Monday, June 20, 2011

Insanity Reigns Among A Certain Group...

There is a certain group of people who are pushing for an internet sales tax - a tax on every retail sale made on the internet. These people actually believe that taxing internet sales would raise revenues and boost the economy.

They never bothered to study the history of such a move. Each and every time that taxes were raised, revenues actually dropped, and resulted in slower econmic growth. Every time taxes were cut, revenues expanded, as did growth. The simple reason -- when you have more money, you spend more. Increased spending results in higher demand, resulting in increasing productivitry, usually resulting in more hiring (jobs).

And it seems this insane group also does not understand that in a recession, when most families are in a financial squeeze, increased taxes could ruin them, forcing more people into foreclosure and/or failure to pay their debts. It would put more people on food stamps, which costs taxpayers dearly.

And who is this insane group? Liberals, like those at HuffPost/AOL who are among those advocating this insanity.

According to the liberals pushing this, taxing internet sales would raise tax revenues by $23 billion a year. What they cannot seem to grasp is that it will cost us, the consumers, $23 billion a year. And if you take $23 billion away from us, that's $23 billion we no longer have for spending on consumer goods, resulting in fewer sales, less demand and a decrease in productivity (lay-offs). Is that what we really want? Just so our government can keep spending like drunken sailors, wasting money on tunnels for turtles?

Why do liberals never understand that? It is so easy to demonstate, right in their own homes. Take an extra 5% out of your take-home pay and set it aside, or give it away to charity. And then try to buy as many consumer goods as you did before your pay cut. Can't be done. Now multiply that by the hundred million families nationwide. You soon notice that there are many goods no longer being purchased. So businesses have to reduce production, resulting in lay-offs. That is how a recession begins, not ends.

Strange how liberals do not see that taking extra in taxes has exactly the same effect as making public union workers pay a larger share for their benefits. Both would reduce the money available for comsumer goods. Yet the liberals say it is wrong to make union workers pay more because it "makes them poorer". But they see no problem with taking more money from everyone in an internet tax.

So, public union workers -- when you gripe when more is taken from your paycheck to cover your benefits, don't forget to gripe when more is taken from you for taxes, courtesy of your "friends", the liberals. And be thankful that our government is getting the money (from you) to keep building turtle tunnels, or funding skateboard parks in some other state.

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