It's hard to tell when President Obama makes statements like, "When I walked in, wrapped in a nice bow was a $1.3 trillion deficit sitting right there on my doorstep,” whether he's truly deluded enough to believe that's the case or just a gifted liar. You see, it's just not true that Bush and company left him this huge deficit, and someone as smart as 0bama ought to be able to figure that out. So who but 0bama knows what the source of his delusional talk is?
Ditto the nonsense about tax cuts for the "rich" or the "wealthy." To begin with, we don't tax wealth in this country, only income, so that the people paying the highest taxes aren't necessarily the wealthiest individuals. (Here's a tip: if you're hearing someone talk about taxing the "wealthy," that person doesn't know what he or she is talking about, because we tax income.) In fact, the truly wealthy can usually avoid paying some taxes altogether, as tax-and-spend liberal multimillionaire Senator John Kerry recently conclusively demonstrated for us.
Furthermore, even if the feds raise taxes on the top 2%, as 0bama seems to want, they could take 100% of these earners' income and still only raise just enough to cover the deficit. That's because to qualify as part of the top 2%, you have to make about $200,000 a year or more, and the total income for that group is about $1.9 trillion. Next year's deficit, by comparison, will run about $1.7 trillion. 0bama wants to make this group that already pays over $522 billion each year, or about 62% of all tax revenues, and make them pay more, but he'd have to take almost all of it for it to make a difference.
Many of these top earners actually are millionaires, because they're small business owners, but here's the kicker: their money is tied up in their businesses. What money they have available to pay taxes has to come out of the cash they have set aside to pay expenses such as payrolls and supplies. When the money gets taxed away to go for union giveaways, like the latest proposed $50 billion stimulus package, the money comes out of the pockets of the employees the businesses might have hired or the suppliers they might have bought from.
Wait, check that. The $50 billion won't come from taxes, it will come from more deficit spending. The result, however, will be the same, because the feds will float bond issues to raise the money. Those bond issues lure borrowers away from making business loans and starve businesses of the capital they need to start up or expand.
Either way, taxes or deficit spending, small businesses are the losers, and they're the engine of our economy. New Jersey small business owner Michael P. Fleischer wrote an article recently in the Wall Street Journal about how he has to pay $74,000 per year for one of his employees to take home $44,000 plus $12,000 in benefits. And what happened to the missing $18,000? It's the cost of bureaucracy.
The article is very aptly called, "Why I'm not hiring," and if you read nothing else today, you should read this. It's a perfect explanation, from the horse's mouth, why unemployment continues to run close to 10% in spite of the 0bama Administration's insane "stimulus" spending.
So, is 0bama a true believer, or just a gifted liar? What does it matter? The result is still the same.
In November, Pennsylvanians, for the good of our state and our country, we need to rid our government of both the crooked and the reality-challenged.