Do Americans want the tax rate to go to 75%? That is what an Obama second term will bring when he’s “more flexible” and can move us “forward.”
A 75% tax rate is what we can expect if Obama’s 1% war is successful. When the OWS, Obama’s campaign workers, assail the 1%, that is what they are applauding – the Socialist vision of equalizing wealth.
France’s Socialist candidate for President, Mr. Hollande, wants a 75% tax rate which of course does not take in all the other taxes and expenses the successful have to pay. The rich will end up fleeing the country for a country that has a lower tax rate.
When the OWS talk about a French revolution, killing the rich and bringing back the guillotines, they are picking up on Obama’s policies of class warfare, a dangerous and divisive approach.
We mirror France in many ways. They haven’t balanced their books since 1974. We did once under Clinton. Public spending in France is at 56% of GDP. We have topped 100% of GDP. The banks are undercapitalized in France and we print money to bail ours out. Their unemployment has not fallen below 7% in 30 years and ours hasn’t fallen below 8% in 3 years. Both the United States and France are sluggish and unreformed.
Sarkozy has not delivered on reforms but when one looks at the socialist heir-apparent, Hollande’s platform, one has to wonder how it could possibly succeed –
Mr Hollande promises to expand the state, creating 60,000 teaching posts, partially roll back Mr Sarkozy’s rise in the pension age from 60 to 62, and squeeze the rich (whom he once cheerfully said he did not like), with a 75% top income-tax rate. [Economist]
As Spain slips into recession, Britain skates on the edge of one, and Greeks are facing a heightened suicide rate, when will the United States become serious? Can we learn from their example?
A collapse in Europe will affect us drastically. Sixty percent of our exports go to Europe. Could the United States enter a double-dip recession? Our growth is mixed and a jobless recovery is no recovery at all – whoever made up that term should rethink it. Our economy is so weak that we never really completely left the first recession.
President Obama in a second term will strip the rich of their wealth, do nothing about entitlement reform, and will add government jobs as “investments” as he has done for the last 3+ years.
Obama’s policies have been, up until now, hostile to business and wealth creation. He seems to be ignoring the fact that the rich are mobile and can take their business elsewhere.
Once that happens, he will look to the upper middle class and then the middle class for his Big Government. There is plenty of evidence that he and his Democratic Congressmen have already done just that. Obama has shown no signs of reforming or cutting. Even his pay-as-you-go doesn’t change the fact that he will run trillion dollar deficits or take it seriously because he hasn’t yet.
His other option is to pass a global tax which will damage or destroy U.S. international companies who pay taxes abroad.
Read here: Economist
Hat tip to TaterSalad