Don’t eat the rich; we need them!

Donald Trump, we need the richAmericans constantly hear from Democrats that we need to “make the rich pay their fair share.” Yet it has been exhaustively documented that the rich already pay more than their fair share of taxes. The argument we will make instead is—with the help of Donald Trump, and the CEO of Blackhawk Partners, Ziad K. Abdelnour—why we need to help and encourage the rich in America, rather than demonize them!

The Donald, in one of his better interviews we’ve seen, dismembers Obama apologist George Stephanopoulos, like a ravenous lion devouring an antelope when asked about the Obama administration’s rhetoric regarding “the rich.” Mr. Trump describes what would happen if Obama and Senate Democrats tried to balance the budget by overtaxing the rich:

GEORGE STEPHANOPOULOS: As part of a deficit reduction package, would you be willing the pay, assume for a second you pay Warren Buffet’s rate, 17 percent. Would you be willing to pay 25 percent instead of 17 percent—

DONALD TRUMP: See, I would be willing to George, but a lot of people wouldn’t be. A lot of people would leave the country. I’m talking about big people, job-producing people….A lot of people will say, “No thank you, I’m going to Switzerland. I’m going to Germany. I’m going to here, I’m going to there.” There are a lot of places you can go to. And these are business machines. I know them. They went to Harvard. They went to Wharton. They went to the great schools. They’re total business machines….And they’re going to say, “Thank you very much, George. I appreciate you letting us know, we’re moving to Switzerland.”

And then you know how much you get in “revenue?” Nothing. Nada. Zip, Zilch.

How much clearer could it be? People and businesses do not have to stay in California or the U.S. They are, for now, free to make choices when it comes to their business, and how much they are willing to pay. The United States has one of the highest business tax rates in the world.

Ziad K. Abdelnour, socialiism, capitalism, we need the richThe CEO of Blackhawk Partners, Ziad K. Abdelnour, has a very good article about how wealth is created, and the people who create it. It is a great explanation for those who’ve read about “the rich” but do not actually know any of them personally. On the difference between socialists and capitalists he says this:

Socialist regimes try to guarantee the value of things rather than the ownership of them. Thus socialism tends to destroy the value, which depends on dedicated ownership. In the United States, on the other hand, the government normally guarantees only the right to property, not the worth of it. The belief that wealth consists not in ideas, attitudes, moral codes, and mental disciplines but in definable and static things that can be seized and redistributed is the materialist superstition.

It stultified the works of Marx and other prophets of violence and envy. It betrays every person who seeks to redistribute wealth by coercion. It balks every socialist revolutionary who imagines that by seizing the so-called means of production he can capture the crucial capital of an economy. It baffles nearly all conglomerateurs, who believe they can safely enter new industries by buying rather than by learning them. Capitalist means of production are not land, labor, or capital, but minds and hearts.

The wealth of America isn’t an inventory of goods; it’s an organic, living entity, a fragile, pulsing fabric of ideas, expectations, loyalties, moral commitments, visions, and people.

Abdelnour continues and confirms what Donald Trump said today on Good Morning America:

“If the majority of Americans smear, harass, overtax, and over regulate this minority of wealth creators, our politicians will be shocked and horrified to discover how swiftly the physical tokens of the means of production collapse into so much corroded wire, eroding concrete, and scrap metal. They will be amazed at how quickly the wealth of America is either destroyed, or flees to other countries.”

This post originally appeared in a new blog, www.determinatus.com

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Comments

  1. says

    You left out the best quote of the article you pulled the tax info from:

    “In fact, the only way for the government to solve its fiscal issues with revenue would be to confiscate every single dollar from every single American making $200,000 or more per year, the study said.”

    “Finally, to put everything in perspective, think about what would need to be done to erase the federal deficit this year: After everyone making more than $200,000/year has paid taxes, the IRS would need to take every single penny of disposable income they have left. Such an act would raise approximately $1.53 trillion,” reported the Tax Foundation.

    Now THAT’S the way to realize we have a problem!!

  2. says

    According to Tax Foundation report, it’s going to take a lot more than soaking the rich to solve deficit and debt problems:

    even taxing the nation’s millionaires at 50 percent – even eliminating loopholes and deductions – would only reduce the deficit by 8 percent and the national debt by 1 percent.
    “[T]aking half of the yearly income from every person making between one and ten million dollars would only decrease the nation’s debt by 1%,” the report said.

    U.S. currency
    Taxing millionaires at an effective tax rate of 50 percent would raise only $120 billion more, according to Tax Foundation calculations based on IRS data.

    http://www.cnsnews.com/news/article/warren-buffett-s-tax-solution-won-t-solv

  3. mjt says

    Yawn. Donald Trump is a loose canon where interviews are concerned. The rich are not moving to Switzerland or Germany, if the tax rates are sreasonably adjusted.

    Warren Buffet is right to say that the rich do not need to be coddled. They are not frail and fragile. They are powerful and enjoy great benefits that are provided to them by our government, benefits that are disproportionately favorable when compared with others.

    The rich should not be fleeced or treated unfairly, but it’s time to get real. A reasonable tax hike and the closing of luxury loopholes is warranted.

    • says

      Yes, great idea, lets try “closing luxury loopholes”. Kind of like, um I don’t know, raising the tax rates on them rich folk when they buy a yacht. Last time I checked, that little idea almost completely shut down the American yacht building industry, along with creating thousands of unemployed. Sounds like just the thing we need right now. “You could take everything Obama knows about economics, shove it up an ants’ behind, and it would rattle around like a marble in the Superdome.” -Neil Boortz
      Yet we have to endure every speech the great Zero gives about what he’s doing to get us out of this mess.

    • says

      Oil, corn, ethanol, farm, green, banks (TARP), QE1, QE2, GM bailout, Fannie, Freddie, Stimulus, steel, to name just a few are subsidies or “loopholes” Republicans and Democrats voted for in order to curry favor with corporate america, big oil, and predatory finance houses on Wall St. This doesn’t even touch never ending growth of entitlement spending including medicaid, obamacare social security, and trillions lost in the rat hole known as K-12 education in the U.S. Then there’s all the military boondoggles, not only wars but out dated weapons systems, waste and duplication throughout.

      Neil Boortz talking points aside, I think Mike is righty, closing loopholes and subsidies on both sides of the ledger will be an important part of any ongoing realignment to settle structural budget deficit of $3T+ and growing. What the American people need to see is that tax increases match serious reforms instead of going to further engorge the federal deficit. I just don’t think the American people truly thinks that can happen as 90% believe our government is out of control and a bottomless pit.

  4. says

    Let me see, he is saying that a tax rate over 17 per cent and they would leave the country? Geez, did you notice this massive flood of people out of the country during the Clinton tax rates?