Romney Make a Case Against Trickle Down Economics

Romney Make a Case Against Trickle Down Economics - and for increasing taxes on Rich Americans whether they are executive wage earners, investors, or business owners.


There was much talk today in the media about Mitt Romney's Tax Filings.

I don't believe Americans are good at analysis in our bipartisan political system. Determined Democrats and Republican can be moved from their views. Many entrenched Americans jump into offensive and defensive positions when they meet a new or different idea.

How long have we been told by Republicans that the rich in the USA create jobs when the tax rates are low. There is little evidence that the rich create job or that we are dependent on rich people for our economy. We know much of our tax history show tremendous growth in the economy during times when taxes were as much as 90% for the top tier.

The Rich in America consider many things in protecting their wealth:

1) Risk: we want low risk if we are rich.
2) Invest as a bond holder or share holder to reduce risk.
3) Invest in the Best kinds of industries, businesses, and look for "Blue Chip" type corporations
4) Opening a Business or starting a corporation is very risky, involves loans, involves putting up capital, and dealing with overhead expenses.
5) Business's goal is to maximize profits and revenues, and reduce overhead such as employees (reduce employees not provide jobs to the public).
6) Automate as much as possible to reduce employee overhead.
7) Use outside resources for accounting, legal, and other so that we don't' have to pay overhead for their taxes, health care, retirement, and other benefits.

The Truth:

If I get rich I will not put my money into a business since I don't have the personality, am risk averse, and I don't have a network of business connections. I haven't made much in dividend income, am in a lower tax bracket, and don't really like paying even the 15% on my dividends over the last 3 years. Many Americans seem to think 24% is a good tax rate for dividend income and for rich people in general as per Gallup polls (NPR Radio 23 Jan 2012).

There is at least another perspective here.

1) Instead of austerity (cutting benefits for those that lost jobs, don't have jobs, and now depend on social programs) we can raise taxes on the rich.
2) Let's encourage people to learn and get involved in financial management like buying stocks and bonds.
3) Let's increase the financial and Banking education of all people.
4) It is an illusion that all people can not learn about banking, finance, and investing in stocks and bonds.
5) It is an illusion that we are dependant on the rich in America. The truth is that certain men think they are better/smarter than the rest of us.
6) Men keep us down by controlling information - so we need to keep the Internet open to all and free for all to preserve liberty, freedom, transparency, democracy, and a fair banking-government system (BGS - Banking Government System).

Conclusion:

I don't believe rich Americans will leave the USA if taxes go up for the following reasons:

A) The best markets or at least very lucrative market for business and consumer goods lie in the USA.
B) Most Americans like to be around other Americans, and like the infrastructure or convenience of living, investing, and doing business in the USA.
C) The culture in other countries is different and most in the USA can not or will not adapt to living overseas outside of the USA.

Mitt Romney, Trickle Down Economics, Republicans, US Tax Policy, US Lobbying, Tax the Rich, Banking Government System, OWS