So far, so good. Obama has gotten off to a flying start Actually i don't recall any president being more active in his first few weeks in office. He is actually following through on his campaign promises. How refreshing it is to see that! The jury is out on how well the stimulus package will work. But let's give it some time. He seems to have appointed an extremely competent and experienced cabinet. If he can lead the country out of the mess he inherited from two spend, borrow, and bomb Republican administrations he will go down in history as one of the most effective presidents in US history.
Yea its scary how fast people are giving into his wishes... like their hypnotized. No other president in recent times has been able to get something as substantial as the stimulus in their first 6 months... and he will probably get health care too...
In Canada we've had a consumption tax for a long time. Food and rent are exempt, so the poor don't end up paying much and they get a rebate on their income tax. A consumption tax discourages people from spending their money on imported junk and such. Our Prime Minister recently reduced it from 7% to 5% which I don't agree with. He was just looking for votes, he would know that such a move wouldn't help the economy. You want to encourage investment and savings, not spending. He should have reduced our income taxes instead, you don't want to discourage people from making an income.
Because the poor pay very little in sales taxes. The poor spend the vast majority of their income on rent, utilities, food, clothing and medicine. In most states with sales taxes none of those items are subject to sales taxes. It is the people with discretionary income that get hit with the full brunt of sales taxes on their purchases other than the basics of living. Whether it is an income tax or a sales tax or a consumption tax the people with money have to pay the bulk of the taxes. It is simply not possible for people with little money to pay the bulk of the taxes.
Another very progressive aspect to a consumption tax vs. an income tax is that billions will be raked in from the cash economy that is now under the radar. Both the wealthy AND those who cheat by dealing in cash and under-reporting will finally pay their fair share of the 1.7 million plus it costs us to kill one person in Iraq.
Based on the present state of our economy, Obama has no choice but raise taxes on the single class that remains capable of paying them - the wealthy. Clearly the lower and middle class are feeling the brunt of this economic downturn fighting just to out food on a table. the wealthy, they whine a lot and some even commit suicide out of disgrace at having to give up the club membership. Business taxes vs. tax breaks. My opinion is that we should maintain our tax breaks to businesses to bring in foreign companies but we should likewise penalize those companies that do not reduce top level compensation prior to going into layoffs. It seems that layoffs have become modus operandi for failed executive decisions and that places a burden on the overall economy. Finally, what Obama was handed just barely a month ago was a turd. He was handed a nation in economic collapse and a federal bailout commitment already in place. you don't like Obama's spending policies, blame Bush.
Hey Patchie... Don't let the "good" government brainwash you into thinking we need to raise taxes. As Reagan would say: The people aren't taxed too little, government spends too much. "Maintain our tax breaks to businesses to bring in foreign companies"? I got an idea. How about no taxes on businesses? Think this would encourage business and growth in the USA? Finally, yes Obama was handed a turd a month ago. But, if someone hands you a bag with a turd in it and then you add two or three more turds to the bag, don't you then have a complete bag of shit? Something smells here, huh?
Obviously with the debacle in Iraq and the bailout(s), taxes are going to have to be raised on someone. I say tax the estates. Those who inherit someone else's wealth did not earn it--why shouldn't they pay more for their unearned income? If the dead don't like it, they can vote Obama out (at least in Chicago they can).
But why is the Gummint more entitled to the efforts of someone before his family? That's how Liberals and Socialists think.