Showing posts with label taxes. Show all posts
Showing posts with label taxes. Show all posts

Thursday, November 6, 2014

2014 Election Observations

The day after election day, the sun rose in the sky, as it always does. I didn't see it, as it was overcast and rainy in my area.

As I watched the election returns from around the country, I thought about citizens from around the world who live in countries which have never seen a peaceful transfer of power. While our nation's elections certainly can't be described as “peaceful,” at least our nation's usual transfers of power have not been accompanied by gunfire and deaths.

As with most elections, I like to say “I voted for a bunch of losers... Some of which won.”

I guess it's my way of saying that no candidate is perfect. I'm not perfect. My friends and family aren't perfect. In fact, the only ones I know who are “perfect” are the “church ladies,” if only in their own minds. And, I love them for it.

For me, this year's election results were mixed. I was very pleased that most of Minnesota's voters didn't punish our state's success by voting out the Democrats responsible for it. Unfortunately, some in Minnesota, and many in other states weren't so enlightened.

I was very pleased that all of Minnesota's top officers were reelected, despite the fact that Governor Mark Dayton had pushed through “a record $2.1 billion tax hike," at a time when seemingly all Republicans were calling for more tax cuts (for the wealthy) to get our economy moving. Oh, I forgot, Governor Dayton's tax hikes were targeted toward the wealthy. The top 1% of earners will pay most of the new taxes, the middle class was left unscathed. While Republicans like to call such hikes “punishing success,” Governor Dayton didn't see it that way.

During this election cycle, I did hear one or two Republicans repeat the phrase they've used for as long as I can remember "He raised our taxes." The fact is, most Minnesotans did not see a tax hike. The very wealthy did. And, the wealthy are still doing just fine.

Governor Dayton's predecessor, Tim Pawlenty, had carefully groomed himself for a Presidential bid. He cut taxes (for the wealthy). He cut spending on damn near everything, including Minnesota's schools (although the cuts were sometimes called “slowing the rate of growth” of spending). Every year was full of drama, as Governor Pawlenty cut spending (and programs) to balance the budget, rather than raising taxes. Sometimes, “creative accounting” methods had to be used. These included delaying payments, and “borrowing” (stealing) funds designated for schools.

In contrast, Governor Dayton promptly “spent” the money raised by the new taxes. Some was used to balance the state's budget, without the need to cut valuable programs (and without the drama of previous years). The rest was used to repay the money “borrowed” (stolen) from the state's school districts, and to invest in Minnesota's future. In addition to investing in some public-private development projects, Minnesota invested in K-12 education, including state funded all-day kindergarten. The state also invested in higher education, to help ensure Minnesota's future success.

By contrast, Governor Scott Walker of Wisconsin took the opposite tact. Like former Minnesota Governor Tim Pawlenty, Governor Walker aspires to be President. He has chosen to cut state programs, rather than even considering raising taxes. He added another nail to the coffin for Wisconsin's middle class by abolishing Civil Service collective bargaining rights for most of Wisconsin's (middle class) public employees. He cut state funding for K-12 education by more than 15% . While Minnesota embraced “Obamacare,” and expanded its Medicaid coverage, Governor Walker rejected both ideas. Minnesota had some of the lowest premiums in the nation for insurance policies purchased on its state exchange, Wisconsin's premiums were much higher.

Minnesota's already low uninsured rate improved under Governor Dayton, and Minnesota is, once again, investing in its future.

Wisconsin's economic growth has lagged Minnesota's economic growth.

While two, four, or even ten years, may not be enough time to properly evaluate the long term consequences of the “invest” versus the “cut” strategies of Minnesota and Wisconsin (or the strategies of our nation's other states), I like Minnesota's prospects much more than I do those of Wisconsin.

Minnesota and Wisconsin have elected two very different Governors. I know that a policy of cuts, as championed by former Presidential hopeful, Governor Tim Pawlenty, was not beneficial for Minnesota. But, perhaps, Governor Walker can make it work in Wisconsin.

I doubt it. But, it is an interesting experiment to test an unproven economic theory. And, no matter what the outcome, I'm confident Governor Walker will declare it to be a success during his Presidential campaign.

I prefer to see my state, and our nation, move forward.

Successful businesses are constantly investing in their futures. Businesses which are constantly “cutting” may see some temporary “success,” but typically they're in a fatal downward spiral.

I believe that the same holds true for our states, and our nation. Minnesota is growing. Wisconsin's downward spiral has yet to be stemmed.

Time will tell.

Monday, October 15, 2012

A New Pledge of Allegiance?


I used to enjoy attending local Chamber of Commerce meetings, until I finally recognized that we were being used by the national organization to provide unwavering support for Big Business - and to the Republican Party which they have apparently purchased. They were certainly not representing me, or local "Main Street" businesses.

Each Chamber of Commerce meeting started by reciting the Pledge of Allegiance. While I've always been a patriotic American, I started to feel uncomfortable reciting the Pledge as part of an organization intent on destroying our nation.

I hate regulations and taxes as much as anyone, but they have never held me back.

I refuse to accept the notion that it's impossible for American businesses to make a profit under what some  call "crushing taxes" and "burdensome regulations." It's been my experience that good, well managed, businesses have always been able to make money in good times and bad, without lying and cheating, or demanding "special favors" from politicians they've "purchased." Many fine businesses have done this year after year. And, they've been able to do this no matter what the tax rate and regulatory climate happens to be.

Our nation is in danger of being destroyed from within. Grover Norquist disciples started two expensive wars under false pretenses (among other things, they lied about finding Weapons of Mass Destruction). They used borrowed money to pay for their wars, along with the tax cuts they gave to our wealthiest citizens, leaving our nation with a massive debt. Big Business doubled down by demanding more government handouts, insisting that they're necessary for them to create new jobs to replace the ones they've cut and sent overseas.

It also hasn't helped that our nation has been fighting a civil war for decades, fueled, in part, by a 24x7 propaganda channel, Fox News, spewing out dogma as if it were fact.

Until recently, I'd never seen much difference between Republicans and Democrats. Republicans would spend and borrow, while Democrats would spend and tax. More recently, the Grover Norquist disciples have added a whole new obstacle to the success of our nation, by their refusal allow ANY tax hikes, and their refusal to work toward shared solutions to our nation's problems. Only their solution is acceptable - Abolish our Government, turn valuable government programs like Social Security and Medicare over to Big Business, so that they can be killed off as a "business decision" by the private sector. If they achieve their goals, all will be well.

Except it won't.

I'm beginning to suspect that the Republican Party is preparing a new Pledge of Allegiance to be recited at all business meetings. I shutter to think what they might require our school children to recite.

New Pledge of Allegiance

Our nation was built on a foundation of freedom and equality for all. It thrived under people willing to work together to find shared solutions to complex problems. It stagnates and wilts under single-issue politicians, more beholden to special interests than to our nation, who refuse to even look at realistic shared solutions.

The danger is real. Our nation will fail if its future is turned over to an unelected lobbyist, funded and controlled by unknown groups.

Wednesday, October 20, 2010

Job Killing - Tax Cuts?

Republican candidates continue to run ads accusing their Democratic opponents of advocating "Job Killing Taxes." They preach that our nation's problems can only be solved through lower taxes and less regulation. It's the same message they've continued to preach for decades. And, after Enron, Arthur Anderson, AIG, millions of jobs lost, and the near total collapse of our economy, I don't believe it anymore.

I know that economic theory advises that lower taxes "should" help the private sector to provide good jobs. But, one thing the theory apparently didn't factor in is Greed. If we didn't know it before, we do now: "Greed Trumps Theory."

Sure, Republicans were successful in implementing historically low taxes for businesses (some of which reportedly make use of provisions in our bloated tax code to pay no Federal taxes) and the wealthy. But, their "Trickle Down Economics," as it was originally called, failed to produce any of the promised benefits to the nation as a whole. Greed took over. Big Business and the wealthiest 5% of our population have done quite nicely under Republican policies. The remaining 95% of our population lost ground.

Over the last few decades, millions of good jobs were shipped overseas. Millions of additional jobs were lost as Big Business and Wall Street greed nearly caused a total collapse of our economy, resulting in a severe recession which we're still looking to recover from. One can only wonder just how much farther our decline might have been if Republicans had been as successful in destroying good government jobs as their Big Business benefactors were in destroying good private sector jobs. Somebody needs to buy the goods and services businesses provide, and the rich can't (or won't) buy enough to help our economy recover.

Until Big Business starts hiring again, and average Americans begin to have enough confidence to resume spending, our economy will remain weak. Big Business can't have it both ways. As long as the only economic security they provide is to their top executives, consumer confidence, and our economy, will continue to falter.

If the events of the last few decades are a guide, keeping low taxes for Big Business and the wealthiest 5% of our population will not provide the jobs our country needs. And, with the possible exception of greedy CEOs, it will not guarantee good paying jobs into the future. It will only help to increase our country's debt.

Think about it. What has "Trickle Down Economics" done for our nation? Are you more financially secure than you were 10 years ago, or 20 years, or 30 years ago? For the majority of our nation, the answer is "NO." If you answered yes, you may be lying to yourself; Or, you may be extremely wealthy; Or, you somehow managed to sidestep the housing melt-down, the financial fraud, the sharp losses in the market, and unemployment. Most in our country weren't nearly as lucky.

Do you really want to vote out the Democrats who, despite obstructionist Republicans who refused to help, actually passed some laws which will ultimately be good for our nation? Why, after allowing Democrats only two years to fix the mess they inherited, and when our economy has started to show signs of improvement, would you want to return to power Republicans whose policies did so much to help destroy jobs and the economy?

Job Killing Taxes? Like the politicians who claim that they will create jobs (private sector jobs, not the government jobs they despise), I suspect the phrase is just another in a long series of political lies.

I just find it very offensive when it's used to pander for votes when so many are without jobs, and our country is drowning in debt.

Wednesday, September 1, 2010

Michele Bachmann Again

Jim "the Election Guy" in Michele Bachmann's TV commercials appears to have an unnaturally wide stance that Larry Craig would have been proud of. It looks strange. But, at least he's haunting our TV's rather than airport restrooms.

While the visual stance is weird, the commercials seem to be vintage Republican. One even features the old Republican campaign phrase of "Tax and Spend."

There's no mention of the fact that cutting taxes for the wealthy, while starting two unfunded wars nearly caused the total collapse of our nation's economy. And, there's no mention of the fact that Republicans are the party of "Borrow and Spend."

Sadly, voters continue to respond to false Republican claims about the economy.

Under Republicans, the wealthy can expect to receive lower taxes and preferential treatment. What's left of the middle class can only expect higher taxes and "fees" along with fewer services.

As was the case over the last 10 years, tax cuts for the wealthy will be paid for by our children and grandchildren.

This time, however, the stakes are higher. If Republicans are successful in returning to the policies of the past, a double dip recession will most likely become a reality. The suffering of the middle class will far exceed anything we've seen since the Great Depression.

But, at least companies like BP will thrive, as Michele absolves them of any responsibility for their spills.

Tuesday, September 2, 2008

Liar. Liar. Liar.

The latest John McCain ad includes the catchy phrase:

"They're Ready to Tax. They're Ready to Spend. But They're Not Ready to Lead."

The ad goes on to declare that Obama "and out of touch Congressional leaders plan to implement painful tax increases on working American families." It claims the Democrats will produce "years of deficits," and "no balanced budgets."

What a despicable bunch of Lies.

Unfortunately, they're just more Lies from a once honorable man formerly known for his "straight talk." Is there any Republican capable of speaking the truth these days?

What's happened to John McCain? His moral compass appears to have been lost. He knows, or should know, that the ads he's approving are filled with Lies. I think most of us are willing to accept a little "embellishment" during a political campaign. But, repeated lying is despicable.

Shame on you, John McCain. You may be a war hero, but your current conduct reveals some very serious character flaws.

FactCheck.org, a nonpartisan "consumer advocate" for voters, has examined Barack Obama's tax plan, and determined that it would produce a tax cut for over 81.3 percent of all households, and 95.5 percent of all households with children.

Not exactly the "painful tax increases on working American families" described in John McCain's commercial.

FactCheck.org has identified a "pattern of deceit" in John McCain's ads. Straight talkers would call it a pattern of Lying.

Republicans have repeatedly used scare tactics to get elected. George W. Bush lied to start a war. Apparently, John McCain believes in doing the same to get elected.

Mr. McCain, we expected better from you.