Originally Posted by
Dan Druff
The reason for the better-than-expected support of the 70% tax rate is that most of the US population is now too young to remember the general public opposition to such a high rate in the late '70s. Even people 50 years old today are likely too young to have been aware (or cared) about tax rates at that time.
Reagan won so soundly in 1980 largely because of a then-growing distrust and frustration with govenrment, taxes, inflation, and unsuccessful foreign policy.
Reagan first lowered the top rate from 70% to 50%, and then a few years later, dropped it from 50% to 28%.
There was general support for both of these moves.
Today, the left is using public concern over health care and increasing housing expenses to wage a class war against the super wealthy.
The basic premise is simple: Vilify a tiny percentage of the country, and use the basic human nature of jealousy and resentment to gain support.
That's why we're now seeing a new tactic -- a war not just on high income, but on wealth in general. Elizabeth Warren announced she wants a tax on existing wealth for the very rich. Sounds like double taxation to me.
On Facebook, I'm seeing a lot of rhetoric from my usual liberal "friends" stating that the country has a crisis of "hoarding money" by the super wealthy, which is funny when you think about it, because they're basically vilifying people for doing well and saving their money. Now apparently you're evil if you do that. If you make a fortune, you're expected to re-invest it and keep the money constantly at risk? I don't get it.
But it's a pretty effective tactic, as long as there's not a backlash at the time being against big government (which right now there isn't).
"Hey, you! Are you worried about expensive healthcare? Expensive housing? Expensive college? Well, guess what? We can solve all of that, if we just make the super wealthy pay a bit more. After all, they have more money than they'll ever need, but they're just sitting on it like a bunch of selfish kings and queens. We can't allow that anymore. It's time to start making these people pay their fair share, and allow the government to afford to help out good, hardworking Americans like you!"
Never mind whether this is fair, ethical, or will actually help the economy.
Mind you, the super-rich are already the ones responsible for a surprisingly high percentage of tax revenues in this country. When does a tax rate become too high?
If you support 70%, why not 80%? Why not 90%? Why not 99%? After all, they're super rich and can afford it, right?
In fact, why don't we just take all of their wealth beyond, say $5 million, and use it to fund health care and free college. Nothing wrong with that, right?