I can’t write worth a damn today – everything comes out misspelled and mushy. This in contrast to the well-worded mush I usually put out. So I intended to merely re-post an article by Larry Beinhart called “The Astonishing Stupidity of Not Raising Taxes on the Rich When Budgets are Tight.” Then I thought maybe I shouldn’t be doing that, as I don’t have permission or anything, and instead I am just linking to it over at Alternet.
I’m more than willing to debate the moral ramifications of high taxes on wealth, but that is not what is at issue here. The article merely goes through some of our history to show that high taxes on wealth do not hurt the economy. There’s a reason, and I’ll write about that some day when I can write.
Piece of Mindful 
So, I take it you’re in agreement with MM.
http://www.youtube.com/watch?v=wzfd_sNw2-Y&feature=player_embedded
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It’s a big issue that he addresses in a minute twenty seconds. I agree with him but word it differently: “Capital” is the fruits of past labor, and is not something that exists without labor and resources. Wealth comes about because of labor and resources, and stored wealth is called capital.
We expect banks and investors to allocate capital to its most useful purpose. They are technically free to do as they please, but have responsibilities. Just like with you and me, freedom is not free.
We can’t force them to reinvest capital in American jobs, people, plant and equipment. We can, however, encourage them to do so. They way we did this in the pre-Reagan era was via high marginal tax rates coupled with incentives to invest or make charitable contributions.
That’s why the title of the article I linked to, which I doubt you visited. The simple fact is that high taxes encourage investment, and are good for the economy.
So bone up a little Swede, and come back here ready to discuss the issue. MM is a fine fella, but not terribly bright. He’s a great film maker and flame thrower, but not an economist. You quiet up about him, I’ll quiet up about stupid Sarah.
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OK, fair enough.
If what Beinhart is true then how come high tax states are wallowing in economic despair while low tax states seem to be doing much better?
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what Beinhart says is true
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Give us something solid there. That statement doesn’t hold up.
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And if anything solid is given in defense of corporations paying zero, and uber-rich paying next to nothing after all the deductions and loopholes, please in effective tax rates, not the headline percentages thrown around repeatedly. Those are meaningless numbers.
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