The Rich and Taxes: A Debate

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radiojake
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Re: The Rich and Taxes: A Debate

Post by radiojake »

Phatscotty wrote:
radiojake wrote:
Phatscotty wrote: These people earned that money!


A fallacy perpetuated by those who were able to exploit the capitalist system to their benefit - Many people would have worked harder in their lives but returned lower salaries -


PFF? what?

earned is earned. of course A guy who doesnt even speak the native language and does manual work is not going to earn as much as Bill Gates, even though he works harder. What do you mean they didnt earn it? explain please. Did someone just give it to them or did it fall from the sky?

You sure have a curious way of breaking things down.


That's weird - I thought I deleted that post immediately afterwards.

I was trying to make a point about the illogical correlation between ludicrously high salaries and the verb 'earn' - but then I decided not to worry about it.
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Re: The Rich and Taxes: A Debate

Post by Phatscotty »

radiojake wrote:
Phatscotty wrote:
radiojake wrote:
Phatscotty wrote: These people earned that money!


A fallacy perpetuated by those who were able to exploit the capitalist system to their benefit - Many people would have worked harder in their lives but returned lower salaries -


PFF? what?

earned is earned. of course A guy who doesnt even speak the native language and does manual work is not going to earn as much as Bill Gates, even though he works harder. What do you mean they didnt earn it? explain please. Did someone just give it to them or did it fall from the sky?

You sure have a curious way of breaking things down.


That's weird - I thought I deleted that post immediately afterwards.

I was trying to make a point about the illogical correlation between ludicrously high salaries and the verb 'earn' - but then I decided not to worry about it.


you get what you are worth, or what you can negotiate for yourself. Or else, what the union promises.

it doesnt matter, it's none of your business how a rich person became rich. Who are you to judge?

Most people who have that much money own a company IE create/sustain jobs/benefits...Why do you want to hurt that tax generating multiplier? Why don't you see that that is the true genius of the system. Not only pay your own taxes, but to create an opportunity for another person to earn a living, as well as more taxes...

Gargantuan tax bases are created by these people. That is an attractive bargaining chip
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Re: The Rich and Taxes: A Debate

Post by alex951 »

Phatscotty how much money do you make in a year?
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Re: The Rich and Taxes: A Debate

Post by Phatscotty »

alex951 wrote:Phatscotty how much money do you make in a year?


Over 40 and below 50

What do I take home? maybe 28
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Re: The Rich and Taxes: A Debate

Post by tzor »

thegreekdog wrote:As I type this, I firmly believe that the professional service industry (accountants, lawyers, engineers, investment bankers) could do all of their work from their own homes. There is no need for 10 floors in a fancy high rise in NYC or anywhere else. I think once the 20-somethings and 30-somethings become 50-somethings and 60-somethings, we'll see "work from home" be the norm. Companies will move their offices to the suburbs and employees will be permitted to work from home every day they choose. I would say 80-90% of my clients aren't even in the city of Philadelphia, so I have to commute from my office to theirs every time we meet.


It is an interesting "theory" but there are still far too many cultural problems to allow full work from home programs to work. Many of these companies are literally tearing down the "walls" of their cubicles, using a half height cubilce system where you don't see the workers acting like gophers whenever something happens in the office. The reach out and touch them attitude is still common. Talking is still preferable to texting for a large number of managers.

In addition you have the inter-corporate synergy effect, the desire to be associated with like minded companies and near potential customers. This desire, like the desire of salmon to make, drives corporations "up river" against the current of cheaper rental properties in the suburbs towards the big city. There was a time when we literally had to fight for our office in Hauppauge when they wanted to literally cram all the developers into their rented skyscrapper on times square.

What you will see is this trend occuring in the smaller consulting company level industries due to the evolution of the "virtual office." You can now have a switchboard as good as one in a brick and mortar place that connects to your staff wherever they are. You haven't got back to the timeshared computer network (because you can't put a ajor database on your laptop) but I can see this happening again in the next decade. Once this happens you will start to see a bottom up transformation of the tech workplace.
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Re: The Rich and Taxes: A Debate

Post by tzor »

By the way, there is a fundamental problem with the Laffer curve; once you realize it everything starts to make more sense.

The actual curve is by its very nature, a differential equation. In other words it is not just a question of "raising taxes from X to Y" but "raising taxes from X to Y in taxing period z."

This can be shown by using the lobster pot example. If you drop a crustation into a pot of boiling water they will try to jump out; if you raise the water slowly over time to boiling they will never notice.

The amount of tax rate increase and decrease over time is also critical. Rates that are very low accumulated over time are not as obvious as rates slapped in your face. Conversely a sudden cut in taxes is soon forgotten while doing it in increments provides that little bit of happiness again and again. If the cuts are too small, they too can fall under the radar.

So as such the curve doesn't tell you how to get to happy land, because you have to figure out both the amount and the rate of the amount of tax to cut each period.

It does prove, however, that infinite taxes does not produce infinite happiness and that 100% taxes produces 0% revenues (eventually).
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Re: The Rich and Taxes: A Debate

Post by Baron Von PWN »

Phatscotty wrote:
Iliad wrote:
rockfist wrote:
Aradhus wrote:Roughly 70% of Americans wanted the bush tax cuts on the rich to expire. Roughly the same number wanted a public option. Unless you exert pressure on these guys, they'll never do what people want.


I doubt that is true in regards to the tax cuts or the public option, but if it is it is only because they were ill informed. People who support class warfare are low information voters.

People who use meaningless phrases that they have been taught like "class warfare" instead of analysing the situation are low information voters.


I find arid's statement highly unlikely. To single out a small part of the most successful people for punishment, when everyone else gets to keep their tax cuts, is very unfair. Given that those same people already pay a much higher rate and infinitely more total taxes than everyone else, it's even more harsh. Don't forget, these people get taxed again up to 50% when they die. LEAVE THEM AND THEIR FRUITS OF THEIR LABOR THE f*ck ALONE!

This Looter Class demand for more of other people's money makes me absolutely sick to my stomach. It's disgusting. These people earned that money!



If you are dating someone, and for every dollar your partner makes you make 100$. You and your partner go out to dinner, do you split it down the middle? I would suggest you probably wouldn't. I view Tax rates on the rich in a similar matter. Their wealth is so much greater it seems reasonable they should pick up a larger portion of the bill.
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Re: The Rich and Taxes: A Debate

Post by rockfist »

Baron Von PWN wrote:
Phatscotty wrote:
Iliad wrote:
rockfist wrote:
Aradhus wrote:Roughly 70% of Americans wanted the bush tax cuts on the rich to expire. Roughly the same number wanted a public option. Unless you exert pressure on these guys, they'll never do what people want.


I doubt that is true in regards to the tax cuts or the public option, but if it is it is only because they were ill informed. People who support class warfare are low information voters.

People who use meaningless phrases that they have been taught like "class warfare" instead of analysing the situation are low information voters.


I find arid's statement highly unlikely. To single out a small part of the most successful people for punishment, when everyone else gets to keep their tax cuts, is very unfair. Given that those same people already pay a much higher rate and infinitely more total taxes than everyone else, it's even more harsh. Don't forget, these people get taxed again up to 50% when they die. LEAVE THEM AND THEIR FRUITS OF THEIR LABOR THE f*ck ALONE!

This Looter Class demand for more of other people's money makes me absolutely sick to my stomach. It's disgusting. These people earned that money!



If you are dating someone, and for every dollar your partner makes you make 100$. You and your partner go out to dinner, do you split it down the middle? I would suggest you probably wouldn't. I view Tax rates on the rich in a similar matter. Their wealth is so much greater it seems reasonable they should pick up a larger portion of the bill.


You choose to date someone. You are compelled through threat of force to cough up your taxes. Its not even remotely the same thing.
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Re: The Rich and Taxes: A Debate

Post by Baron Von PWN »

rockfist wrote:
Baron Von PWN wrote:

If you are dating someone, and for every dollar your partner makes you make 100$. You and your partner go out to dinner, do you split it down the middle? I would suggest you probably wouldn't. I view Tax rates on the rich in a similar matter. Their wealth is so much greater it seems reasonable they should pick up a larger portion of the bill.


You choose to date someone. You are compelled through threat of force to cough up your taxes. Its not even remotely the same thing.


Why? either way there's a good chance you get fucked.

More seriously. Yes the state collects its taxes through the implied threat of force, but that isn't really what we are discussing here. What we are discussing is whether or not the rich should pay more taxes. My analogy is part of my reasoning as to why the rich should pay more(In general).

Society is basically a collection of relationships (the Social Contract). In a relationship people contribute to make sure the relationship continues harmoniously. At the moment what society needs to function harmoniously is cash and lots of it or there is going to be serious trouble. The wealthy are those most able to contribute to fixing the problem, they should therefore be at the forefront of fixing it.
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Re: The Rich and Taxes: A Debate

Post by Night Strike »

Baron Von PWN wrote:If you are dating someone, and for every dollar your partner makes you make 100$. You and your partner go out to dinner, do you split it down the middle? I would suggest you probably wouldn't. I view Tax rates on the rich in a similar matter. Their wealth is so much greater it seems reasonable they should pick up a larger portion of the bill.


As long as income taxes are a percentage rate instead of a flat value (say $5000), the rich will ALWAYS be paying a larger portion of the bill. Why do we have a tax system were not only do the rich pay more in dollar value, but then they also have to pay more on top of that to cover the higher rates? If we have a flat tax of 15% on all income, the person earning $50k would pay $7.5k while the person paying $500k would pay $75k. They're still picking up a much larger person of the bill. But no, our system makes it so the $500k person has to pay up to 40% of their income in taxes, which is $200k in taxes. That means they are paying a MUCH larger portion of the bill, which makes no rational since other than to redistribute wealth.
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Re: The Rich and Taxes: A Debate

Post by rockfist »

And seriously if you wanted to inspire people to work hard to get more income it would be a flat dollar amount per person. If you got to keep every dollar above a certain amount, you would work super hard. And its "fair" because its the same for everyone.
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Re: The Rich and Taxes: A Debate

Post by Baron Von PWN »

Night Strike wrote:
Baron Von PWN wrote:If you are dating someone, and for every dollar your partner makes you make 100$. You and your partner go out to dinner, do you split it down the middle? I would suggest you probably wouldn't. I view Tax rates on the rich in a similar matter. Their wealth is so much greater it seems reasonable they should pick up a larger portion of the bill.


As long as income taxes are a percentage rate instead of a flat value (say $5000), the rich will ALWAYS be paying a larger portion of the bill. Why do we have a tax system were not only do the rich pay more in dollar value, but then they also have to pay more on top of that to cover the higher rates? If we have a flat tax of 15% on all income, the person earning $50k would pay $7.5k while the person paying $500k would pay $75k. They're still picking up a much larger person of the bill. But no, our system makes it so the $500k person has to pay up to 40% of their income in taxes, which is $200k in taxes. That means they are paying a MUCH larger portion of the bill, which makes no rational since other than to redistribute wealth.


The person making 500,000 can better afford it. Even paying 40% of their wages in taxes they clear 300k. That 40% of their income has much lower real effect on their standard of living than the 15% on the person making 50k. That 300k$ they clear is 7 times what the guy paying 15% makes after taxes. I don't think the guy making 300k$ after taxes is going to be suffering all that much.

They should pay a higher portion of the bill they are far more capable of doing so. If you instituted a flat tax the rate on the poor and middle classes would have to be much higher, to make up for the loss revenue on the high income earners. This would be incredibly cruel, you would be shifting the burden of the State from the strongest onto the weakest.

However that 200K$ going to the State goes towards the benefits of all society; infrastructure, security, Science funding ect. Their taxes fund what creates the possibility for their wealth.
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Re: The Rich and Taxes: A Debate

Post by thegreekdog »

Baron Von PWN wrote:Their taxes fund what creates the possibility for their wealth.


Some would argue differently. I would argue that 40% of their wealth was not made possible by the federal government in most instances (but we're not basing tax rates on that). I would further argue that the rich are going to take care of themselves. For example, let's we have a partner making $800,000 a year. Let's say he currently has 5 employees. In Year 2, instead of paying 30% of his income to taxes, the partner pays 40%. Do you think he will (a) pay the taxes without complaint or (b) fire an employee so that he can increase his income which "covers" the taxes. It's almost always going to be (b).

I don't have a solution for this, but, well, I'm a believer in trickle down economics.
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Re: The Rich and Taxes: A Debate

Post by Aradhus »

Phatscotty wrote:
Iliad wrote:
rockfist wrote:
Aradhus wrote:Roughly 70% of Americans wanted the bush tax cuts on the rich to expire. Roughly the same number wanted a public option. Unless you exert pressure on these guys, they'll never do what people want.


I doubt that is true in regards to the tax cuts or the public option, but if it is it is only because they were ill informed. People who support class warfare are low information voters.

People who use meaningless phrases that they have been taught like "class warfare" instead of analysing the situation are low information voters.


I find arid's statement highly unlikely. To single out a small part of the most successful people for punishment, when everyone else gets to keep their tax cuts, is very unfair. Given that those same people already pay a much higher rate and infinitely more total taxes than everyone else, it's even more harsh. Don't forget, these people get taxed again up to 50% when they die. LEAVE THEM AND THEIR FRUITS OF THEIR LABOR THE f*ck ALONE!

This Looter Class demand for more of other people's money makes me absolutely sick to my stomach. It's disgusting. These people earned that money!


I missed this post, what statement of mine do you find highly unlikely? That roughly 70% wanted the bush tax cuts to expire on the wealthy and roughly the same wanted the public option? The public option popularity dropped after Republicans and their dishonest partisan ideologue supporters in the media started demagoguing that it was a government takeover of healthcare. That it shouldn't be called a public option, it should be called the government option, the government run plan, the government takeover etc. All intended to mislead the uninformed and play on peoples fears. It worked, popularity dropped, but was still favoured by the majority.

With The bush tax cuts:
According to the Gallup poll in November, 57% wanted the tax cuts on the wealthy to expire. With 9% undecided.
Pew polling in December found 58% of tax cuts on the wealthy to expire, with 7% undecided.
Bloomberg polling in December found 59% wanted tax cuts on the wealthy to expire. With 3% undecided.
A CBS poll found that 67% wanted tax cuts on the wealthy to expire, with 7% undecided. That CBS poll actually shows 52% of republicans even wanted the tax cuts for those earning over 250k to expire.


I can’t be bothered trying to find polls on the public option, but I know that the majority of polls that were not misleadingly framed resulted in a majority wanting it. On average I think it was closer to 60%. And I very rarely saw it fall below a majority, only when the poll questions were misleading.


Night Strike wrote:
Baron Von PWN wrote:If you are dating someone, and for every dollar your partner makes you make 100$. You and your partner go out to dinner, do you split it down the middle? I would suggest you probably wouldn't. I view Tax rates on the rich in a similar matter. Their wealth is so much greater it seems reasonable they should pick up a larger portion of the bill.


As long as income taxes are a percentage rate instead of a flat value (say $5000), the rich will ALWAYS be paying a larger portion of the bill. Why do we have a tax system were not only do the rich pay more in dollar value, but then they also have to pay more on top of that to cover the higher rates? If we have a flat tax of 15% on all income, the person earning $50k would pay $7.5k while the person paying $500k would pay $75k. They're still picking up a much larger person of the bill. But no, our system makes it so the $500k person has to pay up to 40% of their income in taxes, which is $200k in taxes. That means they are paying a MUCH larger portion of the bill, which makes no rational since other than to redistribute wealth.



The wealthy get more benefits of our society, they get more because of the many advantages they have, they should pay more as a result of that.

To people in general, if you’re not trying to piss me off, I prefer to be called Ara.

PScotty, TGD and others, the poor and lower middle class, spend all their money back into the economy, its has an multiplier effect. The more money they have the more it helps the economy. The less monsy they have, the less goods they can buy, the less products business sells, the more the economy suffers. A good economy is beneficial to all. The wealthy save their money. One of many good examples of this is how much wealth they have when they die. How can they be taxed on the estate tax when they’re dead. Their children, who did nothing to earn that money are taxed. If the argument is that we either don’t tax Paris Hilton a dime on her inheritance(because its somehow unfair..), or we tax her and use that revenue to improve the society that we live in. I vote for the latter, and I think a LOT of people would be on my side in this. There is no double taxation, it is a fruitless argument.

Under George W Bush, poverty rose dramatically
Under George HW Bush poverty rose
Under Ronald Reagan, poverty rose
Under Bill Clinton poverty dropped significantly

The median income for American families under Clinton rose 14%
The medain income for families under Geogre W Bush decreased 4.2%

Clinton created 21 million jobs, George W bush 3 million. That is a 7 times more successful economic policy.


The rich made record profits several years under the Bush administration. Big business is currently sitting on 2 trillion bucks. Yet median income fell, jobs were not created, and unemployment rose significantly.
Trickle down economics is a failed idea.

This is a long post, and there are lots of other things I want to include but I’m a little tired right now.

I just want to end on this: If the charge is that I want to steal from the rich(which is dishonest framing) to give to the poor. Then I stand guilty as charged. It is inarguable that it is an economically sound idea. Frankly I consider it somewhat noble to put your safety on the line to steal from the rich who are comfortable to give to the poor and most vulnerable of society.

In Summation: What of it?
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Re: The Rich and Taxes: A Debate

Post by thegreekdog »

Aradhus wrote:Under George W Bush, poverty rose dramatically
Under George HW Bush poverty rose
Under Ronald Reagan, poverty rose
Under Bill Clinton poverty dropped significantly

The median income for American families under Clinton rose 14%
The medain income for families under Geogre W Bush decreased 4.2%


First, as a caveat, I'm not suggesting that a president, a Congress, or tax cuts alone affect the economy. In fact, I'm pretty sure they don't (by themselves). So, I don't think the party of the sitting president is an indicator of how the economy will perform (or whether povery rises or falls or whether median income rises or falls). In fact, I'd be willing to bet that under President Obama poverty has risen dramatically and that median income has fallen dramatically.

In any event, the point of this post is to ask you under which of these presidents listed above were taxes raised or lowered? And on whom were they raised or lowered (rich, poor, corporate, personal)? I'll look around for that information in the meantime.
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Re: The Rich and Taxes: A Debate

Post by Baron Von PWN »

thegreekdog wrote:
Baron Von PWN wrote:Their taxes fund what creates the possibility for their wealth.


Some would argue differently. I would argue that 40% of their wealth was not made possible by the federal government in most instances (but we're not basing tax rates on that). I would further argue that the rich are going to take care of themselves. For example, let's we have a partner making $800,000 a year. Let's say he currently has 5 employees. In Year 2, instead of paying 30% of his income to taxes, the partner pays 40%. Do you think he will (a) pay the taxes without complaint or (b) fire an employee so that he can increase his income which "covers" the taxes. It's almost always going to be (b).

I don't have a solution for this, but, well, I'm a believer in trickle down economics.



This all depends on how big a role you think the government plays in shaping your society and the way it functions. If we had no government at all would the same senior partner have the same standard of living? I suspect not, government creates a secure environment for the basic stuff of economics to function.

What if he was operating under about half the size of government as it exists in the USA right now. He personaly would probably be much better off, but what about the rest of society? what would that do to median income? Drastically reduce the role of government and I suspect you would get something closer to the 1900's, ie. large majority low income.


Anyways i think government supports the rules which create the environment for the wealth and well being of society . Currently government has way too much debt, this is a threat to the system of rules which allows society to function. I think the benefits of raising Taxes to the highest earners will outweigh the negatives which inevitably occur as a result of taxes.
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Re: The Rich and Taxes: A Debate

Post by Aradhus »

thegreekdog wrote:
Aradhus wrote:Under George W Bush, poverty rose dramatically
Under George HW Bush poverty rose
Under Ronald Reagan, poverty rose
Under Bill Clinton poverty dropped significantly

The median income for American families under Clinton rose 14%
The medain income for families under Geogre W Bush decreased 4.2%


First, as a caveat, I'm not suggesting that a president, a Congress, or tax cuts alone affect the economy. In fact, I'm pretty sure they don't (by themselves). So, I don't think the party of the sitting president is an indicator of how the economy will perform (or whether povery rises or falls or whether median income rises or falls). In fact, I'd be willing to bet that under President Obama poverty has risen dramatically and that median income has fallen dramatically.

In any event, the point of this post is to ask you under which of these presidents listed above were taxes raised or lowered? And on whom were they raised or lowered (rich, poor, corporate, personal)? I'll look around for that information in the meantime.



Mate you just said trickle down economics works, how can you sqaure that with your caveat?

As for the taxes, I'd have to look that up too. But from memory I believe Clinton raised taxes, but cut the capital gains tax, and George H W Bush rasied taxes on the rich a couple of %.

Regardlesss, there are results, and there are trends, and Obama hasn't finished one full term, so its unfair to inculde him in the discussion, not to mention, come on, he entered into a very difficult economic situation.
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Re: The Rich and Taxes: A Debate

Post by thegreekdog »

Here are the histories of individiual income tax rates (from http://www.ntu.org).

http://www.ntu.org/tax-basics/history-o ... ual-1.html

During the Reagan presidency, Democratic Congress, 1980-1988:

- The poor paid taxes at a lower rate (from 14% to 11%).
- The rich paid taxes at a lower rate (from 70% in 1980 to 38.5% in 1987), but more people were included in the "rich" category.

During the Bush I presidency, Democratic Congress, 1988-1992:

- The poor paid taxes at a higher rate (from 11% to 15%), but with more people included in the "poor" category.
- The rich paid taxes at a higher rate (from 28% to 31%), and with more people included in the "rich" category.

During the Clinton presidency, sometimes Democratic, mostly Republican Congress, 1992-2000:

- The tax rate on the poor stayed flat (15%), but with more people included in the "poor" category (from $35,800 in 1992 to $43,850 in 2000).
- The rich paid taxes at a higher rate (from 31% in 1992 to 39.6% in 2000), but with less people included in the "rich" category (from $86,500 in 1992 to $288,350 in 2000).

During the Bush II presidency, 2000-2008:

- The tax rate on the poor went down (15% to 10%), but with less people included in the "poor" category (from $45,200 in 2001 to $16,050 in 2008).
- The rich paid taxes at a lower rate (39.6% to 35%) and with less people included in the "rich" category (from $288,350 to $357,700).
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Re: The Rich and Taxes: A Debate

Post by thegreekdog »

Baron Von PWN wrote:
thegreekdog wrote:
Baron Von PWN wrote:Their taxes fund what creates the possibility for their wealth.


Some would argue differently. I would argue that 40% of their wealth was not made possible by the federal government in most instances (but we're not basing tax rates on that). I would further argue that the rich are going to take care of themselves. For example, let's we have a partner making $800,000 a year. Let's say he currently has 5 employees. In Year 2, instead of paying 30% of his income to taxes, the partner pays 40%. Do you think he will (a) pay the taxes without complaint or (b) fire an employee so that he can increase his income which "covers" the taxes. It's almost always going to be (b).

I don't have a solution for this, but, well, I'm a believer in trickle down economics.



This all depends on how big a role you think the government plays in shaping your society and the way it functions. If we had no government at all would the same senior partner have the same standard of living? I suspect not, government creates a secure environment for the basic stuff of economics to function.

What if he was operating under about half the size of government as it exists in the USA right now. He personaly would probably be much better off, but what about the rest of society? what would that do to median income? Drastically reduce the role of government and I suspect you would get something closer to the 1900's, ie. large majority low income.


Anyways i think government supports the rules which create the environment for the wealth and well being of society . Currently government has way too much debt, this is a threat to the system of rules which allows society to function. I think the benefits of raising Taxes to the highest earners will outweigh the negatives which inevitably occur as a result of taxes.


I'm not suggesting that the government in no way affects the livelihood of the senior partner at a law firm. What I am suggesting is that many would argue, including the senior partner at the law firm, that an increase in taxation would hurt the senior partner, rather than help him/her. In fact, that brings us back to the question of how much responsibility should the government have.

I also don't agree at all that if we reduce the role of government we would get something closer to the 1900s. That suggests that the economic development of the United States from 1900 to 2010 was dependent upon the government.
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Re: The Rich and Taxes: A Debate

Post by thegreekdog »

Aradhus wrote:
thegreekdog wrote:
Aradhus wrote:Under George W Bush, poverty rose dramatically
Under George HW Bush poverty rose
Under Ronald Reagan, poverty rose
Under Bill Clinton poverty dropped significantly

The median income for American families under Clinton rose 14%
The medain income for families under Geogre W Bush decreased 4.2%


First, as a caveat, I'm not suggesting that a president, a Congress, or tax cuts alone affect the economy. In fact, I'm pretty sure they don't (by themselves). So, I don't think the party of the sitting president is an indicator of how the economy will perform (or whether povery rises or falls or whether median income rises or falls). In fact, I'd be willing to bet that under President Obama poverty has risen dramatically and that median income has fallen dramatically.

In any event, the point of this post is to ask you under which of these presidents listed above were taxes raised or lowered? And on whom were they raised or lowered (rich, poor, corporate, personal)? I'll look around for that information in the meantime.



Mate you just said trickle down economics works, how can you sqaure that with your caveat?

As for the taxes, I'd have to look that up too. But from memory I believe Clinton raised taxes, but cut the capital gains tax, and George H W Bush rasied taxes on the rich a couple of %.

Regardlesss, there are results, and there are trends, and Obama hasn't finished one full term, so its unfair to inculde him in the discussion, not to mention, come on, he entered into a very difficult economic situation.


I'm saying that taxes, presidents, and Congress don't, by themselves, affect the economy. Do they have an effect? Yes. Is it the only effect? No. Some would say that the dotcom boom positively affected the economy under President Clinton. Some would argue that the real estate bust negatively affected the economy under President Bush II. Finally, just read your last sentence to understand what I mean - some would say (you, for example) that President Obama's economy should not be judged on President Obama's actions alone; rather, other things should be taken into consideration.
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Aradhus
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Re: The Rich and Taxes: A Debate

Post by Aradhus »

thegreekdog wrote:Here are the histories of individiual income tax rates (from http://www.ntu.org).

http://www.ntu.org/tax-basics/history-o ... ual-1.html

During the Reagan presidency, Democratic Congress, 1980-1988:

- The poor paid taxes at a lower rate (from 14% to 11%).
- The rich paid taxes at a lower rate (from 70% in 1980 to 38.5% in 1987), but more people were included in the "rich" category.

During the Bush I presidency, Democratic Congress, 1988-1992:

- The poor paid taxes at a higher rate (from 11% to 15%), but with more people included in the "poor" category.
- The rich paid taxes at a higher rate (from 28% to 31%), and with more people included in the "rich" category.

During the Clinton presidency, sometimes Democratic, mostly Republican Congress, 1992-2000:

- The tax rate on the poor stayed flat (15%), but with more people included in the "poor" category (from $35,800 in 1992 to $43,850 in 2000).
- The rich paid taxes at a higher rate (from 31% in 1992 to 39.6% in 2000), but with less people included in the "rich" category (from $86,500 in 1992 to $288,350 in 2000).

During the Bush II presidency, 2000-2008:

- The tax rate on the poor went down (15% to 10%), but with less people included in the "poor" category (from $45,200 in 2001 to $16,050 in 2008).
- The rich paid taxes at a lower rate (39.6% to 35%) and with less people included in the "rich" category (from $288,350 to $357,700).


If they lower the tax rate for the top bracket, obviously more people will be in the top bracket, considered "rich". I don't quite get the poor thing, are you saying that people in 2001 earning 45200 or less were considered in poverty, and in 2002 people earning 12000 or less were considered in poverty?
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Aradhus
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Re: The Rich and Taxes: A Debate

Post by Aradhus »

thegreekdog wrote:
Aradhus wrote:
thegreekdog wrote:
Aradhus wrote:Under George W Bush, poverty rose dramatically
Under George HW Bush poverty rose
Under Ronald Reagan, poverty rose
Under Bill Clinton poverty dropped significantly

The median income for American families under Clinton rose 14%
The medain income for families under Geogre W Bush decreased 4.2%


First, as a caveat, I'm not suggesting that a president, a Congress, or tax cuts alone affect the economy. In fact, I'm pretty sure they don't (by themselves). So, I don't think the party of the sitting president is an indicator of how the economy will perform (or whether povery rises or falls or whether median income rises or falls). In fact, I'd be willing to bet that under President Obama poverty has risen dramatically and that median income has fallen dramatically.

In any event, the point of this post is to ask you under which of these presidents listed above were taxes raised or lowered? And on whom were they raised or lowered (rich, poor, corporate, personal)? I'll look around for that information in the meantime.



Mate you just said trickle down economics works, how can you sqaure that with your caveat?

As for the taxes, I'd have to look that up too. But from memory I believe Clinton raised taxes, but cut the capital gains tax, and George H W Bush rasied taxes on the rich a couple of %.

Regardlesss, there are results, and there are trends, and Obama hasn't finished one full term, so its unfair to inculde him in the discussion, not to mention, come on, he entered into a very difficult economic situation.


I'm saying that taxes, presidents, and Congress don't, by themselves, affect the economy. Do they have an effect? Yes. Is it the only effect? No. Some would say that the dotcom boom positively affected the economy under President Clinton. Some would argue that the real estate bust negatively affected the economy under President Bush II. Finally, just read your last sentence to understand what I mean - some would say (you, for example) that President Obama's economy should not be judged on President Obama's actions alone; rather, other things should be taken into consideration.


No what I'm saying is that Obama should be judged on what the economic situation and everything else is like after his presidency, like these other presidents are here. Also, if you take the Bush figures of 2007, before the bust, those figures are not something to boast about.
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Re: The Rich and Taxes: A Debate

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Aradhus wrote:No what I'm saying is that Obama should be judged on what the economic situation and everything else is like after his presidency, like these other presidents are here. Also, if you take the Bush figures of 2007, before the bust, those figures are not something to boast about.


Yes, and I don't think the president should be judged on the economic condition at all, unless something he has done has negatively or positively affected the economy. In other words, we can blame Bush II for the current economy, but I have yet to see any evidence that he is to blame and not others. Rather, I think he is partially to blame, as are the Democrats in Congress who kowtowed to banks and other lending institutions, and, mostly, the banks and lending institutions themselves. So maybe I'm different than others, but I'd never say "Obama is to blame" because he's not... if something goes wrong during his presidency, I doubt it's his fault alone.
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Re: The Rich and Taxes: A Debate

Post by Baron Von PWN »

thegreekdog wrote:
I'm not suggesting that the government in no way affects the livelihood of the senior partner at a law firm. What I am suggesting is that many would argue, including the senior partner at the law firm, that an increase in taxation would hurt the senior partner, rather than help him/her. In fact, that brings us back to the question of how much responsibility should the government have.

I also don't agree at all that if we reduce the role of government we would get something closer to the 1900s. That suggests that the economic development of the United States from 1900 to 2010 was dependent upon the government.


Yes it would harm the Senior partner, But any rate of taxation harms specific individuals. What I am arguing is that the benefit to society outweighs the harm rendered to individuals in the form of taxes. Would you agree this theoretical partner would be negatively affected by their government defaulting? perhaps more so than a tax rate of 40%.
Right now Government debt is too high, it is quite clear government has overspent and needs to change. To do that it must increase revenue and decrease expenses. Where should the Increased revenue come from? I would argue those most capable of paying it.

On the 1900s I was talking more about social structure rather than purely economic development. Reduce the moderating role of government and I think you would see a narrowing of the middle class and a steeper income pyramid.
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