Kenneth416 wrote: While I will not be affected by the increase in the marginal rate of taxation of salaries and wages from the current 35% to 39.6% (as under the Clinton-era), I doubt that it will have a serious effect on the behavior of the highest earners. Note that, for a high earner who earns $1M, the additional income tax will be only $46,000, less than the cost of the luxury Mercedes or Lexus he or she drives (and which is probably provided by his/her employer, anyway). The real bite comes in the tax on Dividends and Cap Gains, where the majority of super-rich derive their income (e.g., Buffett, Gates, et al)- World Begins to Heal with Taxes on Rich January 1st
Dear Comrade Ken,
Well I’m sure surprised that a LIBERAL like you wouldn’t be concerned with the “fairness” of raising taxes on someone who isn’t you. Glad to hear you won’t be affected, therefore it’s unimportant.
I’m surprised the Democrats haven’t nominated you for Congress yet.
I’m also terribly surprised that you aren’t voluntarily writing out a check to the US Treasury as a patriotic act like all the other liberals are.
And you are right. For a guy or girl earning a million bucks, they aren’t gonna miss it. The people who are gonna miss it are the 10,000 workers at the Tuscaloosa, Alabama Mercedes plant who depend upon luxury car sales in order to feed their families.
The $46,000 that you casually dismiss as of no importance to you, your liberal friends and the millionaires, is also being dismissed from the private economy.
That’s where the jobs that count are created.
And if government employment and government spending passed as wealth Obama would have made us rich already. But the opposite is true.
Hussman's Open Letter to the Fed; The Problem with Bubbles; Textbook Pre-Crash Bubble; Reflections on Not Chasing Bubbles; Integrity vs. Respect | Mike Shedlock