BartSimpson BartSimpson:
bootlegga bootlegga:
Still, I do tend to agree that tax cuts for the wealthy and cheap beer are no replacement for good healthcare, education or adequately maintained roads.
Sometimes you cut taxes on the wealthy so you don't lose them altogether.
In California we've so heavily weighted our tax system against the wealthy that according to one of our state agencies (it's quasi-confidential and unpublished for now) so far this year California has lost 138 wealthy people.
That's doesn't sound like a big deal in a state with ~40 million residents, does it?
Yet according to this state agency those 138 people took fifteen percent of the state's personal income tax revenue with them and the state budget that just went into effect on July 1st will now be out of balance by as much as twelve billion dollars.
So once again we'll be looking at a mid-year budget renegotiation come December 31.
But yeah, let's fuck the rich because, well
fuck the rich! Oh, but now WTF do we do with all of the programs that depend on the rich people?
![huh? [huh]](./images/smilies/icon_scratch.gif)
Seriously, you can't just willy-nilly fuck over the most very mobile segment of your population and expect them to pay through the nose for the privilege of being hated and raped by your political class.
These people can move to another state or country with relative ease. The proper balance of taxes is then not so much that it becomes sensible for these people to flee.
It's not about hating the rich or saying fuck the rich, it's about getting them to pay their fair share for the resources they use.
The wealthy (well those who actually work for living and not financial parasites like those on Wall Street) benefit more from the education system than you or I, because it churns out workers for them who need less training. They benefit from infrastructure spending more than you or I because it allows them to more their products to market more efficiently. They even benefit more from the health care system because it keeps their workers healthy enough to come in to work every day.
The fortunate thing is that it is difficult for many industries to move, because the resource they exploit is situated somewhere and will not move. Of course companies can choose a foreign country over a state/province in the North America, but while there are higher payoffs, some of the costs are higher (language, shipping, work culture, etc.) as well as the risks (corruption, extortion, terrorism, etc.). It seems like most NA companies prefer to operate here and hedge their bets overseas to boost profits, so share prices and dividends keep growing.
Besides the tax code is so full of tax exemptions that even if those 15 had stayed in California, odds are they still wouldn't have paid all that much - kind of like Donald Trump and his $900 million tax write-off in the 90s that meant he didn't have to pay taxes for 20+ years.