10.26.2004

Republicanism 101


Republicans want to make our economy more competitive internationally, create more real jobs, and improve our standard of living. They want to do this by eliminating corporate welfare. Just as they want to take private citizens off the welfare rolls on the theory that in most cases it destroys the incentive to ever be productive and harms those who are already productive, they want to do it in the business sphere too.

The best way to do this is to replace all federal taxation with the so called "fair tax"; a 23% national sales tax on everything, with rebates to those who are very poor. The gov't would have exactly the same amount of money and so would individual citizens, but gone would be all the welfare industries: the IRS, most private tax and corporate tax accountants, all tax preparers, many lawyers, courts, judges, staff etc. etc., the payroll industry, estate tax industry, life insurance industry, much of the financial planning and brokerage industry, the entire municipal bond industry, and much of the insurance industry,. Presumably, state, county and local gov't would follow the Federal lead and eliminate the huge bureaucracies they too maintain to collect taxes.

In the end a million people or more who now have "make work" jobs created by the Democrats would have to get real jobs. They would be forced to contribute real goods and services to the economy that raised our standard of living rather than to continue to suck the life blood out of the economy in support of utterly senseless bureaucracies which are really designed to do nothing more than hide and diffuse the real tax burden so people will continue to vote for Democrats.

Moreover, with the fair tax, all individuals and businesses would then be free to dramatically expand the real economy by making financial decisions that make economic sense rather than, merely, tax sense. For example, capital might then flow to a new drug company rather than to a new football stadium built with tax free bonds. The benefits would be endless and dramatic, and of course the Democrats are opposed. comments: bje1000@aol.com

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