The Democrats are planning to raise taxes on the “super wealthy” to pay for their free stuff. We are indebted now up to our necks S a result of the responses to the pandemic. ( national debt is pegged at $27 trillion). The free stuff the Dems are proposing will have to come from more taxes. Free college educations, free health care, free border passage for unvetted migrants from around the world , freedom to vote for anyone citizen or illegal interloper, support for the Green New Deal and etc. etc, etc.
They plan to collect all this additional revenue that is often calculated as about $2 trillion dollars by raising taxes on the “super wealthy”. The proposals generally floated around include a raise of 1 % on incomes of those making more than $600,000 annually. According to many tax specialists that rise in taxes would generate about $12 billion dollars annually. Pressed for more revenue they might go with a 2% rise and generate about 24 billion annually from the super wealthy. That is a far cry from the $2 trillion dollar price tag for the free stuff. Thus we expect they would have to go to other revenue raising schemes such as a wealth tax.
According to Senator Elizabeth Warren one of the most vocal proponent of the wealth tax such a draconian step would raise about $30 billion per year. Thus with the increased income tax and the wealth tax passed into law the Biden Harris government could net an additional $50 billion annually. Still that is no where near the price tag for the free stuff.
Let’s look at the numbers a little more closely. Presently ( prior to the Corona virus pandemic and its economic impact) we have a revenue stream of about $3 trillion dollars annually, but we spend closer to $4 trillion trillion. The Dems are proposing massive increases in spending to sweeten up their appeal at the polls, while they promise to raise taxes only on the ugly greedy super wealthy. It is clear that even with massive and damaging rises in taxes to the upper 1% of tax payers and super wealthy they can only increase the revenue by a measly $50 billion dollars annually.
Let’s be clear what that amount is. Suppose the revenue income was $3000 dollars per year ( rather than the $3 trillion dollars it is) and we spent $4000 dollars per year for a deficit of $1000 annually. The additional tax revenue from raising taxes on the wealthy alone would be a mere $50 dollars a year. A far cry from the $2000 dollar estimate ( in this analogy) that would be required to meet the needs of the Democrat spending spree.
Just when do you think they will get that money?
From all of you middle class tax payers! It is going to cost you all to dump Mr Trump and replace him with Mr Biden.
Attempting to actually implement their spending plans during the recover from the Corona virus pandemic would be catastrophic. We have already indebted our government attempting to counter the effects of the pandemic.
Expect a massive recession. Seniors on Medicare can expect to have to share their health providers with a massive new cadre of new illegal immigrant patients. Those who have company insurance will lose those benefits and have to accept Obamacare. Workers can expect many employers to cut pay or fire employees as a resu”t of their inability to afford to continue employment or hire new help at the new $15 dollars per hour wages. Expect massive unemployment. Expect massive increases in unemployment costs to government. Expect the dollar to fall in value. The investment class and the productive elements of the economy who have had to fork over large sums of cash and wealth to the government for redistribution will no longer have funds for expansion, new investments or for increasing need for employees. Expect layoffs. Many of these wealthy will find ways to avoid the wealth tax or leave the country ( as they did in France until the French decided to abandon the impractical counter productive idea)
The Democrat economic plans for the nation can be best described bs an incipient disaster entering the history books as the BIDEN HARRIS ECONOMIC DISASTER AND RESULTING DYSTOPIA OF 2021
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