Wednesday, December 21, 2011

What if you called 911 and the recording said to try back later?

While it seems to have become easy for some to disparage those who are making money in the United States, without them who is going to pay to run the country?

The mantra of the #OWS movement that says some arbitrary 1% of the people in the country who earn a disproportionate share of the wealth are to be reviled and hated for their accomplishments makes recruiting followers relatively easy.

Particularly if those followers are comprised primarily (but not completely) of the general unemployed, the never-employed, the don't want to be employed, the college-graduate unemployed, the underemployed, socialists, anarchists and unions.

Chants by the crowds on the street about Warren Buffet's secretary paying less in taxes than the Oracle of Omaha clearly resonates in peoples minds.

This then causes some to question an economic system that this country was founded on and prospered within.

Additionally, when an environment exists as it does now where a high degree of economic struggle is coupled with the displacement of individuals and families across the country and around the world, the attraction to a movement like #OWS becomes even stronger.

But are all 1%'ers to be hated for what they do?

Have there always been people who abuse the federal tax system and has the US banking system been abused for the benefit of a select few? Absolutely!

In the first place, when a tax code exists requiring more than 17,000 pages it will undoubtedly have loopholes embedded in it and littered throughout it that can be exploited by those who stand to benefit the most from finding them.

And when the banking system has politicians who oversee and regulate, it will become rife for abuse by both those same politicians and by those who pay dearly to be in the pockets of those politicians. Whether its through sweetheart loans, campaign contributions or worse, greed is greed!

And as we on Main Street are painfully witnessing now, the system continued to be bent until it finally broke.

(Click to enlarge)

But contrary to the chants of the Occupy Wall Street movement who vilify and condemn an entire group of people as all having been cut from the same cloth, it is a relative few of the taxpayers in this country, this 1% that they like to ascribe all of societies problems to, who should be blamed for the excesses that have helped to lead us to the point we are at now.

In reality it is a relative few of these so-called 1% who gambled with other peoples money while having no risk to their own, who created the playground in which anyone with a pulse could buy a house, who packaged bad loans stamped AAA and sold them to unsuspecting investors around the world and who neglected to actually oversee the degree of risks that were being taken by institutions or who made money far to easy to acquire.

Yet away from the people described in the last paragraph it's the remainder of the 1% who are the very people searching for tax loopholes, who create and innovate, have taken risks and invest in new ideas.

The very same people who due to their hard-earned success pay the lions share of the taxes that pay for all of the government services used by those of us who pay little or no taxes and that we take for granted.

Bringing down to the local level consider services such as schools, the police, fire, garbage EMS and so on.

Now let's consider an economy where these earners become incentivized to stop innovating and creating because whether they do or not, their economic outcome will be the same as their neighbors.

If the 1% stop doing what they do and paying the taxes that they pay the next time one of us dials 911 there will be a recording on the other end of the line!

Consider the graphic above that shows the share of the taxes paid by the various income groups in the country!


Should the tax code be tightened up? Should loopholes be plugged? Absolutely! But at the end of the day be careful what you wish for in terms of a socialist-style distribution of wealth because without those hated top earners it will be the rest of us paying the price!

H/T Caxtonfx (statistics and info-graphic)

Become a fan of The Political Commentator on Facebook here!

Follow The Political Commentator on Twitter here!

Friend The Political Commentator and Michael Haltman on Facebook here!

Connect with Michael Haltman on LinkedIn here (!


  1. "Chants by the crowds on the street about Warren Buffet's secretary paying less in taxes than the Oracle of Omaha clearly resonates in peoples minds."

    Well, she should pay less. She makes a lot less. In any case, Buffett's affairs are structured so that doesn't pay much income tax -- that's why he's happy to raise the income taxes of others.

  2. This article was picked up at Instapundit here:

  3. She does not pay less. Her marginal rate on ordinary income is less than Buffett's (and everyone else's) rate on capital gains.

  4. Well said, but the graphic is terrible! The data is there, but it's like the analyst was trying to make it harder to see that about the top quartile pays over 80% of the taxes.

  5. Well said, but the graphic is terrible! The data is there, but it's like the analyst was trying to make it harder to see that about the top quartile pays over 80% of the taxes.

  6. The very fact that none of these raging retards griping against Wall Street ever calls for Michael Moore, George Soros, or Warren Buffet to be stripped of all their ill-gotten gains and maybe executed for crimes against humanity pretty thoroughly discredits their entire horde as just another mob of bloodsucking commie wannabes jealous that the bigger parasites have beaten them to the bloodstream.

  7. Yeah I don't disagree that the graphic was a little tough to decipher.

  8. You know, the top 1% pays 40% of the taxes.

    But the top 1% also owns 40% of the goods.

    The bottom 80% only pay about 15% of the taxes, but they only own about 15% of the nation's wealth.

    So, overall, I think the system is actually fair.

  9. One of these days, the Libtards are going to learn to understand the difference between WEALTH and INCOME. For example a person may own lots of stock, and control innumerable corporations, and live on a fancy estate and may be WEALTHY; BUT unless he/she is receiving a high salary, or dividends, or sell some of that stock, I may not have all that much INCOME. It's called the income tax, for a reason. Because it's a tax on income. Not wealth, income. Whenever I hear someone bloviating about how the WEALTHY should pay more in INCOME tax, it's a sure sign that either they have no idea of what they're talking about; or- more likely - are simply displaying their envy and attempting to muddy the waters.

  10. There is a very easy to seperate the evil 1% from the good 1%. Do they get their money mainly from gov or by using laws to take from others, or do they get it by producing things people want, or investing in companies producing things people want. Thus the real problem is not high income or wealth, but income that is earned primarilly through gov connections, rather than production. The OWS refuses to recognize this distinction, because it would point the finger at the dem politicians, like Obama, who support these rent seeking parasites. Mind you, many repub politicos are just as guilty, but dems are worse, because by favoring more gov, and more regulation, they provide even more opportunities for this gov connected rent seeking to prosper.
    From Richard40.