Thread: A Quick Fix

Our economy (US) is in a long drawn out recession. So I have come up with a solution that could restore it in a hurry. Of course, the TAX rebels will cry fowl.
Well, if they are US citizens and loyal patriots of our Constitution, then they should comply without any complaints.

My plan:

Raise the minimum wage for the workers to $10.50 per hour. This will give the MW workers added dollars to buy cars and houses.

On the other hand, change the method of taxing to those 'surplus unneeded income dollars' that are becoming stagnant becuse they are NOT circulating but just ballooning the incomes of the super wealthy to create an influx of billionaires. This would help reduce the small business taxes to suplement their employees wages.

The highest incomes that go as high as $500,000,000, can be taxed at about 95% and gradualiy scaled down to 5% for the lower level earners.
Also, these taxes would allow all living costs to be deducted. So the lifestyle changes of the wealthy wouln not be effected. They could still enjoy their
luxurious lifestyles with NO sacrifices or hardships except what they can afford to pay.

At a level of 95%, they could still have about $25 million left as 'pocket' money.

So this tax would prevent these corporations from 'merging, buying out their competitors and shopping for cheap labor abroad that reduces the local worker job opportunities.
These tactics practiced by the wealthy corporations that cuts jobs,would save jobs and help keep those extra dollars from being used for bribing our government officials to serve their bloated income needs.

Another way of eliminating this corruption is to promote the PUBLIC FINANCING OF OUR ELECTIONS to keep those 'self sewrving individuals from this practice of buying governments.
This then would be a minor sacrifice by the wealthy to become true patriots of our country.

Obama, please take note.

Cosmo

Originally Posted by Cosmo

Raise the minimum wage for the workers to $10.50 per hour. This will give the MW workers added dollars to buy cars and houses.

This is so not a solution it's sad. All this does is increase inflation or, at worst, displace millions of workers. If you freeze businesses so they cannot raise prices, they will suffer huge profit losses. They'll still make a profit, but because the stock market demands a constant increase any sort of loss is impossible.

On the other hand, change the method of taxing to those 'surplus unneeded income dollars' that are becoming stagnant becuse they are NOT circulating but just ballooning the incomes of the super wealthy to create an influx of billionaires. This would help reduce the small business taxes to suplement their employees wages.

These people control the prices. If you do that they'll just offset their tax losses. Which most likely means bad news for the average person. The only way to prevent this is to, again, freeze prices or somesuch.

The highest incomes that go as high as $500,000,000, can be taxed at about 95% and gradualiy scaled down to 5% for the lower level earners.
Also, these taxes would allow all living costs to be deducted. So the lifestyle changes of the wealthy wouln not be effected. They could still enjoy their
luxurious lifestyles with NO sacrifices or hardships except what they can afford to pay.

At a level of 95%, they could still have about $25 million left as 'pocket' money.

You're confusing annual income with net worth. Annual income is never that high for any single person. Also, your proposed "taxes" are ridiculous and more in line with a "redistrobution of wealth" plan.

So this tax would prevent these corporations from 'merging, buying out their competitors and shopping for cheap labor abroad that reduces the local worker job opportunities.

Wrong. It would increase all of the above because cheap labor abroad is CHEAPER. That's the point. It always will be unless taxes for such behavior are ramped up to absurd levels.

Another way of eliminating this corruption is to promote the PUBLIC FINANCING OF OUR ELECTIONS to keep those 'self sewrving individuals from this practice of buying governments.
This then would be a minor sacrifice by the wealthy to become true patriots of our country.

Obama, please take note.

Cosmo

This. This is good. Were this enforced Ron Paul would have probably won the election. Rather than the media or political parties deciding who runs and who doesn't it should be entirely up to the people to pick someone.

Darius

The trouble with our economy is the tremendous spread between the highest earners and the lowest earners that reduces the 'mass' purchasing power of the great majority to what would keep the market prosperous.

The ultra wealthy may buy just 2-3 cars while on the other hand, the great majority would buy thousands in comparison. This happens because the highest earners do not spend all their monies but just a fraction of it.

This is an example of Reaganomics that is a farce.
Instead of a 'trickle' down economy, it turned out to be a 'hot air' economy where the dollars tricle 'up' like hot air to cause more billionaires.

So my opinion is that the more balanced the spread of wealth, the more buyers are created. It is the spent dollars that keep the market prosperous, not the
hoarded dollars that stop circulating when they reach the top.

Cosmo

Raise the minimum wage for the workers to $10.50 per hour. This will give the MW workers added dollars to buy cars and houses.

Which does not solve the problem. The US economy is going through a recession. A recession is a situation where demand falls. Consequently, prices fall. Raising the prices does not necessarily increase demand.

On the other hand, change the method of taxing to those 'surplus unneeded income dollars' that are becoming stagnant becuse they are NOT circulating but just ballooning the incomes of the super wealthy to create an influx of billionaires. This would help reduce the small business taxes to suplement their employees wages.

Ah, so billionaires keep all their money to themselves and never spend it on basic utilities such as electricity, feeding, clothes or other items?



No, what you say makes no sense.

Obama, please take note.

Has it ever occurred to you to check your basic assumptions before you tell everybody about it? I highly doubt, by the way, that Barack is on this forum. If he is, however, please let me know; I'd give my right arm for a chance to talk to the President of the United States.

Originally Posted by Liongold

Which does not solve the problem. The US economy is going through a recession. A recession is a situation where demand falls. Consequently, prices fall. Raising the prices does not necessarily increase demand.

Demand falls because as I said , all the money is rising to inflate the bank accounts of the wealthy and as I said , their demand for products 'pales' in comparison to the masses

Ah, so billionaires keep all their money to themselves and never spend it on basic utilities such as electricity, feeding, clothes or other items?

No, what you say makes no sense.

So, you call those as expenditures for a thriving economy?
How about the housing market and other durable goods?

Cosmo

Demand falls because as I said , all the money is rising to inflate the bank accounts of the wealthy and as I said , their demand for products 'pales' in comparison to the masses

No. Please read more about economics before attempting to explain a fall in demand.

So, you call those as expenditures for a thriving economy?
How about the housing market and other durable goods?

So billionaires don't buy houses? They don't want to buy things? They don't have to pay their workers salaries?

Wow. What a life.

Quite seriously, I would kindly advise you to at least read a little more about economics before attempting to turn economics on its head by defining everything in socialist terms. This is not a jest, it is just some advice I would like to give you. The least you can do to strengthen your argument is at least get the terms right.

Originally Posted by Liongold

Demand falls because as I said , all the money is rising to inflate the bank accounts of the wealthy and as I said , their demand for products 'pales' in comparison to the masses

No. Please read more about economics before attempting to explain a fall in demand.

So, you call those as expenditures for a thriving economy?
How about the housing market and other durable goods?

So billionaires don't buy houses? They don't want to buy things? They don't have to pay their workers salaries?

Wow. What a life.

Quite seriously, I would kindly advise you to at least read a little more about economics before attempting to turn economics on its head by defining everything in socialist terms. This is not a jest, it is just some advice I would like to give you. The least you can do to strengthen your argument is at least get the terms right.

Your educated opinions do not teach you COMMON sense .
The lower level workers SPEND all their dollars while the ulthra wealthy keep stashing them up till they become billionaires. How do you think they got to be billionaires?

Face reality.

Cosmo