Monday, April 30, 2007

Greens Nazis and Taxes

It comes as no surprise that some have taken me to task for daring to question the new gods and their acolytes of this new century. The new Green God revolution is far nastier the tie-tied version of the 70's and 80's and there isn't even free love involved anymore.

Oh no the new Green Gods, demand absolute loyalty and unquestioning, slavish devotion to the cause. Dare to question any part of the message be it global warming, all corporate is bad, everything western is bad.. then crucifixion is the best you can hope for.

A key plank of the Green God altar is a sort of slime green socialism (how many times do we have to go do this road before we realise it doesn't work..sigh). This slime green socialism means anyone who has the nerve to try and rise above the morass of sameness shall be taxed into submission.

On taxes ..perhaps a slice of the real world might help...

Suppose that every day, ten men go out for beer and the bill for all ten comes to $100. If they paid their bill the way we pay our taxes, it would go something like this:

The first four men (the poorest) would pay nothing. The fifth would pay $1. The sixth would pay $3. The seventh would pay $7. The eighth would pay $12. The ninth would pay $18. The tenth man (the richest) would pay $59.
So, that's what they decided to do.

The ten men drank in the bar every day and seemed quite happy with the arrangement, until one day, the owner threw them a curve. 'Since you areall such good customers,' he said, 'I'm going to reduce the cost of yourdaily beer by $20. 'Drinks for the ten now cost just $80.

The group still wanted to pay their bill the way we pay our taxes so thefirst four men were unaffected. They would still drink for free. But what about the other six men - the paying customers? How could they divide the$20 windfall so that everyone would get his 'fair share?'

They realized that $20 divided by six is $3.33. But if they subtracted that from everybody's share, then the fifth man and the sixth man would each end up being paid to drink his beer. So, the bar owner suggested that it would be fair to reduce each man's bill by roughly the same amount, and he proceeded to work out the amounts each should p ay.

And so: The fifth man, like the first four, now paid nothing (100% savings). The sixth now paid $2 instead of $3 (33%savings). The seventh now pay $5 instead of $7 (28%savings). The eighth now paid $9 instead of $12 (25% savings). The ninth now paid $14 instead of $18 (22% savings). The tenth now paid $49 instead of $59 (16% savings).

Each of the six was better off than before. And the first four continued to drink for free.

But once outside the restaurant, the men began to compare their savings. 'I only got a dollar out of the $20,'declared the sixth man. He pointed to the tenth man,' but he got $10!' 'Yeah, that's right,' exclaimed the fifth man. 'I only saved a dollar,too. It's unfair that he got ten times more than I!' 'That's true!!' shouted the seventh man. 'Why should he get $10 back when I got only two? The wealthy get all the breaks!' 'Wait a minute,' yelled the first four men in unison. 'We didn't get anything at all. The system exploits the poor!' The nine men surrounded the tenth and beat him up.

The next night the tenth man didn't show up for drinks, so the nine sat down and had beers without him. But when it came time to pay the bill, they discovered something important. They didn't have enough money between all of them for even half of the bill!

And that, boys and girls, journalists and college professors, is how our tax system works. The people who pay the highest taxes get the most benefit from a tax reduction.

Tax them too much, attack them for being wealthy, and they just may not show up anymore. In fact, they might start drinking overseas where the atmosphere is somewhat friendlier.

David R. Kamerschen,
Ph.D.Professor of Economics
University of Georgia

For those who understand, no explanation is needed. For those who do notunderstand, no explanation is possible.

4 comments:

Jakartass said...

"Slime green"?

Is that the nauseous colour you use in your sidebars? :-)

oigal said...

Hey, I thought you said you never get personal ..:-)

Jakartass said...

You ain't seen nothing yet ~ unless you've already seen this!

BTW: when you reminisce about the tie-tied 70's, do you mean tie-dyed? This is a technique similar to batik in that different areas of cloth are made resistant to dye.

oigal said...

Dyed..yep you are right..sorry for the spelling error and I know you brought that to my attention just to be helpful not to be petty.

You sure you didn't work for the New York Times in a past (or present life) not a bad attempt at unsupported slander in your post..

SIGNED

The Mole//