Showing posts with label taxes. Show all posts
Showing posts with label taxes. Show all posts

Wednesday, October 10, 2012

What's the Matter with White People: Why We Long for a Golden Age That Never Was








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A book by Joan Walsh. This is an excellent book. Walsh argues that government action built the American middle class in the years after world war II. The things government did to create a strong middle were not available to blacks and Hispanics, until the social action of the 60's opened them up to minorities through the civil rights act. From that point on the Republican propaganda merchants begin selling the white middle class on  a mythical golden age and feeding them the line they did it all themselves by their own worthiness as superior people. They totally forgot about the G.I. Bill, legislation that fair housing possible controlled lending, created cheap housing for middle class families, medicare which freed people from huge expense being wiped by illness in their "golden years."

Walsh, who is white, daughter of a Steam Fitter and union man, traces the rise of the American middle class from the New deal. Republicans in the Reagan era spread about the myth that Roosevelt didn't do anything. By the time that happened most of the old Roosevelt supporters and the adults of the depression who weathered the storm and aw what he did for them, were old and dying and not longer taken seriously by their children. So no on Remembers what Roosevelt did. The New deal a life saver for millions of people. It put the country back to work at a time when unemployment was 30% (we think we have trouble when it's at 8%--it just fell below 8% but no one cares). Even before the new deal American society was a fudealistic culture with the Rich ruling like monarchs in an unoficial capacity and whole states living in darkness with no electricity. Rural electrification was one of the major things that created the middle class, it gave people lights and telephone labor saving devices like washing machines. The old rich monarch of the community is seen, although most people probably don't know it, in the character of Mr. Burns on the Simpsons who is patterned after characters on Orson Well's film "the Magnificent Ambersons." (see about novel) The joke is Burns is so old he's a hold over from a past age int eh 19th century; the old money families are still in charge, as robber barons they ran coal mines, how they run the nuclear power plant.

The Tennessee valley authority is an example of the kind of government help that got the American middle class on its feet. This problem would be called "socialism" by tea party types it's what up American into the 20th century. About the time programs like fair housing started being administered to minorities, Republican pitch began laying the ground work for the Reagan era by spinning myths of a golden age when conservative Christianity was the norm and everyone was a republican and all white Americans pulled themselves up by their own boot straps. That was the major propaganda line for Reagan. The "America is Back" theme harkened unto that non existent golden age. On Tavis Smiley (the dreaded PBS) Walsh talked about how modern conservatives will speak of "getting government out of medicare" as though medicare is not a government program or an entitlement. It is both. It was major thing that made economic independence of the middle class possible.

SF GATE: Book Review

'What's the Matter With White People?'Joel Whitney

Updated 3:16 a.m., Monday, August 27, 2012

Reagan wielded the phrase "welfare queens," and pushed a false view that most recipients were black, lazy and happy not to work. This helped galvanize a false sense among working-class whites that they themselves had never received government help on their way to the middle class. "I once blamed the conflict solely on wealthy capitalists and their politician-servants such as Nixon and [Pat] Buchanan," Walsh writes, "pitting the two groups at the bottom against each other." No more. Her own side, including the race-obsessed left, played, and plays, into this.

In a sense, Walsh sees herself taking up the actual "sweet, reasonable middle." She describes a whiplash, "one day calling out the racism of the president's worst critics, the next day being accused of racial bias by Obama's defenders if I described his disturbingly centrist political maneuvering."Read more: http://www.sfgate.com/books/article/What-s-the-Matter-With-White-People-3814027.php#ixzz28tFiQBzM

 Now the myth is that government is always bad, it's destroyed our way of life. what's destroyed the prospects of the middle class is Bush's policies, before him Reaganomics. The Republicans billed the poor "a special interest" while maintaining that the true special interstates (the 1%) are escaping the rising tide of taxes on the middle class. The label democrats "tax and spend" while they themselves are the one's whose tax cuts were primarily for the rich. Rowney's policies put the tax burden squarely on the backs of the middle class while allowing the rich to escape. Obama's tax policy would give the middle class the break and put the burden on the 1% who have 90% of the wealth and don't pay taxes. While middle class feels ignored because Republican rhetoric has made them feel that regulation is to blame for all their problems. It was the destruction of regulation that allowed the near economic collapse at the end of the Bush years, the need for the big bail out of banks. Despite what Romney said in the debate he had campaigned all along on a formula of decreasing revenue and cutting social program (such as medicare which he would replace with a voucher system). So he's just continuing the policies and the myth of the golden age and the self reliant self made boot strap white people who never had relied on government and are now oppressed by too much government. what they really mean by "too much government" but less protection from rip off and more burden on the middle class, few social programs.

 Walsh's book is also a personal memoir of her family. I traces where they came from and what they've been through. This helps the reader relate and to puts our own experiences and our own family histories into focus.


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I looked up "what was he accomplishment of the new deal on Yahoo just to see what the popular misconception is:

best answer chosen by voters
The purpose was to give the economy a boost. It's major accomplishment though was to keep us stuck in the Great Depression for years longer while the rest of the world was already recovering and out of their depressions.

Primarily, it tried to put unemployed people to work rather than creating jobs for them to get. The difference being that the jobs created by the New Deal were similar to paying some homeless guy to clean your dining table. Sure it's a nice gesture to help out that person, but it's not any sort of real job that impacts the economy. All it does is end up keeping millions of people dependent on the government so they can keep their pseudo-job since no one else would pay them to do that job.
They didn't create any jobs and it was the New Deal that kept us in the depression. those who lived through unanimous to the least 1% new it saved their lives. The know nothing doesn't even realize the rest of the world was coming out of it because they were trying similar things to the new deal.

 The New deal created millions of jobs. So that perception of it is a total lie. one can find it being taught in economists class all over the country.




































Saturday, July 21, 2012

How Do Taxes Figure in the Comming Campaign?

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Romney's tax return has become an issue. The charge that may have committed a felony by retroactively retiring form a company that he continued working for at the time, and thus made conflict of interest, hasn't escaped the notice of either his enemies or his friends. Both side urge him to resale his tax returns.

What about the way taxes figure into the campaign as an issue? The Obama campaign outlines their position thus:

Info please

Budget/Deficit/Taxes

  • Will focus on continuing to stimulate the economy by creating new jobs and investing in health care, education, energy, and infrastructure
  • Increase alternative energy production, modernize and weatherize buildings and homes, expand broadband technology, and computerize the health care system. Obama has said these measures will create some 3.5 million jobs
  • Supports the Making Home Affordable Modification program to prevent foreclosures and the Making Home Affordable Refinancing program to restructure loans to keep people in their homes
  • Has demanded accountability and transparency from banks and other financial institutions
  • Plans to create a financial regulatory system that makes executives in the financial market accountable for their actions and prevents fraud
  • Will work to make the tax system more fair to working families and the middle class and eliminate loopholes that benefit the wealthy
  • Has promised to simplify the tax code
Romney Campaign (Ibid)

Budget/Deficit/Taxes

  • Criticizes the Obama spending bill, saying it will only stimulate the government, not the economy.
  • Believes a well-crafted stimulus plan is needed to put people back to work and that permanent tax cuts should be at the center of the stimulus plan.
  • Believes in the principle behind Reaganomics: cutting taxes brings economic growth.
  • Supports a budget that cuts payroll taxes for people aged sixty-five and older as well as cutting taxes on people earning less than $200,000 a year, including reducing taxes on savings and investment.
  • Supports a national catastrophic fund to cover home owners insurance in the event of natural disasters like hurricanes and tornadoes.
  • Opposes the estate tax.
  • Believes only private sector entrepreneurs will create the millions of jobs that the U.S. needs.
  • Endorses eliminating the minimum wage.
  • For placing sanctions on China.
  • Wants to cut the corporate tax rate.
Granted this is the public face each side puts on so the voter will get an idealized view of them in their sundae best all clean and antiseptic so one might vote for them.

What's the real difference? Obama wants to use taxes structures to stimulate the economy but Romney claims this will only help government. The Republicans argue that private sector is more productive and doesn't evoke huge government spending. When Republicans have given their blessing to tax cuts for private industry the private industry doesn't spend the money on labor intensive projects. When Reagan made tax cuts so the steel industry would modernize they invested in oil and other less labor intensive things and did not modernize their industry and we continued to decay into the rust belt and couldn't compete in steel. (see also)

Populist Daily
Sat July 21,2012

Ronald Reagan cut taxes in the belief that doing so would stimulate the economy several times more than the cost of the tax cuts. It is something like this (and it sounds…sounds…logical): if we cut the amount of money you pay to the government (taxes) then you will have more to spend. The more you make, the more you save in taxes and the more you have to spend or invest. More spending and investment will boost the economy several times more than the cost of those tax cuts to the government.

Well, it sounds great but we all know now that it did not work. Studies by the Congressional Budget Office showed that the most that the government (that is, us taxpayers) could expect to get back in return was about 20% of the money that the government lost.

The result of those mixed up economics was a continuing deficit of hundreds of billions of dollars a year up until Bill Clinton was able to stem it and balance the budget in the last three years of his eight years as President. But by then the national debt was $5.6 trillion dollars! Then, George W. Bush and Dick Cheney took it to $12 trillion in just 8 years, relying on the advice of the same economists who had incorrectly guided Reagan and Bush’s father.




American productivity has continued to rise but the American middle class has not benefited from it.

While some think "if public sector stimulates works why didn't the stimulus package do any good?" Why did the economy continue down hill? It's been reported that the stimulus package did create a couple of million jobs. The problem we continued to lose more than that. Things would have been much worse without the package, it's hard to see that because they they still got bad. It would have been much worse without it.

If you look at Rowney's no 2 point you see it reads basically like Obama's no 1. Neither list is really is saying anything at that point. What are they calling "well crafted?"

Obama wants to extend Bush Tax cuts to middle class and not the super rich.

CNN Politics
July 9, 2012

Washington (CNN) -- President Barack Obama revitalized his push for holding down middle-class tax rates Monday, calling on Congress to pass a one-year extension of the Bush-era tax cuts for people earning less than $250,000 a year.

In a White House statement delivered while people described as working Americans stood behind him, Obama said his proposal would provide the certainty of no tax increase next year for 98% of Americans.

Noting that Republicans seek to maintain all of the Bush tax cuts enacted in 2001 and 2003, Obama said both sides therefore agree on extending the lower rates for middle-class families.

click on link to see video

A Romney Campaign official is quoted as saying:

"President Obama's response to even more bad economic news is a massive tax increase," said Andrea Saul, the Romney campaign's spokeswoman. "It just proves again that the president doesn't have a clue how to get America working again and help the middle class."

Unlike Obama, Saul continued, Romney "understands that the last thing we need to do in this economy is raise taxes on anyone." (ibid)

Don't raise taxes on anyone is the Republican euphemism for "let the 1% get richer." This relates back to what we said above. They want you to believe that if they don't tax the rich the rich will spend the money on labor intesive probject and crate jobs. They constantly speak as though right wing rich guys know all about job creation. As we have seen what really happens is they invest the money overseas where it doesn't create American jobs.

The republicans charge that Obama's tax program will harm small businesses the truth is "Obama, however, said that under his proposal, 97% of the nation's small business owners would benefit from having their lower tax rates maintained at current levels.'This isn't about taxing job creators," Obama said. "This is about helping job creators.'" (ibid)