federal government passes off to them to control. Using the power of the Federal purse and the strings attached to such allocations, state governments have no leeway to challenge Federal mandates over their ability to act in the state’s best interest.

Through taxing the rich, the concept is that those who have been rewarded for their accomplishments must be brought in line with the masses of society. This is an inherently dangerous strategy which promotes failure as the desire is to bring down the best to a common level rather than seeking to provide the means for the lowest levels to have the opportunity to rise up to higher levels. When innovation and success are not rewarded, how does the United States maintain its leadership in the world economy, science, engineering, medicine, and technology?

The government cannot come up with a master plan for innovation and creativity. The more the government limits others perusing such lofty goals through limiting their finances and providing stifling regulations from which they can operate, the less great new things will sport the American label.

Today, Obama insists somehow everyone got it all wrong yesterday; there will be no middle class tax hikes. If the public is dumb enough to believe that, then they’ll believe Maryland will soon realize windfall financial gains selling ocean front condos outside Hagerstown.

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