In a recent interview, Warren Buffet said this: “No, and I think would have a great effect in terms of the morale of the middle class, who have seen themselves paying high payroll taxes, income taxes. And then they watch guys like me end up paying a rate that’s below that, you know, paid by the people in my office.”
Warren Buffet has been championing this idea that taxing the wealthy is good for the country. He talked about it prior to the election and now he’s blathering about it post-election. There is simply something I don’t understand here. How can such a successful businessman be so ignorant when it comes to economic matters?
Not only is his idea–which is also Obama’s idea–absurd on its face, his reasoning is baffling. He says that taxing the wealthy at a higher rate would boost the morale of the middle class. I have two questions for Mr. Buffet: Do you think that the middle-class is so envious, so hateful, that they would feel good if those who are successful had less? And if so, what would a boost of middle-class morale provide for the country? Let’s see.
1. Hiking up taxes on the wealthiest among us barely puts a dent in our debt. It merely plays into the class warfare culture that Obama is continuing to foster.
2. If the top 400 wealthiest people in the country had every penny of their net worth taken away, it would only amount to $1.7 Trillion. That’s about 9% of our total national debt; that’s it.
3. When England levied a 50% top tax rate, 2/3 of Britain’s wealthy pulled up stakes for friendlier land. Taxing the wealthy more will lead to revenue loss.
4. If you take all money from the wealthy–as I mentioned above–to pay off a whole 9% of our national debt, there would be no money left to invest in anything; our economy would collapse. It’s the wealthy who run big business and employ our country.
5. In addition to my previous point, taxing the wealthy at higher rates will only serve to pass the costs on to the consumer. So in the end, the middle-class suffers anyway.
What is the point of taxing the wealthy at an astronomical rate? We’ve established that it does little to nothing in regard to paying down our debt; that it would leave less money for investments and therefore employment; and that the cost ends up being passed right on to the middle-class anyway.
What it does is pit the middle-class against the wealthy, and win elections for Democrats. It is a voting scheme as old as time: divide and conquer. Somehow, Warren Buffet has become a shill for Obama and the Democratic Party.
In the end, the question is this: Why would such a successful businessman stand with Obama on such absurd economic ideas? Well, that’s the question we should all be asking. It reminds me of an old Japanese proverb: “When you buy a vase cheap, look for the flaw; when a man offers favors, look for the motive”
Look for the motive, folks. Look for the motive.