Misguided Government Actions Not Only Affect our Economy but Also Our Culture

Being poor is not a life sentence. I know because I used to be poor.

Misguided Government Actions Not Only Affect our Economy but Also Our Culture
By Allen Tharp

By Allen Tharp

Under the Obama administration, we have seen success disparaged, while failure is glorified. Business owners and other successful people are being demonized, while illegal aliens, welfare recipients, or anyone in a food stamp line are portrayed as noble victims of society.

Liberals even imply that the plight of the poor is somehow the fault of the wealthy. We constantly hear statements on the liberal media like: the wealthy don’t pay there fair share, or the rich are getting rich while the poor get poorer, as if there is some link there that in fact does not exist.

Their false premise is that wealth in this country is a fixed number, like a pie that can only give a limited number of pieces: If you get a bigger piece, then someone else must get a smaller piece.

Total nonsense! Unlike the pie that is of a fixed size that will not change, wealth is actually dynamic—and when more wealth is created, the economic pie grows larger. No wealth is taken from any other person.

In fact, others usually benefit. When Steve Jobs became wealthy inventing the IPhone, we all benefited because he created thousands of jobs, hundreds of millionaires in his company, and we all gained a new device we use every day.

So let’s address the liberal mantra that top earners don’t pay their fair share. Actually the top 1% currently pay almost 40% of all federal taxes. For an historical perspective, back in 1986, the top 1% of earners paid only 26% of the income taxes. So, contrary to the liberal allegations, we are paying more today than ever before. Additionally we have the highest corporate tax rate in the world.

Today, if you divide all households into five equal groups based on income, those in the bottom 20% (quintile) performed about 4% of all the work in the U.S. economy, while those in the top quintile performed about 34%. The top quintile performed almost eight times as much labor as the bottom quintile. So, it is no wonder they made more money.

Nearly all of the top earning quintile are married couples and families, many with two or more earners. They contain the best educated and most productive workers, and they provide the investment needed to create jobs and spur economic growth.

It’s also worth noting that the bottom quintile includes a high percentage of young people, and most of us were poor when we were young. However, it’s common to gain wealth as we progress through life. So, as long as we have young people, we will always have people in the lowest quintile of earners, regardless of how much we spend on this so-called war on poverty. In other words, as long as we have young people, we will have poor people.

Liberals miss one important thing regarding some ambitious and competent young folks in the low-income brackets: many of those young folks aspire to move up to higher earning brackets.

Being poor is not a life sentence. I know because I used to be poor. So just because you don’t make much money does not mean you never will, or that you want taxes raised on top earners if you aspire to be there yourself someday.

While the rest of us work until August each year just to pay taxes, 49.5% of Americans now do not pay any Federal income taxes, whatsoever.

Unfortunately the number of folks not paying income taxes reflects a very troubling upward trend. In 1969, the percentage of people who did not pay federal income taxes was only 12%. By 2000, the percentage grew to 34.1 percent; in 2012, it reached 49.5 percent.

To compound the problem, the same group not paying taxes is the same group receiving most of the benefits. In the 80’s, only 30% were on government assistance. When Obama was sworn in, 44.4% were receiving government assistance. Today this number has increased to almost one out of two on some kind of government assistance.

Then, as if a bankrupt country expanding its own parasite class is not enough, we advertise our food stamp program in Mexico and import more needy people to come and join our welfare roles.

We are about to reach a tipping point, where the takers outnumber the givers and the shirkers outnumber the workers, yet the government continues to tax and spend us into oblivion.

So, it is obvious we have to stop deficit spending now, but it is also obvious that we need tax reform.

We need to completely throw out our current flawed tax code that breeds corruption and replace it with a flat tax or a fair tax. It would seem to be difficult for liberals to demagogue that everyone paying the same tax rate is unfair.

No more deductions for anyone, no more waivers for anyone, no more tax credits for anyone, and no more crony capitalism.

Allen Tharp is the President of the San Antonio Tea Party.

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2 Responses to "Misguided Government Actions Not Only Affect our Economy but Also Our Culture"

  1. Paul  September 16, 2015 at 10:07 pm

    There are a small percentage of Tea Party members crossing over and overlapping into the Trump camp. But most of the Trump camp comes from several different political camps who are all united in being against illegal immigration. Many voting blocs such as pro-union Democrats, black Americans and soccer moms are pro-Trump because they are against illegal immigration. And yes, some Tea Party members have been caught up in Trump mania. Maybe as they learn more about Trump they will change their mind. I know lots of Tea Party members whose first choice is Cruz, Walker, Paul, Fiorina, and Carson. Wait a few months. If in February and March the Tea Party drops those candidates and selects Trump then maybe they have lost their way. But keep an open mind until then.

  2. Chuck  September 16, 2015 at 12:04 pm

    Find no serous objection to anything said in your article. Guess this means I generally support your position. Then I see that “tea party” supporters are signing on with ‘the Donald’ in big numbers. Understanding that the Tea Party is not an organized national group, am still a ‘non-believer’ Thought about attending the session next month, but I have spend enough un-wisely in my lifetime to be cautious —c

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