Nice Bracelet Big Boy
Bryanz "the republican party has taxed?????
Then why have you all been bitching for 5 years about tax cuts????
Hmm Is it the working class you all figure will have probs with ID's for voting--who wants to let felons vote?
Is there really anyone that is sane that would argue the Dem party is not for transer of wealth-seriously!
Heres an oldie Ctown but one of my favs--
Suppose that every day, ten people go out for dinner and the bill for all ten comes to $100.
If they paid their bill the way we pay our taxes [based on US tax rates 2005], it would go something like this:
The first four people (the poorest) would pay nothing.
The fifth would pay $1 i.e. 1%
The sixth would pay $3 i.e. 3%
The seventh would pay $7 i.e. 7%
The eighth would pay $12 i.e. 12%
The ninth would pay $18 i.e. 18%
The tenth person (the richest) would pay $59 i.e. 59%
So, that?s what they decided to do.
The ten people ate dinner in the restaurant every day and seemed quite happy with the arrangement, until one day, the owner threw them a curve.
?Since you are all such good customers," he said, ?I?m going to reduce the cost of your daily meal by $20." Dinner for the ten now cost just $80.
The group still wanted to pay their bill the way we pay our taxes so the first four people were unaffected. They would still eat for free.
But what about the other six people - the paying customers? How could they divide the $20 windfall so that everyone would get his ?fair share??
They realized that $20 divided by six is $3.33. But if they subtracted that from everybody?s share, then the fifth person and the sixth person would each end up being paid to eat their meal.
So, the restaurant owner suggested that it would be fair to reduce each person?s bill by roughly the same amount, and he proceeded to work out the amounts each should pay.
And so:
The fifth person, like the first four, now paid nothing (100% savings)
The sixth now paid $2 instead of $3 (33% savings)
The seventh now pay $5 instead of $7 (28% savings)
The eighth now paid $9 instead of $12 (25% savings)
The ninth now paid $14 instead of $18 (22% savings)
The tenth now paid $49 instead of $59 (16% savings)
Each of the six was BETTER OFF than before. And the FIRST FOUR CONTINUED TO EAT FOR FREE. But once outside the restaurant, they began to compare their savings.
?I only got a dollar out of the $20," declared the sixth person. He pointed to the tenth person," but he got $10!"
?Yeah, that?s right," exclaimed the fifth person. ?I only saved a dollar, too. It?s unfair that he got ten times more than me!"
?That?s true!!" shouted the seventh person. ?Why should he get $10 back when I got only two? The wealthy get all the breaks!"
?Wait a minute," yelled the first four people in unison. ?We didn?t get anything at all. The system exploits the poor!"
The nine surrounded the tenth person and beat him up.
The next night the tenth guy (the one who was beaten up) didn?t show up for dinner, so the nine sat down and ate without him.
But when it came time to pay the bill, they discovered something important. They didn?t have enough money between all of them for even half of the bill!
And that, boys and girls, journalists and college professors, is how our tax system works. The people who pay the highest taxes get the most benefit from a tax reduction.
Tax them too much, attack them for being wealthy, and they just may not show up anymore. In fact, they might start eating overseas where the atmosphere is somewhat friendlier.
David R. Kamerschen, Ph.D
Professor of Economics
University of Georgia