More Proof That Higher Taxes on the Rich Will Not Raise Significant RevenuesBy Capitalist in Chief
On October 9, 2010, Harvard economics professor N. Gregory Mankiw wrote an article in the NY Times entitled “I Can Afford Higher Taxes. But They’ll Make Me Work Less.” In it, Mankiw describes how taxation is a considerable disincentive for him to take extra work upon himself (on top of his job as a professor) such as writing and speaking. And as you may know, tax revenues form work that’s not being done, amount to exactly zero dollars.
That article carries a prime example for one of the reasons why taxing the so called rich will never amount to a significant revenue boost to the government, let alone generate enough revenues for an expansive welfare state. And of course, there are many, many more reasons why taxing the “rich” does not work out as advertised.
Any politician (ahm Obama ahm) promising to expand the welfare state, while reducing the deficit, and doing it all at the expense of families making over $250,000 a year, should be laughed at, ridiculed, and driven out of town in shame for the fool that he is. Or rather, those who believe him should be laughed at, ridiculed, etc.
And in the mean time, while we’re discussing taxes on families earning $250,000 plus, this is the type of thing the truly wealthy (and liberal leaning) are doing with their money: The Tax Haven That’s Saving Google Billions
And yes, the U.S. Treasury’s share of money kept off shore because of high corporate taxation in the U.S. is exactly zero dollars.