07.22.2014  |   | Subscribe  | Contact us

All News & Blogs

E-mail Alerts

History proves raising taxes is not the answer!


Date published: 12/27/2012

In some ways David Shreve's Dec. 9 article, "To truly boost the economy? Raise taxes" is mind-blowing considering he is an economist and former professor. His Keynesian outlooks of economics coupled with his views that our taxes are not progressive enough are outlandish.

Look at the latest country to enact the policies Shreve is advocating. France has imposed a top tax rate of 75 percent and its richest citizens are fleeing the country. History has not produced "golden ages" when taxes have been raised. History shows the exact opposite.

Secondly, Shreve forgets that taxes are the government taking money from working people. He speaks as though money grows on trees.

If you are in the 25 percent tax bracket, that means you work three months of the year just to support the federal government. Add in state and local taxes and you work the first four or five months for government. You haven't yet paid your bills, put food in your children's mouths, or saved for retirement. Yet Shreve is advocating for a more progressive tax!

Lastly are the flaws of the Keynesian approach. Keynes made it very clear that after a stimulus took effect, government should pay down the debt. The problem is the paying down of debt never happens. I give you the $16 trillion debt we have. When government prints more money it devalues the money in our pockets creating a hidden tax on us all.

With only 53 percent of Americans paying taxes, the answer is not more taxes.

John Roche

Stafford