"And now that the legislators and do-gooders have so futilely inflicted so many systems upon society, may they finally end where they should have begun: May they reject all systems, and try liberty; for liberty is an acknowledgment of faith in God and His works." - Bastiat
"It is difficult to free fools from the chains they revere." - Voltaire
This is something that conservatives need to point out to dispel the class envy argument pushed by the left. The people that are really hurt by "taxing the rich" are the poor and middle class because the costs of goods and services will increase and/or wages will decrease.
Last edited by CaptLouAlbano; 12-05-2012 at 12:48 PM.
Figures I saw earlier today indicated that it only takes $140,000 a year to qualify as the Top Ten Percent. But the "rich" don't just get income from wages but from investments as well. They are also more able to take advantage of deductions and exemptions than those at lower incomes.
Freedom is a state of mind. Nobody can take that from you unless you let them.
Here's a practical example. When gas prices go up, for whatever reason, people keep doing the same base level of driving. Sure, some discretionary driving goes away, but in the end people still have to drive to work or take public transportation which also has to use some kind of fuel or energy. If the federal gasoline tax was raise you can bet your bottom dollar that would be passed on to the consumers.
9/11 Thermate experiments
Eze 22:25 There's a conspiracy of prophets within her....
"I am so %^&*^ sick of this cult of Ron Paul. The Paulites. What is with these %^&*^ people? Why are there so many of them?" YouTube rant by "TheAmazingAtheist"
"We as a country have lost faith and confidence in freedom." -- Ron Paul
You are correct. Higher taxes means higher gross prices, which means less profit for the seller (even with a "fair tax" for all transactions) and fewer goods for the buyer.
Whether the consumer or the producer has to transfer the actual tax to the government doesn't matter at all.
So, I have a choice to make. I can either make 15K less next year, or I can increase my rental prices to make up for the difference. Taxes are a cost, just like utilities and maintenance are costs. When costs go up, I can either eat the costs or raise my prices. I own 24 commercial units, 8 residential units and 6 vacation units that I rent out. If and when my taxes go up, I will sit down with my accountant and go over all the costs associated with my properties (maintenance, utilities, projected improvements, fees, taxes, etc) and I will make adjustments to the rental fees accordingly.
Now let's say hypothetically that if I raise rents in my apartment building, it prices me above the market, and I can no longer rent those properties out. What do I do? Well I can eat the loss, which would be silly. Or I can sell the building (which in this case I can get close to $1 million for the building) and put that million dollars into another property (or properties) where I can make the expected rate of return on my costs.
So at the end of the day, if the Bush tax cuts expire and my rates go up, I will still make the same amount of money at the end of the year. It doesn't effect me on bit at all. However, I am fundamentally opposed to this of course since I don't want to see rents go up for my tenants, nor do I wish to see the Federal gov't get more money to spend.
The only true player who 'passes taxes on' are the governments who force them on others. Everyone else pays them. 'Business X, Y and Z just pass on the taxes' is not true, the companies pay out of lost profits. Governments are notorious at claiming the bushiness will just pass them on...businesses and consumers get screwed by the same band of crooks.
If everyone just passes the taxes on, then why don't businesses just price their goods with taxes included just like any other cost in making thier product?
Come on and default already. I love it when bureaucrats and politicians look like the frauds that they are.
I want to tax the unjustly rich by taking away their mechanism for transferring their "riches" to themselves. Every other discussion about taxing the rich is the search for a plausible means to steal.
The discussion should be about being tax free just like the rich.
Its like a man stumbling upon a colony of lepers. The lepers seeing that he is not afflicted with their malady, in their hatred and envy, demand that this man be arrested and infected; "its only fair!" they scream. "Why should this man walk around completely healthy!".
The rich will always be rich, not matter what kind of system is in place. There is a reason for that. Those who are rich are, in large part, innovative and inventive. We desire to make money and we find ways that we are able to do so. I started with very little and built for myself a multi million dollar business that lasted until the day I decided to retire and sell off everything that I owned. In good times and in bad times, high taxes and low taxes, I always succeeded and always had expensive cars, 5 star vacations and plenty of money to burn. The reason was because I knew what it took to make money and I did it.