The letter to the editor regarding taxing the wealthy by Dan R. Clark caught my attention. It brought back memories of the time it was tried by President Carter and a Democratic House and Senate. The Democrats controlled the judiciary as I recall.
They put a graduated income tax on high income earners and luxury taxes on boats, motor homes, airplanes and cars, etc. in the late 1970s. What could possibly go wrong with that? Right, that is left thinking!
Let me remind everyone who is old enough to remember and advise the ones who aren’t that it devastated this country and our economy and threw the U.S. into a terrible recession. Thirteen percent inflation, 25 percent interest rates for loans. The people who worked for or owned the companies that built the luxury items went broke. The dealers who sold the taxed items went broke, and the people who worked in these industries lost their jobs, homes etc. It was devastating!
The people who owned these businesses lost their businesses and life style and could no longer pay the large graduated income taxes needed to support the government. Those taxes graduated to 70 percent, 80 percent and, if I remember correctly, 90 percent!
I had been a Democrat through most of this period that I’ve written about. Then I realized that Carter and the Democrats were financial Idiots! I listen to them now and that old feeling comes back to me. My business partner and I survived this period, as devastating as it was, by downsizing and restructuring.
At one point, we had 120 employees, and after restructuring, we had 30, and the day we sold out and I retired, we had 30 (2002).
To see a real train wreck on this economy, just vote for these socialists who want to tax the wealthy this next election, and you will see, in a very short period of time, total devastation of the U.S. economy! They want to give all these free items: Education, welfare, health coverage, etc. to all these people, legal or illegal.
Socialism has never worked and will never work because the people who will work will get tired of paying for the people who won’t work. Show me a socialist country that people want to move to versus the number of people who want to come here. The Democratic Party wants them here so they can get their votes and enact their socialist programs!