Friday, October 17, 2008

For the Working Poor - Expand the Economic Pie

What I'd want for the working poor is policy that makes it possible to rise above being the working poor. To do that, the economy must expand. Businesses across the spectrum must expand, & punishing them through increased confiscation of profits as the profits increase will contract the economy. If every penny over $250K is taxed at an increasingly higher rate, there is less & less incentive to expand & create more jobs & opportunity.

Taking someone else's money, having the government bureaucracy take a big cut & doling out the rest will not expand the economic pie.

The old Marx saying of "to each according to need from each according to ability" is a recipe for disaster because it punishes ability and success. When that is put into play, more & more become needy because needy is positively incentivized. That does not mean letting people starve or suffer; that means that needs are taken care of (doesn't have to be the pittance from the government) however economic expansion & job creation are incentivized for the long run.

Obama's economic policy would shrink the economy, incentivizing "being needy" & punishing economic expansion, business & job creation. McCains policy focused on expanding the economic pie for everyone is a much better fit for the Greatest Country on Earth.

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