I continue to hear from people on here and from many in the media about how the Bush administration gave tax breaks to the rich and the poor people were left out in the cold so to speak and that that has led to our present economy. The rich have been greedy and that is the reason for our recession. Obamas plan is being touted as correctly these last horrible years and making our economy work again . But the facts don't support that argument at all.
Shares of Federal Tax Liabilities for All Households
http://www.taxpolicycenter.org/taxfacts/displayafact.cfm?Docid=558
Bottom line is that it is obvious that the tax burden for the past 20 years has been continually shifted to the upper end of the wage earners and away from the lower end to the point that the lowest income levels have a negative tax rate. In other words fewer people are paying into the coffers while more are takeing out.
Now look at the current state of the economy. The rhetoric coming from our Congressional and Executive leadership and what they say about the stimulus bill. Aren't they just accelerating the trends of the past under the disguise of "change"?
Now if you were a small business or even a larger one and after looking at the so called "stimulus" bill and see that it greatly expands social program spending while the House leaders say that tax cuts for businesses aren't necessary how would you react. Gov't is going to need more money, there are less people all the time paying in, and your sales are decreasing how will you react. Just as well let a few more employees go and try to preserve what you have left rather than investing in your business to try to make more and the CYCLE continues.
Recessions are a normal cycle in all economies. What will bring us out of this isn't a bunch of government handouts but the faith in the American business owners that the prospects of a future are good and they start investing in their business again. I will get off my soapbox now.
Shares of Federal Tax Liabilities for All Households
http://www.taxpolicycenter.org/taxfacts/displayafact.cfm?Docid=558
Bottom line is that it is obvious that the tax burden for the past 20 years has been continually shifted to the upper end of the wage earners and away from the lower end to the point that the lowest income levels have a negative tax rate. In other words fewer people are paying into the coffers while more are takeing out.
Now look at the current state of the economy. The rhetoric coming from our Congressional and Executive leadership and what they say about the stimulus bill. Aren't they just accelerating the trends of the past under the disguise of "change"?
Now if you were a small business or even a larger one and after looking at the so called "stimulus" bill and see that it greatly expands social program spending while the House leaders say that tax cuts for businesses aren't necessary how would you react. Gov't is going to need more money, there are less people all the time paying in, and your sales are decreasing how will you react. Just as well let a few more employees go and try to preserve what you have left rather than investing in your business to try to make more and the CYCLE continues.
Recessions are a normal cycle in all economies. What will bring us out of this isn't a bunch of government handouts but the faith in the American business owners that the prospects of a future are good and they start investing in their business again. I will get off my soapbox now.