So you are one of those people that believe if you steal money from the wealthy, they just pull their pockets open with their thumbs and allow you to help yourself?
It’s we little people that ultimately pay. If you take 70% of a wealthy persons money away, do you think they will give their employees a raise, not lay some off, keep the price of their products or services the same, continue to donate to charities?
Wealthy people are consumers just like blue collar workers. In fact per capital, they consume much more because they have the resources to do so.
As for hurting the economy, many things do that. Look at how much more your grocery bill is today before we started to burn up our food supply for ethanol. As a truck driver, I can testify to how much more we are paying for products because of expensive environmental mandates we have to pass on to our customers who produce the products we buy in the store. So I don’t believe that a consumption tax being only a few cents on a dollar is going to ruin or slow down our economy.
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Most consumer spending is done by the lower class and middle class. The Rich do their share, but its not impacted by tax increases or decreases on them typically. That's why you can raise the top federal rate on the rich, because it does not cause them to cut back on their consumer spending at the higher rates suggested.
The best macroeconomic policy when it comes to taxes is to maximize tax revenue coming into the treasury with the highest top federal tax rate possible without hurting the economy. Many Economist believe that rate is 70% for the top federal rate. Some think it may be 80%.
Tax rates in most other countries are higher than the United States. The United States ranks only 134th in the world in terms of taxes collected as a percentage of annual GDP.
This shows that the top federal tax rate can and should be raised on the rich. Doing so will help balance the budget, pay for a stronger defense, without damaging economic growth!
Its not about the individual or your definition of stealing etc. Its about what is best for the United States and the United States market. Its about what is best for the United States Standard of living and United States Security. I'll pick the United States every time over some rich individual who will still be absurdly rich and far better off than 99% of Americans when paying a 70% tax rate.
The Rich benefit to from a 70% tax rate, because their nations military will be better funded, the government will be better able to balance the budget and pay down debt, there will be more money for investments in technology, plus the poverty rate will be reduced, which in turn will reduce the crime rate.
