Tuesday, June 28, 2011

Tax cuts best for All or some?

I found the reading by David Cay Johnston, "Richest Are Leaving Even the RIch Far Behind" extremely interesting. The average income for the top 0.1% was 3$million in 2002, two and a half times the 1.2$million adjusted for inflation. Yet these tax cuts is not something created in this generation instead they have crept into our pockets since the early 1950's with President Reagan's administration to, Bill Clintons raised income taxes for the wealthiest, and expanded breaks for the working poor, up until President George W. Bush's administration who eliminated income taxes for families making under 40,000, but his tax cuts also benefitted the wealthiest Americans much more than his predecessors.
Many argue that the reasoning behind these tax cuts which are supposed to expand a growing marketplace, innovative technology, and jobs is really what is happening in today's society. The wealthier are growing wealthier and the rest of the 90% of Americans in this country are seeing much less of the jobs, opportunity's and technology these tax cuts had promised. Which brings my question of who is really benefiting from these tax cuts, and for what reasons. Do politics have any will in these decisions and if they do up to what extent. Some of the wealthiest Americans warn the United States about the consequences of putting too much money in a fews hands. They voice the loss of democracy to an aristocracy. Not only this but economic mobility in the last has declined in the last forty years making us question the purpose of tax cuts to the rich even more each day.

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