A 1-In-100 Blogger: The American Dream, simple Economics, and the Final Presidential Debate

Wednesday, October 15, 2008

The American Dream, simple Economics, and the Final Presidential Debate

In the words of John McCain, "Nobody likes taxes. Let's not raise anybody's taxes."

Obama and McCain sparred sharply over taxes, using the example of an Ohio man who's become known on the campaign trail as "Joe the Plumber." This is a person, I believe, who represents the average American, a hard-working individual who wants to create wealth for himself and by doing so, provide jobs to others allowing them to create personal wealth as well.

"Joe was trying to realize the American dream. ... We're going to take Joe's money, give it to Senator Obama and let him spread the wealth around," McCain said during the Debate Wednesday night. In other words, Obama wants to increase small business tax and move closer to socialism--wealth distribution--taking money from those who work hard to earn it and into the hands of people who, regardless of their 'need', didn't work a day of their life to earn Joe's money. Obama wants to take Joe's money and let Big-Government choose where to put it. To me, this doesn't seem right. In fact, it sounds like robbery: it's increasing taxes.

Regardless of the fact that raising taxes will ultimately cause an even further economic slowdown, there are a wide number of other issues this will cause. After a very short-term 'boost' of money the government may receive, the true effect of raising taxes will actually provide the government with less money. It doesn't take a genius to understand this either. If you increase the tax burden of small businesses, this creates less jobs while also restricting businesses from reinvesting their money into growth and innovation. There will be less money going to the government from a decrease in working taxpayers, and there will be less taxable profits going back into the business itself; thus, less money going to the government. Obviously this is a very simple explanation of the cause from increasing taxes, but it makes sense. At least, that is, if we're on the topic of economics it does.

Under Obama's wealth distribution plan, there are also those who will receive the money they didn't earn - creating a false sense of security for them, telling those people "it's OK to not work hard, forget about incentives, other people will do it for you." This brings forth a whole new set of issues that are already damaging the nation. It's called accountability.

I say we lower taxes, increase the incentive to work hard for your money, and allow 'Joe the Plumber' the opportunity to acheive the American Dream.

1 comment:

Ben said...

How do you plan on paying for anything the goverment borrows if Taxes are not raised? The two wars, the massive debt to pay off the banks, Homeland security and all the NEW programs the Republican administration has enacted? Do you think they will just magically be paid for? If so, I hate to be near you when you wake up and realize that the government doesn't pay off any debt, but rather has to take it from someones pocket. Might as well be the ones who make the most money. Or, would you rather they increased the taxes on those who barely make ends meet, causing even more poverty , unemployment, and debt?