Much of the noise in the MSM and social media (X) is leftist, attempting to call more than half the country “stupid”.
“How could you vote for a convicted felon?” ask many. Well, we’ve just seen that case evaporate. It should never have been brought. And as Justice Thomas said, …the Attorney General purported to appoint a private citizen as Special Counsel…
A private citizen is not allowed to bring a criminal case.
Then there was the story about how a company informed their employees that they would not be getting “Holiday Bonuses” because they were going to use their assets/profits to buy foreign made goods before the tariffs start. With the “you are so stupid you voted for this.”
The latest meltdown has been about Trump slapping a 25% tariff on Canada and Mexico. How this was going to drive up the price of gas, which will drive up the cost of everything.
Tariffs are the only tax you can avoid
The People pay for every tax. The government uses many methods to hide the taxes you pay.
Most people know that they pay income tax. This is pretty simple, take the amount of many you were paid for your labor and give a portion of it to the government, under threat of deadly force. People with guns will take you to jail if you don’t pay.
When I was living in Maryland, I sent about 37% of my income to the local, state, and federal government.
I was also sending 5% sales tax to the state for everything I purchased in state.
But that is just the beginning.
The state slaps a tax on fuel. This drives up the cost of transportation, which drives up the price of goods, which is a tax I’m paying.
When people talk about how greedy the oil companies are, consider that taxes make up 14% of the cost of a gallon of gas, while the profits are $0.10 to $0.20 per gallon. Or about 5%. Who is greedy?
Speaking of greedy, why is it considered greedy to want to keep the money I’ve earned?
When the left screams “Tax the Rich!” or they want to raise the taxes on the wealthy, they really mean they intend to tax you more.
If the cost of doing business goes up by 10%, then that cost will be passed on to the consumer.
If we were to tax the very wealth, the rich, at 100%, it wouldn’t fund our government’s spending addiction for a full year.
The left refuses to acknowledge that taxing corporations is actually taxing the people.
When they talk about the massive profits a corporation sees, most of that goes out to The People who hold stocks. Like those of us with any sort of retirement fund outside social security.
It reminds me of a mailing that a democrat sent out which showed how horrible Oil Companies were. They got over a billion dollars in a refund, proving they didn’t pay enough. And the average leftist buys into it.
You’re stupid, tariffs will raise your prices!
Well… Yes, they will, in the short run. They can also be used to good effect to modify purchasing behaviors and the policies of foreign countries.
Just a few days after Trump announced he was going to put a 25% tariff in place against Mexico, the Mexican President announced that they were going to be turning the latest migrant caravan back, before it reaches the Mexican boarder.
And don’t let the Democrats pull a Jimmy Carter. This is not happening because of Biden, it is happening because of the incoming administration.
If you maintain a static model, then our prices will go up. But the world is not static. It is dynamic.
Under a static model, a 100% tax will bring the most amount of money to the government. The truth is that a 100% tax means that people stop working, there is no reason to work if the government takes it all. People adjust the amount they earn to modify their tax liabilities.
As an example, today I can buy a piece of machinery, made in China, for $1000. The same piece of machinery, made in the USA, will cost me $1500. For a $500 difference, I might choose to buy the made in China version.
If there is a 25% tariff, then the China machine will cost $1250, or more. Now the cost difference is less, I can decide to buy the American production.
But that is still an increase in price. Yes.
What if the American machine was only $1200? If the China machine is $1250, it is a no-brainer to buy American.
There is another thing that happens, that is there is a reason to manufacture in America.
The Chinese government subsidizes a great deal of their products to capture market share.
While the leftists will scream about the evil corporation having a monopoly and driving competition out, they fail to see it from state actors. China uses these subsidies to drive competitors out of business. Sort of like the leftists complaining about Walmart forcing small, local, business to close.
If American manufacturing can have an honest chance of competing, there will be more product made in the United States. Having more product means that there will be more supply. More supply will drive prices down.
In the end, my prices might go up. On the other hand, eventually, it is good for the country.
Comments
7 responses to “Tax the Rich! Tax Corporations!”
Another important benefit; if more American companies are supplying demand, more jobs will be available for Americans.
Not a bad deal!
remember the “giant sucking sound”??
nafta let American companies move out of America.. passed by democrat president… klinton gifted a communist country our manufacturing base. and (like solar corporations clear cutting forests) liberals praise it. who is the “stupid one”?? politics fuk up every single thing.
Taxes and tariffs are only bad when a Republican wants to impose them.
And, I have a foolproof way of turning the leftist around on that front. Stop your employer from withholding taxes in every paycheck. The employees now have to submit estimated taxes monthly, or quarterly.
I bet a LOT of people will wake up and start questioning what their government (local, state, or Federal) are doing with the money they have to send every month. But, now… out of sight, is out of mind.
Finally, the interesting thing is when it comes to Trump imposing tariffs, suddenly the leftist understand economics. All prices will rise, it will harm the average person. But, raising the minimum wage? Not a peep.
As an immigrant from Europe, I have first hand exposure to the Value Added Tax (VAT), a type of tax inflicted on European countries by EU edict. It’s a bit like a sales tax but applied at each stage of production rather than only at the final sale. That, plus the rule that the amount of the VAT is NOT shown as a line item on purchase receipts, lets it hide in the general cost of goods and services. Politicians routinely increase the VAT rate, and then scream that “greedy companies” are increasing prices rather than allowing the people to realize what happened is a tax increase.
From time to time, US politicians propose introducing a VAT here, often with the pretense that some other tax would disappear if that is done. I don’t believe it would be a replacement rather than an addition, but either way the stealth nature of the VAT and its track record in high-tax Europe is sufficient reason for me to oppose every attempt to apply that scam here.
eons ago the state of maine pushed a state income tax…. commercial used to say- its ONLY 50 cents a week…..
once a “tax” is imposed it never goes away. it only gets fatter… in the late 60s I95 opened from augusta to kittery, toll road,”only until its paid for”… its still a toll road and it was paid for in 1975(I think)…all state gubmint does is think up more ways to suck money out of you and remove Freedom… and blame everyone else for the burden.
I don’t have a lot of time for Connecticut-s state government but they did the right thing in 1985 and removed tolls on I-95 so I briefly drove through empty toll booths before they demolished them.
If Democrats understood economics they wouldn’t be Democrats. Your lead image perfectly encapsulates that, since AOC was a well off kid from Riverdale who is now a petty millionaire in her own right, wearing a $20,000 gown to a fundraiser.
I was gratified when my daughter saw her first pay stub and spent an evening with her friends complaining about taxes. She may vote her wallet rather than her identity group.
In real world terms, Harbor Freight stuff is going to get expensive, Grado headphones are not and the thing that worries me most is bicycles, although the good stuff comes out of Taiwan rather than China