By Tom Rhodes, 7/13/2012
Again this week Obama is calling for Fairness and raising taxes on the rich, implying that the rich don't pay their fair share, and stating that the country needs the money that raising the taxes on the rich will generate. Why does the press keep accepting his lie?
Obama knows, and has admitted he knows, that raising taxes on the rich will not generate any more tax revenues and will probably actually reduce the taxes collected. Way back in 2008, Charles Gibson of ABC News pointed out this simple fact, noting that there is correlation between the raising and lowering of tax rates and tax revenues. Obama admitted that, and said he wanted to raise taxes on the rich not to raise needed revenue but to be "fair". Obama clearly thinks and admits that it is more important to punish those who are successful than increase revenue for the country. How raising taxes on people who already pay a disproportionate amount of collected taxes is "fair" when that action has consistently proven to actually lower revenue is a viable economic solution is the question. Obama knows he is lying when he talks about raising taxes on the rich as a means to raise government revenue.
History has repeatedly shown that lowing tax rates can and often does raise revenue, it happened in the 20's, under JFK, under Regan, and under W. The fact is that when taxes were lowered high income earners paid both a larger total amount of taxes and a higher share of all total income taxes collected. This does not mean or imply that lowing taxes to zero would generate infinite government revenue, anymore than taxes the rich at 100% would result in more revenue. The reason that lower taxes can and often does raise revenue is explained by what is called the Laffer curve. In 2006 after W's tax cuts the NYTimes noted, "An unexpectedly steep rise in tax revenues from corporations and the wealthy is driving down the projected budget deficit this year." It was unexpected to the NYTimes, not to the many proponents of tax cuts.
The only thing that is and should be unexpected is the main stream presses acceptance of proven lies Obama is making about taxes and revenues. It's getting old pointing out Obama is lying. Many liberals don't care, because he does what they like. What should be noted is that Obama's easily and often proven lies reflect upon his character. His title should be "Liar and Chief."