This is ridiculous.
The media has been obsessing about President Obama's plan to roll back the Bush tax cuts for the wealthiest Americans—from 35% to 39.6%—even asking if that makes him a socialist.1
But do you know what tax rate the wealthiest Americans paid on the top portion of their earnings at the end of Ronald Reagan's first term? 50%.
Under Richard Nixon? 70%. Under Dwight Eisenhower? 91%!
Shocking, right?
Yes, that is shocking. Who would want to pay those levels of taxes? Not me...and probably not the author of this propaganda-e-mail. What's the point? "Look how high these taxes were under republicans!" Why doesn't the author say, "Look at how high taxes were raised on the top earners in America during the New Deal?" Could it be that the author doesn't want to point out that the New Deal increased the length and depth of the Great Depression?
Also shocking is that the author of this e-mail "conveniently" forgot to mention that Reagan had lowered the top marginal tax rate from 70% to 50% during his first term...and that in 1986 (second term) Reagan lowered the top tax rate again to 28%. (Interestingly, tax revenues received from both groups increased after each tax-burden reduction).
And for all the whining about rolling back Bush's irresponsible tax cuts, the truth is that Obama's plan cuts taxes for 95% of working Americans. Further, it closes huge tax loopholes for oil companies, hedge funds and corporations that ship jobs overseas so that we can invest in the priorities that will get our economy back on track.2
There is nothing like pandering for support by creating "class-warfare" and helping the lower "classes" to stick it to the evil rich dude who blows his nose in $20 bills and goes running wearing a jogging suit made of 24k gold thread. Uhhh, aren't the 5% who are having to pay a higher burden of the taxes in America "working Americans" also? Oh, that's right, they are evil and obtained their fortunes through oppression and dishonesty...that's why it is just that the most righteous among us (Obama, Pelosi, et al.) tax the dirty rich and redistribute the wealth to the oppressed.
About those priorities that will get our economy back on track...are you talking about the Stimulus package that is really the Dems dream spending spree? Well, those aren't priorities...in real life we call those wishes...and in the real world those wishes that the Dems wrote into law are payed for by you, and me, and the next three generations. (Maybe the priorities spoken of are which level of our posterity will have the highest priority to pay off the debt we are incurring.)
We saw a great chart in The Washington Monthly3 that shows just how absurd Republican complaints about Obama's budget are. Check it out and pass it on:
They saw a great chart...so they reproduced a chart that looks somewhat like the original chart, but is doctored in such a way to fool the eye. Pay attention to how the MoveOn chart is "3D" and tilted so you are looking at it from a top-down angle. That vantage point makes the increase from the current tax level to the soon-to-be Obama tax level to be smaller than it actually is...and looks on the original chart. Who are these people trying to fool? Oh, wait, they are trying to fool their own supporters. Sounds like an organization I would want to join...NOT!!!
MoveOn Chart:
Original Chart:
Thanks for all you do.
–Daniel, Eli, Laura, Matt and the rest of the team
I'm surprised that the e-mail doesn't ask for MoveOn members to put sickle & hammer symbols on their cars and front doors.
Sources:
http://www.iht.com/articles/2009/03/08/america/barack.php
2. "Tax Cuts," The New York Times, February 26, 2009
http://www.nytimes.com/2009/02/27/washington/27web-tax.html
3. "Soaking the Rich (Redux)," The Washington Monthly, March 8, 2009
http://www.moveon.org/r?r=51234&id=15734-3783832-q1q6tQx&t=2
Want to support our work? We're entirely funded by our 5 million members—no corporate contributions, no big checks from CEOs. And our tiny staff ensures that small contributions go a long way. Chip in here. (This site brought to you by capitalism)
No corporate contributions, no big checks from CEOs...because they are the devil!! Possible reasons for this: You think they are evil and won't accept their financial assistance. Or, they see that your agenda is to demonize them and thus they wouldn't support the organization that attacks them.
What this doesn't factor in is the capital gains tax was 45% in the 1970's. Reagan cut the capital gains tax to 20%.
ReplyDeleteInventions such as the personal computer that were developed during the 1970' exploded during the 1980's. Radio Shack not IBM was the first to offer a personal computer in the 1977.
I am not saying that Reagan invented the internet or the PC. What I am saying is that high taxation limited capital formation of Venture capitalists (VC) which fueled the tech revolution of the 1980's and 1990's. In 1970 there were less than 30 VC's that had assets over 1 billion dollars. After the Reagan tax cuts there were 300 and 10 years later there were 3000.
The tech industry has the least regulations the least workplace restrictions. But it has the most innovative products and attracts the smartest people.
The fatal conceit of government spending. Is that we don't know what is going to work.