Understanding the logic of the leftist tax proposal.
I listened to the portions of all the Democrat debates this year and, at the end, I asked myself this question: “Nyk, are they fricking nuts?”
Unless I miss my guess, which I don’t think I have, the Democrats are proposing a policy that would effectively destroy the will of entrepreneurs to succeed. They want to over-tax people for showing initiative and being successful?
Wait a minute, I may not be a corporate genius but seems to me that if I were successful at creating a product, there would be an increasing demand for it which would equate to an ever-increasing demand on my time and energy to produce. How’s my logic working so far?
Ok so, alone, I can produce 100 units of my product in an average 40-work week. Say I get an order for 150 units; that might require I work a 60-hour week. I can easily do that. But what happens if I get an order for 300 units? Just using my questionable math skills, I believe that would come out to be, say, 120 hours of work each week. Since there are 168 hours in the seven day week, that means I would have 48 hours free to answer the phone, eat, sleep, have a sex life and plan my funeral. But my profits are increasing, right?
I can hear the Democrats drooling already.
Now I’m at the point where I need help or lose my business, so I hire someone at a fair wage with what benefits I can afford. Does that cut down on my profits? Perhaps, at first, but that’s a legitimate cost of doing business, upside of which is, I hired a damn good person, and production has tripled.
Enter the Democrats – “You’re starting to make too much money, we want our share! – aka taxes.”
Excuse me, but I don’t remember you helping me start my business, work 120 hours a week to build it, or hire a good person to help it grow, but you want your share?
Now let’s multiply everything by 1,000.
Guess what; the Democrats are demanding “their share” aka taxes be increased at the same rate.
Now, where is my incentive to create, expand, and employ?
My reasons not to have also expanded by 1,000 percent.
The proposal by the Democrats has effectively compromised my willingness to work harder, provide more jobs for those in need, earn more money to give to charities and pay reasonable taxes like any other good American.
Simply put, the Democrat proposal inhibits initiative, the cornerstone of American productivity.