Redistribution Of The Wealth

We often hear from our President that we need to redistribute the wealth.

We often hear that the wealth being defined as individuals making more than $125,000 a year and a married couple making more than $250,000 a year.

We seem to be hearing from our President and the elected Democrats that America does not have a spending problem, but a revenue problem. Taxing the wealthy and redistribution of their wealth will solve American debt problems.

Many citizens agree with this line of thinking. Many citizens don’t agree.

Some truths are known. When tax rates reach over 60% at a particular tax level, citizens simply work to just below the tax level—they stop working for the remainder of the year. We saw this back in the 70’s when actors and actress made one or two movies a year, because income on any additional movies were taxed at 90%.

In the first year of wealth redistribution everyone in theory would have net incomes after taxes less than $250,000. So in the second year of wealth redistribution the level of “wealthy” will have to be less than the first year of wealth redistribution of $250,000 in order for the government to get the same amount of tax revenues to redistribute. And each year thereafter the tax will have to increase on increasing lower incomes. At some point in time the government owns all services and production and will determine how much will be redistributed to each citizen.

Do you really support wealth redistribution
Jones47 Jones47
61-65, M
May 5, 2012