Ben Stein struck again on Fox News when sitting on a panel he simply tore through Charlie Gasparino with facts.
Ben Stein Says as he is constantly interrupted.
Charlie with all due respect there is no data, no reputable study showing that raising taxes on rich people inhibits growth
Charlie Gasparino injects
Nineteen eighties, Nineteen eighties, cutting capital gains
Ben Stein retorts through continuous interruption
sir from 82 to 88 every year Mr. Reagan raised taxes
Republicans have been trying for a long time to suppress all the reputable studies that show clearly that raising taxes on the wealthy do not adversely affect the economy. In fact because the marginal propensity to consume of the middle class is greater proportionally than the rich, and because marginal tax increases does not inhibit any marginal spending increase by the rich, it can actually improve the economy. How? If that tax increase is returned mostly to the economy and partially for debt relief, there is a large multiplicative effect to the economy. This was borne out under both President Reagan and President Clinton.
Of course Reagans huge budget deficits were very stimulative and as such most of his economy was based on stimulus and not on inherent real increases in permanent investments in America as a whole.
See the video below. It is quite informative of the deceptive practices of the characters on Fox New.
If one watches CNBC or most financial channels, the impression is given that the free market as the best allocator of resources if left unfettered is the solution to all that ails the country's economy. This god, the free market, will ensure that productivity and efficiency are rewarded. Additionally ones wage is somehow proportional to their worth within the economy.
The reality is that all those pretty words and theories amount to hogwash. As productivity increased in this country, and employees provided more value, only those at the top that do little got the spoils. These are theories intent to keep a class system in which a very select few control most of the capital and the government. A selected buffer class just large enough to be very obvious, that has the semblance of prosperity guards the gates. And then, there is the rest, the struggling middle class and the poor class.
Firstly, there is no free market. Corporations are grabbing patents or acquiring patents left and right however dubious the claims. Farmers are losing their ability to grow their crops free with their own seeds, because of cross pollination with genetically modified seeds of major corporations who own the patent on those seeds. New innovations are stifled when corporations stop them based on some dubious claim of patent infringement.
Secondly, while politicians are elected democratically, they are generally elected on false premises. The fact the mainstream news media is controlled by a few companies, means that the messaging heard by Americans are corporate centric. As such, only politicians that toe the line tend to get the ability to get a message out that can get them elected.
Most Americans are broke. There is a semblance of having but they are broke. Even assets that use to be considered sacred, an asset to be passed to the next generation, one's home, is being taken away by using advertising that induce bad decisions. The reverse mortgage while in very few instances can be a good thing, is sapping the last piece of wealth the average middle class American could count on.
Thirdly, the current tax structure mathematically ensures the demise of the middle class. This is a mathematical fact. The working person's income comes mostly from wages. The wealthy person's income comes mostly from municipal bonds and capital gains. Wages are taxed at up to 39% and municipal bonds interest is not taxed at all while capital gains are taxed at 15%. It is a mathematical impossibility that the wealthy will not continue to get a very disproportionate take of the pie. Worst, if the growth rate of the pie is stagnant or near stagnant it means income and wealth inequality and poverty accelerates. All of this is borne out by today's American reality.
Right Wing and centrist "economist" would like to make one believe that the reason for most of these problems are caused by job polarization, high skill and low skill employment growth, while the middle stagnates mostly because of technological changes. The article, "Job Polarization in the 2000s?" dispels this fallacy.
The elite talking class on the major networks, whether from the center or the right have misled Americans. The wealth of most Americans has been in a state of stagnation since the institution of Ronald Reagan's supply side economics (termed voodoo economics by George HW Bush) that America is still living under. Until this form of economics is disbanded and corrective action taken via the tax system, the middle class will continue to falter and the Plutocracy will continue its unfettered reign.
The White House Office of Public Engagement (OPE) has tapped organizers from 18 states to help President Obama fulfill his second term agenda starting with the fiscal cliff. I, along with the group of roughly 75 others from across Texas had the honor of visiting the White House to participate in these discussions. We often hear from Texas Republicans that this administration has forsaken Texas but nothing could be further from the truth. We had the opportunity to hear from Jon Carson, Director for the Office of Public Engagement, and he told us how important Texas was to this administration particularly with respect to our high number of uninsured as it relates to our coming health care exchange. Whether it is expanding health insurance coverage or Medicaid, Texas leaders continue to reject much needed federal assistance while simultaneously claiming we are being ignored. The fiscal cliff is the first challenge but we were assured that these conversations will continue throughout the President's second term.
It took four months for the administration to organize around a message after his first inauguration and I can remember quite clearly Democrats and progressives questioning how such an effective election campaign had failed to seamlessly convert campaign promises into legislative victories even though our party held both chambers of Congress. This was partly due to the transition into the world's most difficult job but also legal constraints preventing Obama For America (the campaign) to act as an official arm of the White House. Though the 2nd issue remains this time around the Administration knew on day one what its priority would be. The President would use his political capital to pass a more fair tax plan that involved raising taxes on the most wealthy among us - a laudable and responsible goal considering the increasing wealth disparity in the US is beginning to look more in line with 3rd world nations.
At the behest of OPE our group held breakout sessions where we discussed many aspects including social media, messaging, advocacy, testimonials and letters to newspaper editors across the state. The social media breakout group came up with a Texas version of the White House's own My2K, and the independent The Action called Don't Jump Texas. The My2K concept is based on the fact that the average middle-class American taxes will go up by $2000 if Congress does not act to avoid the fiscal cliff, and asks Americans what an extra $2K would mean to this this holiday season. The Action was created as a hub for ideas and actions taking place across the country to assist the administration in their efforts to bring tax rates for the top 2% to that of the Clinton era.
Don't jump Texas is the result of our efforts to create an outlet that is Texas-centric and focuses on how going over the cliff will hurt our state. You can join the conversation on twitter by following @DontJumpTX, using the hashtag #DontJumpTX along with #FiscalCliff or find us on facebook at facebook.com/dontjumptx. If you would like to be part of our video testimonial of what the fiscal cliff or an extra $2K means to your family please contact us on either facebook or twitter.
There isn't much time and the White House assured us that the President is prepared to tackle an aggressive second term agenda but that they need this important victory behind them when he lays out his vision on inauguration day January 21st. If you need further proof that this President plans to work closely with Texas in his 2nd term, just ask the administration what they hope could be his greatest 2nd term accomplishment - comprehensive immigration reform.
8.7 million middle-class families will see their federal income taxes go up.
A typical median-income family of four (earning $65,900) could see its income taxes rise by $2,200.
Families will receive a smaller Child Tax Credit, and 3,391,000 low-and moderate-income working families with children will lose access to the Child Tax Credit altogether, costing them an average $1,010 a year.
963,000 middle-class families will no longer get help paying for college from the American Opportunity Tax Credit.
Small businesses will be able to claim immediate tax deductions for only $25,000, rather than $250,000 of new investments.
The Austin American-Statesman reported Tuesday that former Texas great Vince Young is out of work and out of money. According to the Statesman:
"Six years after entering the NFL as the third player taken in the draft, Vince Young finds himself without a team and with just a fraction of the money he received from a contract that guaranteed him $26 million."
"Young is suing his former agent, Major Adams, and a North Carolina financial planner, Ronnie Peoples, alleging that they misappropriated $5.5 million. In some instances, the pair forged his signature or impersonated him on the phone or in emails, according to the lawsuit, filed in Houston in June.
The suit was filed five days after a New York lender notified Young that a loan of nearly $1.9 million obtained in his name during the NFL lockout in 2011 was in default. Young is now seeking to stop the lender, Pro Player Funding LLC, from enforcing a judgment of nearly $1.7 million, claiming he wasn't involved in obtaining the loan and that the proceeds went to Adams and Peoples."
With 26 million pre-tax dollars in the bank, the question follows: where did it all go? Two even nastier currents underlie that question: 1) Just another dumb football player who wasted his money; and 2) if I had that much money, that would never happen to me. If only .
Young's case is not noteworthy because he's "bad with money." Young's case is news because of who he is and because of the scale of the losses (for a single man; banks are another order of magnitude entirely). But Young's case is not unique. Many (arguably, most) people are bad with money. A few figures begin to illustrate how widespread Young's problem is.
According to the American Bankruptcy Institute , in 2007, there were approximately 822,000 non-business (i.e.: consumer) bankruptcy filings in the United States. In 2008, that number rose to more than 1 million, reaching more than 1.3 million annual non-business bankruptcy filings in the United States in 2011.
Tax figures are also illuminating. According to a 2011 article in USA Today, sourced with numbers from the IRS Taxpayer Advocate Service, in fiscal year 2010, the IRS filed tax liens against more than 1 million taxpayers. Generally, taxpayers with liens against them are taxpayers who could not timely pay their tax liabilities and who had not entered into a payment arrangement or offer in compromise with the IRS.
Notably, these bankruptcy filings and IRS liens only account for those who went into the system in those particular years. Those numbers do not account for those already in the system and subject to workouts of various types. For instance, a Chapter 7 bankruptcy case will normally take between three and five months to proceed through the federal court system. A Chapter 13 bankruptcy case permits a bankrupt debtor to pay debts over a time period often lasting between three and five years. Moreover, those numbers don't account for those who have yet to appear on the grid.
This is to say that at any given time, the number of people who can relate to Vince Young from a balance sheet perspective may correspond significantly to the number of people who brand Vince Young a spendthrift getting his comeuppance.
NONPROFITS FOR THE UNPROFITABLE
So, what's a taxpayer or debtor to do? If you are Vince Young, you can sue your former business partners or managers and try to resolve the situation with not inexpensive counsel or advocates. If, however, you're not Vince Young (despite any similarities in debt to income ratio), help lies elsewhere.
With money in hand, a reputable attorney or financial advisor could be a prudent choice to help navigate those shallow legal and financial shoals. However, when the very problem blocks access to the solution, there are always nonprofits. Some offer counseling and legal services; others offer financial education services of varying degree and scope. A quick Google search focused on Central Texas yielded I Live Here, I Give Here, which, among other things, catalogues nonprofits that can help those in financial distress and those who want to avoid it in the first place. For instance, and without endorsing any service or program, we were able to find the Financial Literacy Coalition of Central Texas .
The point is that there is a robust demand for these services and apparently, a supply to meet it. So, America and Texas, denounce Vince Young, get it out of your system, and then dig out the pile of unopened bills on the kitchen table and get to work. You've got a lot of it.
If Senator Jon Kyl's accusation that Obama talks too "incessantly" about the middle class wasn't enough of an indication, Republicans aren't very concerned with the middle class lately. And in their latest tax plan, it really shows.
It came as no surprise that when President Obama proposed a package that would give tax cuts to all Americans - including the top 2 percent - Republicans pushed for an extra tax cut for the top 2 percent, on top of the one they're already getting.
Now it seems that a double tax cut for the wealthy wasn't the worst of it - in order to pay for the tax breaks, the Republicans actually want to raise taxes on the middle class.
Tax cuts for 98 percent of Americans. (The wealthiest two percent would also still get a tax cut on their first $250,000 of income.)
TAX CUTS REPUBLICANS ARE INSISTING ON:
An extra tax cut for the wealthiest 2 percent of Americans, including millionaires and billionaires.
TAX INCREASES REPUBLICANS WANT:
Limiting eligibility for the child tax credit, which constitutes a tax increase on 12 MILLION families. This works out to an average tax increase of $800 per family. In the case of a family made up of one person earning minimum wage and two children, the tax increase would be much larger according to one estimate: $1545.
Curtailing tax credits for higher education expenses from $2500 a year to $1800 and reducing the years of eligibility from four years to two. This translates into an average tax increase of $1100 for 11 MILLION families.
Cutting back on the earned income tax credit for families with three or more children and worsening the so-called "marriage penalty" on working poor couples, which translates into an average tax increase of $500 for 6 MILLION families.
All told, these Republican tax increases would hit more than 25 million poor, working, and middle class families.
The Republican commitment to tax cuts for the wealthy at the expense of the working and middle class is nothing new. Tax breaks the wealthiest two percent of Americans has been a cornerstone of Republican economics over the past decade. But proposals like these bring to light what exactly they're willing trade for it - and that they're willing to hit the people who need it most.
The Senate is voting on the tax cuts today, and we'll update after the vote with a Texas roll call.
The article pertains to an attempt to change in practice in which Texans will now have to pay sales tax for items bought via Amazon. In pertinent part:
It would also mean thousands of Texans would have to start paying tax on the electronics, clothes and other items they buy from Amazon - just as they do when they go to the mall or local Walmart.
Such a practice only makes sense and does present a fairer playing field. I cannot fault Ms. Combs for that.
My question for the BOR readers:
Can anybody think of an example, say corporate or business taxes, in which Ms. Combs was not as zealous in collecting?
My point - is she being politically selective in making sure the State collects taxes from Amazon, meanwhile looking the other way when other more politically potent organizations have tax debts here in Texas.
Think hard and write well (at least better than I do) if you come up with something.
For eleven-and-one-half years Rick Perry has been the Governor of Texas. As the Lt. Governor under George Bush, he took over as Governor when Bush was elected President. Thus when he ran for Governor in 2002, and 2010 he was the incumbent Republican. Texas is one of the "most Republican states in the United States," with Republicans controlling all statewide offices, both houses of the state legislature, and Republicans have a majority in the Texas congressional delegation.
A. Perry Does Not Work Full Time
Section 658.002 of the Texas Constitution requires that all salaried employees of the state "shall work not less than 40 hours a week." Rick Perry is a salaried employee and makes an annual gross salary of $150,000.00. Thus the Texas Constitution expressly required Rick Perry to work no less than 40 hours per week. However it is undisputed that Rick Perry is not, and has not, worked full time for the State of Texas for more than one year. As documented by Perry's own calendar, during the year after he was re-elected in 2010, he has worked less than half-time, from the period of Nov. 1, 2010, through Oct. 21, 2011. In particular Perry's own calendar revealed:
1. Of the 355 days Governor Perry was employed by the State he only worked a total of 164 days for "State Scheduled Business". Thus, for 191 days out of 355 days, Governor Perry had no "State Scheduled Business." That means he worked less than 50% of the days in the 12 months before November 1, 2011, or just 46% of the days.
2. Perry did not declare his candidacy until August 13th, 2011, and even before that he failed to work 144 days out of approximately 9 ½ months, or 285 days. That means that he worked less than half time as Governor of Texas, even before he declared himself a candidate for President.
3. Of the days that he did perform some type of state business, he failed to work a significant number of hours during a normal work day. Examples were provided.
Additional records have been received from the Governor's office. They cover the last four months, from the period of November 1, 2011 through February 29, 2012. These records show that during this period he did not do ANY state business for 96 of those 121 days. Of the 25 days that he reports some "state business" he rarely worked a full day. For example,
1. Three of these 25 days when he reported State Business, 2-17,18, 19, were devoted exclusively to "hunting." It is not clear from those records if he was hunting at his "Niggerhead Lodge."
2. There is no record of how many hours during these days were actually spent hunting, as opposed to drinking, eating, or having sex.
For at least 10 other days he worked less than half time during each day:
3. On 12-25 he worked from 11:00 - 2:30.
4. On 12-22 he worked from 7:00 - 7:45.
5. On Thursday Jan. 19th, Perry announced he was dropping out of the GOP primary race.
6. On 1-23 he worked from 10:00-12:30, with 30 minutes before and after this state business when he was driven by his state paid chauffeur.
7. On 1-24 he worked from 1:15- 4:15.
8. On 2-2 he worked from 12:40- 3:00.
9. On 2-6 he worked from 8:30- 12:45.
10. On 2-7 he worked from 1:50- 4:45.
11. On 2-13 he worked from 1:15- 3:40.
12. On 2-25 he took one call at 4:45.
13. On 2-27 his only state "business" was his attendance at a funeral from 4:45 to 6:30
Thus for half of the 25 days that Rick Perry did some state business he averaged 2.5 hours per day. In conclusion even before and after declaring his intention to seek the GOP nomination for President Rick Perry worked LESS THAN HALF TIME!
B. Rick Perry Currently Receives Retirement Benefits from Texas.
Perry receives monthly retirement benefits NOW of $7698 per month, which brings his total annual salary, paid for by the State of Texas, to more than $240,000.00.
C. Rick Perry Promised that if Elected Governor in 2010 that he would NOT run for President in the 2012 race.
D. Rick Perry Lied.
On August 13, 2011, less than one year after the 2010 election, Rick Perry declared he would seek the Republican nomination for President.
E. Rick Perry's Expenses on the Campaign Trail Cost Texas Taxpayers Over $3,600,000.00
Rick Perry spent 160 days running for President. During that time Texas taxpayers were charged for travel expenses of Rick Perry, for he and his staff, and for his security detail, including overtime. Those costs have been documented to be $3,600,000.00, and there may be more charges to come.
F. When the Governor is Out of State, Texas is Required to Pay For a Substitute Governor.
During the time Rick Perry was campaigning outside the state of Texas, the state was required to pay more than $32,000 for the Lieutenant Governor or the Senate pro-tem to do the Governor's job. In addition to the salaries paid by Texas to David Dewhurst for his regular salary, the Lt. Governor was paid an additional $29,589 due to Perry's absence, and Mike Jackson, the Senate pro-tem received $2,876.
G. Taxpayers Have Been Charged For Triple Costs For Perry's Accommodations
In late 2007 Rick Perry moved into a lavish rental mansion in West Austin while repairs were to be made to the Governor's mansion. In June of 2008 the Governor's mansion burned, and required Rick Perry to extend his stay in the rental mansion. Costs for the rental property have been estimated to be $800,000.00. Knowing that the mansion has five bedrooms, seven baths, three dining rooms, a gourmet kitchen, and pecan wood floors, such a heafty price tag might be expected. Given the location of the mansion on 3.3 acres of land, who would question the expense?
Costs for the actual renovation of the Governor's mansion are being paid for by U.S. taxpayers through the use of federal stimulus money of $11,000,000.00 and by Texas taxpayers through taxpayer dollars of $10,000,000.00. Thus while Rick Perry was on the campaign trail, Texas taxpayers were paying for his hotels, his rental mansion, and the Governor's mansion.
H. Perry Re-built His Fire-Ravaged Home at a Cost of $40,000,000.00, while Texas Burned due to Budget Cuts of Less Than That Amount.
While Rick Perry found $40,000,000.00 to rebuild his mansion that burned, Perry cut 75% of the budget for volunteer firefighters or $34,000.000.00. Obviously his priority was rebuilding his own home rather than protecting the lives and property of the Texas taxpayers. Volunteer firefighters make up 80% of the state's firefighters. Even though the unprecedented drought was recognized as early as July of 2009, Rick Perry endangered the people and property of the state by cutting funding for volunteer firefighters. Over the last year, while Perry was off campaigning, Texas burned. Over 21,000 wildfires burned 3.6 million acres. More than 1500 buildings burned while Perry was doing the very thing he promised NOT to do if reelected Governor. Just one of these fires burning out of control, while he was on the campaign trail was 14 miles wide. Instead of determining where he could find the funds necessary to support firefighters in the state, Rick Perry was giving away money to his political donors, and rebuilding his mansion.
As a taxpayer in Texas, I'm fed up with Rick Perry. He is already suggesting he "absolutely" might run for President in 2016. If Rick Perry runs for President, or even Governor again, you can absolutely know that his opponents will simply capitalize on his record.
(Note: This article continues a weekly series called "The Light of Truth" shining the light on factually inaccurate and slanted information polluting Texas and National politics.)
As Rick Perry continues his Presidential Campaign, he has been repeating talking points that falsely assert Social Security is insolvent:
"It is a Ponzi scheme for these young people. The idea that they're working and paying into Social Security today, that the current program is going to be there for them, is a lie, .... It is a monstrous lie on this generation, and we can't do that to them."
So what is the truth?
REALITY CHECK FOR SOCIAL SECURITY
Social Security is currently solvent;
Future funding shortfalls are minor and can be easily handled; and,
The Ponzi Scheme accusations are false and based on superficial analysis.
SOCIAL SECURITY IS CURRENTLY SOLVENT
According to the non-partisan Congressional Budget Office Report , Social Security is financially solvent and can continue to pay benefits at their current level for over 25 years without experiencing any funding shortfall.
The current political problem is that for the first time, the amount paid in social security taxes is less than current benefits, forcing the so-called social security trust funds to be tapped. However, even if there are no changes to taxes or benefit formulas, as late as 2040, social security taxes alone will cover 80% of projected benefits.
So the short answer is Social Security is not at any immediate actuarial risk.
SOCIAL SECURITY'S FUTURE FUNDING IS EASILY MANAGEABLE
In the off-chance that Congress has done nothing to handle the anticipated social security shortfall in the next 25 years, the system could still remain solvent merely by requiring a 20 percent reduction of benefits. Of course, such a drastic across-the-board cut can easily be prevented by prior action.
The Congressional Budget Office has done the math on 30 specific fixes, including such items as increasing social security taxes by 1,2, or 3%, eliminating or altering the taxable maximum, lowering benefits for the wealthiest Americans, changing benefit formulas, raising the Full Retirement Age, and altering the Cost of Living Adjustment (COLA).
Later today, you will be appearing with Texas Governor Rick Perry and other leading conservative advocates to champion the "Texas Miracle." You will make arguments that they don't raise taxes in Texas, and Governor Perry will talk about a no new taxes pledge, and conservatives in Texas and across the country will rejoice at your frguality. I'd imagine that few, if any, in the media will even challenge your appearances, instead carrying your refrain of "no new taxes" to the masses without comment or correction.
You, of course, will be lying today if you say Texas does not raise taxes. So will Governor Rick Perry, and any other conservatives who try to piggyback on your message. You will be lying because Governor Rick Perry raised taxes for 213,000 employers this year.
The Texas Workforce Commission is issuing up to $3 billion in bonds and raising 2011 taxes for employers to replenish the state's ailing unemployment trust fund.
About 213,000 employers will pay more in unemployment taxes, but commission officials say the increase is small. For those employers paying the standard minimum tax, the cost will go up to about $70.20 per employee, from $64.80 last year. That's about an 8 percent increase.
Legislation, reports, news articles and expert analysis show that Perry has signed about half a dozen tax increases into law, including the three 2006 changes intended to help cover cuts in school property taxes.
Texans paying more thanks to Perry's signature on tax-increase measures include companies with higher business taxes, plus cigarette smokers and purchasers of smokeless tobacco, fireworks and diesel equipment.
I'll be watching what you say today, Mr. Norquist, and I'll be watching how the media reports what you and Governor Perry say. I'm hoping that somebody -- either you or the media -- will be brave enough to tell the truth.