IT’S THE ECONOMY STUPID!
The famous words of then democratic candidate for President Bill Clinton in 1992. It was the economy then, the #1 priority and it is the economy now – today, the #1 priority in the great and critical American election 2020. NUMBER 1!
A little virus, not seen with the naked eye which came from Wuhan, China, whether deliberate or not, has sabotaged the economy of America and in fact the economies of so many of the worlds nations. Hundreds of millions of people have contracted this virus. Millions have died from it. And virtually every person in the entire world, some 7 billion human beings, fear the possibility of contracting Covid–19, the painful recovery and even the possibility of death. Many of the world’s and especially American businesses remain closed or out of business permanently. More than 13 million Americans were out of work, unemployed and on welfare, federal and state. The latest unemployment figures shockingly reveal that 10.5% of the viable American workforce is unemployed! So many more are laid off, furloughed, work with serious reductions in compensation and live day to day with the fear that their employment is so very tenuous and could end at any time. It is a tragic economic day and age for our great country. Some believe the worst is yet to come.
The next President of the United States who will handle this economic chaos will be either Donald Trump or Joe Biden. Trump is a businessman with at least some understanding of economics, money, employment, and business generally. Biden on the other hand has little or no economic – business experience. Either one elected will rely upon a team of advisors, secretaries, and agencies to handle the money, the real economy of WE THE PEOPLE. You must, my fellow Americans, YOU MUST understand the financial philosophies and the course of action each of these men and their respective Republican and Democrat parties will take when it comes to OUR MONEY – OUR ECONOMY! You must.
Many believe as I do that the Democrat party has LURCHED TO THE LEFT. The radical left. Biden and his fellow Democrats have told WE THE PEOPLE that if he is elected, he and his Democrat colleagues will TRANSFORM America. That means radical change. And it starts with the economy. As a result of Corona, our federal government has borrowed trillions, TRILLIONS of dollars, distributed them as a form of STIMULUS to workers and businesses, in an attempt to save some portion of our economy and GET IT GOING AGAIN. That borrowing will require payback. And, the only real means of payback which the federal government has is:
And lots more of them. Now come the typical Democrat public relations appeal to WE THE PEOPLE that the taxes will be generated almost entirely from the:
It is today as it always has been nothing more than a political lie, for new taxes on personal or Corporate incomes affect everyone, EVERYONE! The Democrats and Joe Biden claim that there may well be enough new taxes from the wealthy to pay America’s unbelievable debt. The truth of the matter is that the tax payments and the rates for those payments will increase for every American, everyone. They claim, the Democrats do, that they will spare the middle class. Not so, another political lie. Most Americans fit into the definition of middle class somewhere, whether high up or low down, but somewhere. Most Americans have personal property, homes, cars, retirement funds, perhaps stock holdings or investments in private businesses even if small. They, all of us, will be affected, and some severely by the new taxes proposed by Biden and the Democrats. Get ready for long term financial plans in the way you live, my fellow Americans, much more going to the government and much less for you and your family IF, and so many hope it is a big if, BIDEN AND THE DEMOCRATS ARE ELECTED. A vote for Joe Biden is a vote for massive and mammoth big taxes.
Biden and his party propose that the top marginal rate for personal income taxes be increased to almost 40%. And more to come, much more in the four years of his term if Democrats control both House and Senate of the federal government. Biden would repeal the $10,000 cap on the deduction for state and local taxes, giving a much bigger tax break to wealthy enclaves like San Francisco, New York, Los Angeles and the like. The uber wealthy can no longer deduct state and local taxes of any kind over $10,000 which has been unbelievably costly to the wealthy. But if you own a home somewhere, anywhere, no matter its value you can only deduct up to $10,000 as well. Many in the so called middle classes do not have $10,000 worth of deductions and consequently would receive no benefit from this provision. But the wealthy would, contrary to Democrat – Biden promises. More political hypocrisy.
The Democrat tax proposal would apply a 12.4% social security tax equally divided between workers and their employers. Such a tax now has a cap but under the Biden proposal, there is no cap so that the 6.2% social security tax you now pay would apply to any and all income you make.
So that, my fellow Americans, with Biden’s proposed top income rate at 40%, and with the federal social security tax, the marginal tax on labor would be higher than 50%. Factor in state income taxes such as California’s 13.3% top rate or New Jersey’s 10.75% top rate, and the marginal rate would be in excess of:
And more, an absolutely bizarre proposal from Oregon’s Democrat Senator Ron Wyden. He suggests that the federal government tax:
That is increase in worth and value of any property real or personal which you may own even before you would sell the asset. The government would use what is called a mark–to–market scheme whereby the assets you own would be evaluated each year and any increase in that value would be taxed as though the asset were sold. Unbelievable, don’t you think? You can surely count on the Democrats trying to get such a proposal passed into law if they are elected. Welcome to the new Biden tax–economy.
And Estates. When you or I die today, every asset we own would be valued at what is called a step–up basis. In short, what the asset is really worth in today’s market would be the valuation – price for estate – tax purposes and not what an owner would have paid for the asset years ago. Democrats would repeal the step–up basis at death and inheritance taxes would radically increase. And that is so without any adjustment for inflation. The Democrats have not indicated whether or not they would seek to increase the estate tax now at 40% but Bernie Sanders, the new advisor and voice behind the scenes of the Democrat Party has indicated that were he President (God forbid), the top right would be 77%! Goodbye Estate!
The Democrats would raise the Corporate income taxes to 28%. When state income taxes on corporations are added in, such as California’s almost 9% and Illinois almost 10%, the effective income tax rate for corporations would be some 40%. Many American corporations, which now headquarter and are taxed in America, would move their company headquarters overseas and keep their earnings out of the grasp of what they regard as confiscatory American Corporate taxing policies. Aware of that, the Democrats have proposed taxes on foreign earnings which would double in amount, increasing from 10% to some 21%. Our federal government, exercising its taxing greed would go after every dollar of income they could find to spend for their profligate purposes and to pay off trillions and trillions and trillions of dollars’ worth of debt. Get ready for financial socialism at the taxing level, my fellow Americans if Biden and his democratic ilk are elected.
In addition, the democratic tax proposes would include the granting of any number of CREDITS, tax credits for policies and entities which the Democrats favor. Biden would, as one economist stated “lard the IRS code with spending and subsidies for favored businesses and behavior.” Those policies would be determined by politics and not economics. Democrats know the power of taxation or not, and they will use it to benefit any who support their policies and their party.
The reality is that higher corporate taxes are inevitably paid by WE THE PEOPLE. The workers, the heart and soul of our economy would receive lower wages. Share holders would receive lower returns on their investments. When corporations and business entities are taxed, there is the trickle–down effect where the lowest wage earners are the ones who really pay. An increase tax on corporations or the wealthy would eventually be paid by the middle class or lower ONE WAY OR THE OTHER. The Tax Foundation has publicly stated that the tax proposals of Joe Biden would lower after tax incomes for every so called American class and especially for the middle class. You will never hear that from the Democrats, now will you.
And more. The AMERICAN ENTERPRISE INSTITUTE indicates that more than 20% of the higher corporate taxes proposed by Biden would fall on workers in the form of lower compensation. And understand this well, my fellow Americans, we the economically stupid as Bill Clinton would say:
“Some 25% of the new tax revenue beginning with the year 2021 would come from the bottom 99% of taxpayers!”
The bottom, not the top, not the wealthy but from WE THE PEOPLE! The real people, the common people most not even in the so called middle class. The more corporations and the wealthy are taxed, the more the workers, the common man pays. One way or the other, directly or indirectly. You and I pay no matter what.
So, economically my fellow Americans, you have a choice, a real choice. Biden and his Democrats will move our country left, slowly but eventually in four years, FAR LEFT. That will include a new economic order, a new ECONOMIC TRANSFORMATION! Some think even a mild form of communism like Bernie Sanders would propose, he the new Democrat party guru and advisor. Not only would Biden and his Democrats tax and tax again, but government would begin to control, regulate and intrude on every aspect of our lives, ending what we now know as privacy and running roughshod over the freedoms of our beloved constitution. In reality, I boldly state that the Democrats are anti capitalism. They refer to profit from hard work as greed, selfishness. They would flatten, level and take away economic opportunity which you and I now take for granted. A vote for Biden is a vote for a brand new kind of American socialism and once that becomes invested, that will be the beginning of the end of the American way of life, of our current economic opportunity, the end of:
THE AMERICAN ECONOMIC DREAM.
Think about that if you intend to vote for Biden or the Democrats, any democratic candidate and the radical, transformative (?) policies they will propose and implement. If Biden is elected, you will live differently, perhaps even radically differently than you do now. Be aware!