Reagan Cuts Taxes on Rich, Puts Them on Poor

Discussion in 'Politics' started by pal_of_poor, Aug 26, 2009.

  1. pal_of_poor
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    pal_of_poor VIP Member

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    When you are thinking about taxes, you shouldn't be thinking whether or not they will have to be raised. Of course they will, we owe now about four times the whole amount collected each year. And the amount we spend won't be smaller, not with two wars, and a crumbling infrastructure, and ten (to 19) percent unemployment.

    The question you need to ask yourself is, do you want people like Bill Gates, Warren Buffet, and the Rockefellers to pay it, or do you want to pay it?

    Cut from book below, the beginning of the trend of "supply-side" that has put us in this huge hole we are in now, downsizing, union detracting, immigration, and globalization, all conservative policies they refuse to even talk about on the "liberal media" these days. People like to blame Bush, but this stuff was started way back in the early eighties, and sadly, has been adopted by far too many democrats, along with nearly all republicans.
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    All of this tax-cutting frenzy took place when the government had not balanced its books since the sixties and was nearly $1 trillion in debt. In 1981 Washington borrowed $125 billion, better than one of every 10 dollars the government spent that year, by selling bonds and government IOUs in the securities markets.

    The champions of supply-side economics surrounding Reagan promised that lower tax rates would mean more investment and that, in turn, should always result in more economic growth, which in turn means growing tax revenues. Congress passed the biggest tax cut in history, but things didn't work out as promised, at least not in the short run.

    The 1982 federal budget deficit was more than double that of the year before. The next year it grew again, to $3543 billion, approaching triple the level when Reagan took office. Washington was borrowing almost one of every three dollars it spent. Unemployment hit 10 percent, an issue the Democrats seized on to attack Reagan's economic policies.

    The federal government's red-ink spending was so out of control, and so damaging to the rest of our economy, that one year after Reagan signed into law the biggest tax cut in history he had to accept a host of tax increases. Reagan would not openly acknowledge that these were tax increases and when he was finally forced to refer to them, when he signed them into law, he referred to them as "revenue enhancements." They could also have been called tax hikes on Joe Lunch pail to benefit the rich. The 1982 tax law did not raise income tax rates. Rather, there were increases in excise taxes, including a nickel-a-gallon increase on gasoline. Two decades later in the Heritage Foundation, a major promoter of the Reagan tax cuts in 1981, issued a report saying that excise taxes hit the poor hardest and ought to be scaled back.

    In 1983 though, public attention was diverted from the immediate fiscal crisis by reports out of Washington that Social Security was in trouble, deep trouble. The idea that upon their retirement, Social Security might not be around anymore worried many people. Letters and calls flooded the offices of politicians and the issue was in the news day after day.

    For the Reagan White House fears about Social Security's solvency diverted attention from the government's immediate solvency. It also turned attention away from Reagan's attitude toward the millions of people without jobs, summarized in his denigrating criticism of news reports on the subject: "Is it news that some fellow out in South Succotash someplace has just been laid off, that he should be interviewed nationwide?"

    Perfectly Legal: The Covert Campaign to Rig Our Tax System to Benefit the Super Rich--and Cheat Everybody Elsepp. 120-121

    The book goes on to talk about how during Reagan's years, with a Democratic Congress I might woefully add, that FICA taxes, more commonly known as Social Security Taxes were raised to pay for a problem that was partly caused by the huge unemployment rate during Reagan's years. The late Senator Moynihan referred to the S.S tax hike as "thievery" from the lower classes to pay for the huge tax cuts given to the rich, the political donor class.

    Good book, one which know-it-alls (but really know-nothings) like CFTR should think of reading.
     
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  2. Sinatra
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    Sinatra Senior Member

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    Not quite...

    Save America: Lower Taxes Now | Newsflavor

    Save America: Lower Taxes Now

    The United States is a nation greatly burdened by a prohibitive tax code that stifles prospective economic growth and endangers our future...

    Did you know that most of Europe is on a course to have lower income taxes on its citizens than people living in the United States? That is right - Europe, long the traditional bastion of socialized government, with all of the accompanying high tax rates, will be a less tax invasive environment than America...

    President Obama and the Democrat Congress would do well to remember two modern era presidents who understood well the power of sweeping tax cuts. Under both John Kennedy and Ronald Reagan, America reduced taxes significantly, and American prosperity resulted. Tax revenues were increased, as was job creation, and personal wealth. These were times of American prosperity and power, when the world looked to this nation as a shining example of freedom, and limitless possibility.

    America’s political leaders of today would do well to look to the past examples of Kennedy and Reagan as they contemplate the present in planning for our future. Free the American economy from its oppressive tax regime. Free the American people and allow them opportunity to succeed and prosper in an environment that once again values and rewards hard work.

    Save America - Lower Taxes Now.

    Save America: Lower Taxes Now | Newsflavor
     
  3. Mad Scientist
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    Mad Scientist Deplorable Gold Supporting Member Supporting Member

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    You left out "Smaller Government" and "Limited Government". I don't want those people to pay for anything.
    Dolts like you only think of never ending expansion of government and never work to make it smaller. And in your attempts to expand it you have to demonize those who will actually pay for it. Really stupid.

    Also, Reagan didn't implement tax cuts, Congress did. If you read the Constitution, you'll see the different branches of government of which the President (Executive) doesn't make or pass laws. Congress (Legislative) does that.

    Those were Democrat Tax Cuts.

    I don't know if it's in your little propaganda book or not but when the "Congressional Tax Cuts" were agreed to, Congress was supposed to reduce spending down the road to compensate for "Congressional Tax Cuts".

    It never happened. Who controlled Congress at that time?
     
  4. PLYMCO_PILGRIM
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    PLYMCO_PILGRIM Gold Member

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    Whoa man its 1985
     
  5. manu1959
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    manu1959 Left Coast Isolationist

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    pity clinton didn't do anything to alter the free trade policy.....maybe obama will close the borders and instutute trade protectionism unionize the entire american workforce and rasie taxes on everyone making more than 100k....
     
  6. pal_of_poor
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    pal_of_poor VIP Member

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    Europe has huge taxes comparatively, but we aren't the only ones who keep pursuing policies that hurt the majority, while helping only a slice of the top two percent richest.

    We've got an unofficial unemployment rate of about 19 percent, by the best estimates of economists. How much more does it have to hurt than that???

    Most of Europe also has Socialized health care, and they love it, and ridicule Americans for being so stupid as to not realize we should adopt it also. I might add, most conservatives in Europe are left of most Democrats here in 'mer'ca.
     
  7. PLYMCO_PILGRIM
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    PLYMCO_PILGRIM Gold Member

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  8. Oldandtired
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    Oldandtired BANNED

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    That is why I can not understand why the rich are being chastised.

    The rich pay for most of what this country runs on...including all of the entitlement programs for the less fianncially fortunate.

    Yet where is the gratitude? Instead, lets simply call them evil and greedy....and thank Obama for HIS help.

    What help...taking from me and giving to you...all the whiule saying that I am evil and greedy?

    Yeah...sure....now thats a good way to gain support.
     
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  9. PLYMCO_PILGRIM
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    PLYMCO_PILGRIM Gold Member

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    I agree and I dont even make over 50,000/year. I am the "Working Poor"
     
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  10. pal_of_poor
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    pal_of_poor VIP Member

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    I keep saying this, but we all pay a lot of taxes. The federal tax is just one of them. Most of us pay far less federal tax, and the rich pay more. As a percentage of income, when you add up ALL taxes, we already have a flat tax system, where the lower and upper income quintiles pay roughly the same, 19, and 18 percent.

    Europe has a VAT, I believe, a value added tax, which is like a sales tax. I believe it's nearly 20 percent, though I'm not sure. Imagine that, on top of your local and state sales taxes. Here that would come to 30 cents, on every dollar spent. Now I don't know about you, but if I pay $130 on $100 worth of groceries, that means I can't spend another $30, in an economy that is already weak. I happen to think that is a bad thing.

    I don't think the problem is that the rich don't have enough money. Trying to make this one tax more "fair" or equal if you like, and leaving all of the many other taxes we pay in place, is only going to finally get to a place where the poor, and middle class actually pay MORE in taxes overall than the rich. Let us leave them with at least one tax where they pay more, which is, in essence, an equalizer.

    Maldistribution of incomes into the hands of a few is our problem. A health care bill, like single-payer, would be one step that would free up some money to be spent elsewhere. Renegtiation of trade bills, and a stern look at the foolhardy idea of globalization, or anti-protectionism, is much needed. In an environment of 19 percent unemployment, should our government be continuing the policy of encouraging jobs to leave, and further driving down salaries, thus the spending power of Americans??
     

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