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Tuesday, August 14, 2007
Thomas Sowell :: Townhall.com Columnist
Tragic Implications
by Thomas Sowell
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Two recent tragedies -- in Minnesota and in Utah -- have held the nation's attention. The implications of these tragedies also deserve attention.

Those politicians who are always itching to raise tax rates have seized upon the neglected infrastructure of the country as another reason to do what they are always trying to do.

Those who live by talking points now have a great one: "How can we fight an expensive war and repair our neglected infrastructure without raising taxes?"

Plausible as this might sound, tax rates are not tax revenues. The two things have moved in opposite directions too many times, over too many years, for us to take these clever talking points at face value.

This administration is not the first one in which a reduction in tax rates has been followed by an increase in tax revenues. The same thing happened during the Reagan administration, the Kennedy administration and the Coolidge administration.

Tax rates and tax revenues have moved in opposite directions many times, not only at the federal level, but also at state and local levels, as well as in foreign countries.

How many times does it have to happen before people stop equating tax rates with tax revenues? Do the tax-and-spend politicians and their media supporters not know any better -- or are they counting on the rest of us not knowing any better?

Even if we were to assume that higher tax rates will automatically result in significantly higher tax revenues, the case for throwing more money at infrastructure would still be weak.

Some of the money already appropriated for maintaining and repairing infrastructure is being diverted into other pet projects of politicians.

Money supposedly set aside for repairing potholes and maintaining bridges is diverted to the building of bicycle paths or subsidizing ferries or buses. These other things have more of a political pay-off.

Not only are there well-publicized ribbon-cutting ceremonies for building something new, many of these new things can be named for the politicians who had them built. Thus there are all sorts of government structures named for Senator Ted Stevens in Alaska and for Senator Robert Byrd in West Virginia.

But nobody names pothole repairs for anybody or puts any politician's name on the rivets used to repair an existing bridge.

Moreover, nobody blames a politician when a bridge collapses years after he put his name on some government building with money that could have been used to make bridges safer longer.

If the collapse occurs on somebody else's watch, it will be somebody else's political problem.

More tax revenue would just allow these same political games to be played with more money. More might be accomplished by forbidding any government facility from being named for anyone who is not already dead.

Maybe then we might get more potholes filled and more rusty rivets replaced on bridges.

The other recent tragedy that has held the nation's painful attention -- the mine cave-in in Utah -- also has implications that few seem to notice.

We could have far fewer men going down into those mines in the first place if we could use other readily available and economically viable substitutes for coal, such as nuclear power or more of our own oil.

Here too, politics is the problem. The only "alternative energy sources" that are on the political agenda are those few very expensive options that environmentalist zealots approve.

Nuclear power is not on the green zealots' approved list, even though nuclear power is widely used in other countries.

Some say nuclear power is not safe. But nothing is categorically "safe." The only serious question is how its safety compares to that of alternative ways of generating energy.

Ask the families of the trapped miners if they think mining is safe. Ask them if they would rather face the grim reality of a death in their family or the hypothetical possibility of inconveniencing some caribou in Alaska.

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About The Author
Thomas Sowell is a senior fellow at the Hoover Institute and author of The Housing Boom and Bust.
 
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Chernobyl Trivia
Chernobyl was a RBMK reactor which was light-water cooled and used graphite for moderation. It's advantage was that is could use natural uranium for fuel rather than enriched. They produced tremendous amount of power, but were very unstable. No one is suggesting that we build one of these nuclear dinosaurs. A pebble bed reactor and an RBMK aren't even the same species.

You KNOW about Chernobyl?
I doubt it. Do you KNOW that it is continuing to melt its way down through the earths crust towards permanent ground water and NOBODY knows how to stop it? Do you know that when it hits that ground water almost all scientists agree there is going to be a gigantic steam explosion that is going to spread heavy radiation over many 100's of square miles making them uninhabitable for a century or more? Hmmmmmmm.. Still sound like a good idea for Long Isand or Baltimore or Kansas City? There may be a place for nuclear power, but acting like it is the holy grail and not just a different set of problems is just silly and TS should be ashamed of himself for trotting this out a couple times a year. Coal is a very good power source and we have enough to last for hundred of years. Petroleum is also a great natural resource. Both are part of any realistic future. Shame on you, Tom Sowell.

Nothing wrong with coal
Hard to believe it, but our favorite economist has fallen for yet another silly idea. Check how many people work in the coal industry and then explain how shocking the death statistics are again. Jeez-lou-eez, Tom, people die mining Uranium, too. They are not right in your face, but that's because they aren't in this country. People die working on construction cranes, too. They die from all sorts of construction accidents, but we don't stop building homes or offices. Nuclear power has a really serious problem, disposing of the waste. Even with the limited use in this country we have an immense amount of waste. It takes many centuries to cool off. Many, many centuries.

Names for Structures and Infrastructures
Citizens need to begin a practice of placing signs on problems that will attract attention.

The Kennedy Boondogle
The leaky "Big Dig" in Massachusettes that stole Billions of $ for what appears to be a huge waste of money.

Councilman (Insert Name Here)
Pothole # 43

There are as many sings that can be made and displayed as there are buildings, roads, streets, etc. Potholes, Stuck Doors, Non-functioning elevators, Blocked sewer lines, etc.

After a sign has been erercted, a photograph along with a letter detailing the length of the problem and attempts to have said politician do something shoud be mailed to tv stations, radio stations and print media. Someone may dislike the said politican enough to take it up from there. Once started, there may be tens of thousands of such signs appearing with politician squirming to match.

Of course, unlike the politicians, citizens will be required to use stealth in such efforts, while politicians can not only perform their acts in daylight, they can also use your tax dollars to pay for their party that follows.

Of course, there will soon be city ordinances galore banning such "informative" signs so the efforts to inform will require even more stealth. And maybe, just maybe, the local media, as we know the msm will act ONLY if the administration is Republican, will join in to search out and point to the problems and to the source as well.



How many have to die?!
I have been screaming for years, because of the way all these "Peace-niks" holler about how many MIGHT die if we use Nuclear power, but then completely dismiss all the people who actually DO die from Coal!
How many men have died in those shafts since they put a stop to Nuclear Power 30-40 years ago? And how many have died from Nuclear since the first plant went online in the US? (I know about Chernobyl, but I'm only talking about US Nuclear power). Despite all the fits over Love Canal, there was never one death attributed to that mess - tied to Nuclear power, that I ever heard about. I tried to research the death toll from that, but apparently, no one has died yet. How odd - Particularly given the mass hysteria at the time!

Meanwhile, a year doesn't go by that we aren't forced to listen to the grim details of men who died terrified in incomprehensible darkness, and fear. How many Black Lung deaths are there each year, or accidents on the job, which are both very real consequences of forcing grown men down a shaft to dig for coal. WHY? So some damned hippie can feel all superior, because he really cares!?!

Cares about what?
- Human Life? Far more men have died from Coal than ever died from Nuclear power!
- The earth? Coal is NOT a renewable resource!
- Global warming? Burning coal emits the very gasses they claim causes their precious global warming! Nuclear DOES NOT!

If these fanatics really cared about any of the above, they would be pushing for Nuclear power with all their might. Too bad nothing they do has anything to do with reality. I don't know what they want, I only know that if they are for it, I'm pretty sure I'm going to be against it.

Thank you for speaking for those of us who can see past the hysteria, and come to a conclusion that actually works for everyone, not just for little clique of elitists, who will never be forced to go down a mine shaft - armed with a flashlight and a bottle of water.

A Tale of Two Counties
n Erie County, NY, property taxes are now at 4%; sales tax, 8.75%; income tax, 7%; gasoline tax, $0.63 per gallon. The largest employer is the government. Unemployment stands at 11%. Young people are leaving because there are no jobs. Taxes drive companies in Western New York must pay employees inflated wages to compensate making them less profitable and/or less competitive. Businesses are folding. Buffalo is being run by a control board.

In Shelby County, AL, property taxes are now at 0.4%; sales tax, 8.%; income tax, 3.5%; gasoline tax, $0.22 per gallon. Unemployment stands at 2.9%. New businesses are springing up like weeds. Three foreign auto makers have built new high tech plants in Alabama. Here, I can hire skilled workers, pay them a good salary, build a highly competitive product and make a profit. Yesterday, the county supervisor announced that the growth in retail sales has far exceeded the county's revenue projections.

Tax revenue seems to be inversely proportional to tax rate.

Lolo writes:
Nice try to put Reagans deficits on Carter. Are you sure Bill Clinton didn't have something to do with it. Here are the stats on Presidents vetoes:

Jimmy Carter: 31 total vetoes (13 regular, 18 pocket). Two of his 13 regular vetoes were overridden (6 percent).

Ronald Reagan: 78 total vetoes (39 regular, 39 pocket). Nine of his 39 regular vetoes were overridden (12 percent).

George Bush: 44 total vetoes (29 regular, 15 pocket; he also tried to pocket veto two bills, but these bills were considered enacted into law and are not generally counted as pocket vetoes). One of his 29 regular vetoes was overridden (2 percent).

Bill Clinton: 38 (37 regular, 1 pocket). Two of his 37 regular vetoes were overridden (5 percent).

Government spending under Reagan as a percentage of GNP, accelerated at a faster pace than under Carter's program. So much for blaming Carter for Reagans' deficits. Remember the $400 hammer and the $600 toilet seat?
And Congress with the Republicans controlling the Senate overrode only 9 vetoes. He spent what he asked for and borrowed the money to do it. The result: by the end of 1987 the United States had completed a fast transition from the world's largest creditor to the world's largest debtor, owing foreign investors roughly $400 billion. Some legacy for R.R.

RL asked
RL said "I have argued with more libdolts that raising tax rates does not raise tax revenue only to be met with an incredulous blank stare. Their only come back is to ridiculously say, "then why don't we end all taxes and the government will have a fortune". What can you say to libdolt analysis like that??"
Ask them to do a mind experiment...how much tax revenue would be raised at a zero rate...answer is none, how much would be raised at a rate of 100%...answer is none. Therefore there is a tax revenue curve based on the rate. The question is what tax rate maximizes revenues. History suggests that rate is about 25%. And that rate includes fica, medicare, federal income and state income tax.

support nuclear power!
I'm a lifelong liberal Democrat who agreees that nucler power is an absolute necessity for this country. I'd even vote for a Republican if he or she was genuinely willing to fight for expansion of nuclear power. The case against it is largely based on ignorance and fear-mongering. Look, if the French can get much of their electricity from nuclear power and have a great safety record, so can the US. In fact, can anybody tell me how many Americans have been killed as a result of the operation of nuclear power plants? Didn't think so.

Dr. Sowell - thanks for
addressing these "politically correct" issues that need to be aired in public.

Nuclear plants are the answer to our power needs. Nuclear power provides the majority of electrical needs in Europe so one would think the enlightened liberals would want to follow their lead. But, somehow this fact seems to have escaped our progressive greenies. We can't drill in Anwar, we can't drill offshore, we can't build new petroleum processing plants, we can't can't can't...sorry, folks, but windmills just aren't going to do the trick! Somehow this "political correctness" foolishness has got to be reined in!

BIGbelly writes:
Tuesday, August, 14, 2007 2:15 AM
Implications:
"You have cut thru the BS again Dr. Sowell, but nobody calls the politicians on their "earmarks". We all talk about Jack "lets make a deal" Murtha but is he really ever challenged, millions of dollars in earmarks going unchecked-just politely talked about..."

I want to reiterate that Representative Jeff Flake DID repeatedly challenge Murtha recently with regard to all of his earmarks...of course it didn't change anything, but I sent Representative Flake an email expressing my pleasure in his actions.

Now if we could only convince more Republicans to cast away their earmarks...I am for a bill that would not allow any earmarks WHATSOEVER! If a bill is for one thing, then let that be it! It is ridiculous to attach non-related moneygrabbing earmarks to every bill voted upon!!

Real Implications
I would guess the dems want to increase taxes as part of the process to get everyone dependent upon government (read as dems) so they can stay in power. The real implications of all this is that we need to throw out the incumbents and put term limits on congress - good luck huh?

Maryland state....
government is talking about raising the fuel tax to pay for this new rant about bridges. Talk is that it will be at least 9 cents per gallon. The problem is that we have a state government that is ready to nail us with every tax known to man.

It has been said that no government has ever taxed its people into prosperity.


wildwest
do know Cubans. We betrayed them twice that I can count.

Also recall when Fidel achieved power .... seem to recall that the CIA and JF Dulles?, neglected to apprise Ike of the degenerates, Excuse Me ... this is the age of PC, the Man of the Peoples leanings.

cliff
according to several cubans who escaped that island paradise told me that like other petty dictators castro also has an eye for the ladies and had several ensconced around the island. he also was not shy about infesting the island with miniture fidel's. I guess there is always the rules for the masses and the exceptions for the phony leaders. But I guess that the old reprobate didn't consult michael moore about cuba's miracle medical treatment as he imported a spanish doctor to aqttend to his needs

Lolo
Do you remember Armand Hammer?

wildwest
the 'Bad Guys' know that capitalism works. They sure want it to work for them.

The agenda is mixed and varied as is it's motivation, but you see any of these guys giving their money away.
Fidel has money salted away just in case ... ever see that creep, Oh! Excuse me .. Head of State give anything to the people other than lengthy speechs, (for which I understand, attendance is manditory).
I like the one post ... Extortionists.

RedEyeRex
You either have a warped memory or a revisonist history taught to you. RR vetoed the heck out of congress. Remember the line item veto by chance?

Also if Carter had not gelded the military and continued to subsidize communism perhaps we wouldn't have need deficit spending.

Study history as well economic history.

union dude writes
Reagan spending
Reagan faced a veto proof congress so he had to go along with spending to cut the tax rates cut

The Senate was in control of the Repubs until 1986, by a 53-46 count.

Reagan was a big spender period and that is why he never vetoed the spending.

Redhead writes:
"There is no need to borrow more money. That is the point. Tax cuts result in increased revenue. Revenue is the amount of money that comes in. It has nothing to do with the amount of money spent."

RR increased spending on the military at the same time cutting taxes by 1/3. The government bills are still due whether we borrow the money to pay for them or raise the money through taxes. RR got to take credit for the increased government spending and cutting taxes i.e. FREE LUNCH. What he didn't mention was that he saddled your family with an additional debt that will reduce future generations standard of living. If you want to play then you have to pay either now or on the installment plan. Don't forget he didn't veto any of the spending. Borrow and spend seems to be the new conservative motto I'm sure Barry Goldwater is so proud.

Hagar
He is referring to the last couple of paragraphs of Sowell's column. You must be referring to Shorham.

Reagan spending
Reagan faced a veto proof congress so he had to go along with spending to cut the tax rates cut

SJ_Doc
I dont know what your comment on nuclear power has to do with this article but your comments are spot on. The brainiacs in my state closed one that was ready st opened and cost 6 billion dollars (at the time) because they were afraid of it.

Sorry, They make me so mad I stutter
If I have more expendable income I buy more, That increases government income, expands the economy, helps create more jobs etc etc. If we made signifiacnt cuts and held spending down there would be no debt.

Stop calling them them Taxes
They were taxes when the rates were 10% and you did'nt have federal, state, city, social security, medicade, workmans comp, school, land, sales. Call them by their correct name "EXTORTION"

sedonaman
I agree that at that level the bicycle becomes a vehicle. However it would be better to cut taxes than create more.

RedHead
so extrapolate that out and finish. What did Reagan do with that deficit?

Tax and Borrow and Spend
I believe a historical study was made a few years ago that demonstrated that for every $1.00 in new taxes, Congress authorized $1.51 in new spending.

Tax bicycles
You would go far to find someone who is more against taxes than I am, but there should be a tax on bicycles. I’m not talking about the $50 Schwinn some poor kid rides to school and uses to deliver newspapers. I’m talking about the $2,000 titanium-framed ones with the $500 (each wheels), $200 (each) tires, $1,000 deraileur, $300 brakes, $275 handlebars, etc. – with a rider wearing a $150 helmet, $100 tight-tight shorts, $75 T-shirt, $250 shoes, $50 water bottle, etc. (you get the picture).

Currently, such a get-up is the only thing that violates Reagan’s Observation (if it moves, tax it); it pays NO road-use tax, yet it has a SPECIAL lane reserved all for itself. For crying out loud, there are CARS that are worth less than a lot of bicycles and are taxed EVERY YEAR; and if I want to tow a modest $200 trailer with my car, it also has to be licensed and is taxed, EVERY YEAR.

I’ve heard ALL the arguments against a bicycle tax, but they are ALL hooey, every last one of them.

If a bicycle has a retail price of the $200 trailer (or over) and uses the road, it should pay a road-use tax as all other vehicles do. Period.

RedEyeRex - So close, yet...
"So if the money used for tax cuts is borrowed because there was no corresponding spending cut to offset the tax cut..."

There is no need to borrow more money. That is the point. Tax cuts result in increased revenue. Revenue is the amount of money that comes in. It has nothing to do with the amount of money spent.

Reagan allowed too much money to be spent. It wasn't necesarry to cut spending (I think, I don't have the numbers in front of me) but they INCREASED spending. A lot more then the increase in revenue. This resulted in a greater deficit.

a counterexample
Mayor Lindsey at the end of each budget preparation went through and axed the appropriation to pay for painting NYCs bridges. He and his aides didn't understand that the painting was necessary to prevent rust. After he left office, an ~400 square foot piece of the Williamsburg Bridge fell into the East River. Miraculously nobody was hurt. New Yorkers had and have no problem with blaming infrastructure neglect on Lindsey -- and he could not get elected dogcatcher anymore.

One of the reasons that many New Yorkers support Mayor Giuliani is that he reversed the decline of NYC's bridge, highways, tunnels, etc. This was thought impossible when he was first elected.

We have now had 15 years of remembering the importance of routine maintenance. I would bet it will be at least another 5 until NYC again forgets and follows the way which Mr. Sowell so eloquently laid out.

Don't forget the debt went up also
thinker writes: Tuesday, August, 14, 2007 8:04 AM
TALKING TO BRAINLESS WALLS
one can tatoo on liberal's forehead: "Reagan lowered taxes and the revenues went up", SHOW HIM/HER ALL GOV. DATA - and he/she will still deny it.

Thinker you forgot to mention that RR borrowed more money than all of the other Presidents put together before him. So if the money used for tax cuts is borrowed because there was no corresponding spending cut to offset the tax cut wouldn't you have to subtract the additional debt and the accumulated interest from the revenues to have a fair comparison? There is no free lunch, but then I believe Dr. Sowell has written that before. Tax cuts without corresponding spending cuts will not bring in more revenue once you account for the debt and interest on that debt.

Mongo
Dr. Sowell tells The Truth and backs it up with Facts. 2 things GUARANTEED to confuse Liberals.

Where is the logical method?
Preferred response?
1. Bridge falls down while major repairs are being done.

2.Why?
a. Because not enough repair workers can be hired for lack of tax revenue?

b. Because bridge was designed by an incompetent?

c. Because someone screwed up a repair procedure?

3. Rational folk will wait for the investigation to find out which answer is probably true.

4. Irrational folk will rush to fix problem by trying to create more expert (or perhaps incompetent repair technicians) so as to hasten elimination of all so-called defects (ranging from chipped concrete posts to design sections close to slipping away from what holds them up.

5.Others will debate the relationship between tax rates and tax revenues.

Why not first things first?

It's about control
One thing that I haven't seen, either in Dr. Sowell's column, nor in any of the posts here is the fact that they don't want our money they want total control. Clinton's Secretary of the treasury admitted it on one of the Sunday talk shows when he was in office. If I control any of your earnings, I control you. I don't have to take your guns, I simply tax them into oblivion, the same with anything else that I think that you shouldn't do or have.

"Infrastructure", etc
Some very cogent posts on tax revenue here today, let alone Dr. Sowell's article. Interesting that none of the usual suspects have shown up to blame Bush for it all (but the day is young).

Speaking of young, I'm not and this whole issue of the country's "aging infrasctructure" is nothing new. I've been hearing people complain about this literally forever. This bridge that collapsed was part of the Interstate highway system, and as anyone who uses same will tell you, it is worked on all the time, all over the country. That bridge in MN was being worked on at the time it failed.

The sad fact is that these things happen from time to time, and not all the maintenance and rebuilding in the world is going to stop it. Any complex structure built by man is going to be suseptible to some possible overlooked flaw or mistake in design or construction. It happens ALL THE TIME, and ALWAYS HAS. This is NOTHING new.

And the D-rats pointing the usual fingers of blame and wanting to throw more tax money at the issue is NOT going to stop it.



Economics & politics.
Dr. Sowell... another truly brilliant piece.

Tax rates are not tax revenues... brilliant.
(Do they teach that in our schools?? What do you say, parents?)

NO gvmt facilities named for living pols... beyond brilliant. (start a national movement)

James (ergo)... a little high-brow, but spot on.

So where are the usual commies
like lilly, et al? They were really stumped this time. LD - great job as always.

Sowell - Tragic
Thomas Jefferson wrote to Madison regarding Shays Rebellion
“I hold that a little rebellion now and then is a good thing and as necessary in the political world as storms in the physical.”
To Colonel William Smith-
“The tree of liberty must be refreshed from time to time with the blood of patriots and tyrants.”
This is a sage position on freedom, liberty, and democracy. Is it not time to kick some dozens of today’s Congressional tyrants down the steps of the Capitol and ridden out of town on a rail?

Pace Petr Beckmann
--
Some years ago I had the pleasure of a long correspondence with Petr Beckmann (1924-1993), emeritus professor of electrical engineering at the University of Colorado and author of a superb book on the subject of nuclear power.

Published in 1976, it required no revision whatsoever in the wake of the Three Mile Island episode. It's title?

*The Health Hazards of Not Going Nuclear*

TownHall.com readers will almost certainly want to check out the periodical Dr. Beckmann started in 1968, *Access to Energy* ("...a pro-science, pro-technology, pro-free enterprise monthly newsletter packed with information and comment on science, technology and energy and on those who would restrict your access to it"), which continues available despite his death. See:
http://www.accesstoenergy.com/view/atearchive/s76v434.htm

Even with existing technology - highly retarded in its development by the "Watermelons" (green on the outside, red to the core) - light water fission powerplants remain from beginning to end of the resource-and-residue cycle *SAFER* than any other means by which to power an industrial society, and that includes all deaths and other injuries both directly and indirectly involved per kilowatt/hour generated.

Roll in the technological advances involved in the development of the U.S. Navy's nuclear powerplants for submarines and aircraft carriers (how come nobody but us technogeeks ever talk about those gadgets, hm?), and we've got the means by which to safely put most of our coal mines out of business (and devote most of what we *do* mine to the manufacture of gasoline and diesel/home heating oil).

The information is all there to be found online, folks. The "Watermelons" are not only socialist idiots, but they're *ignorant* socialist idiots.
--


Let's not forget
that much of the money for earmarks comes out of the money for Transportation. Fault dems and republicans both for loving earmarks. Write your representatives and senators.


And while we're
talking about false economics, let's not forget the "link between unemployment and inflation," also known as the Phillips Curve. This insidious piece of false-knowledge has been responsible for almost as much pain and suffering as the falsehood that raising taxes will raise revenue.

Once again, Thomas Sowell demonstrates that most people, especially government officials, either haven't a clue about or willfully ignore economics.

Barry




ECONOMIC CASH FLOWS III
Dynamic government cash flows are diametrically opposed to pool-pot static tax revenue schemes. This is the Laffer Curve phenomenon where the government lowers the marginal income tax rates and receives higher tax revenues, ergo, make tax rates more affordable and more will dynamically participate in the revenue scheme, ergo, higher employment. Every economic theory stipulates lowering the expense to increases usage, ergo, increase expense and minimize availability. Dynamic cash flow requirements are moving target economics, ergo, the revenues have dynamic purposes to be applied immediately to keep the revenue producing economy functioning, ergo, there is no time or opportunity to pool-pot the revenue base for dead headed memorial political projects because the money has more important purposes. This would be the case where Mister Stowell suggests a private ownership responsibility managing infrastructure entities such as bridges and roads would result in more competent infrastructure maintenance. Private bondholders and stockholders would insist on constant maintenance and upkeep of their investments, ergo, dynamic cash flow management and more responsible governance of the infrastructure entity.

ECONOMIC CASH FLOWS II
Similarly raise income tax marginal rates, ergo, make earning an income more expensive, and fewer members of the population will choose to participate in the higher tax collection scheme, ergo, unemployment increases. The gas tax on each gallon of gasoline is an example of static cash flow government revenue. Consumers needing petrol pay the tax at the point of purchase and forget about the expense. The revenues are siphoned off by the government and put into a static cash flow account to be drawn upon for public infrastructure purposes. Tax dollars for bridges and bridge repair becomes the splendid formula except the reality is that the revenues become the base for slush, static, stupid, dead weight pooled pot incomes to the state – federal government base to be drawn upon for “ribbon cutting” opportunities such as Mister Politician’s Memorable Bike Path with Par Course Stations along the route designating government recommended physical exercises. So the ladle scoops into the pot and comes up with a smooth gliding well lit metro train from downtown congestion to the airport, ergo, the commuter train along the highway nobody uses.

ECONOMIC CASH FLOWS I
Today there exists an ideal time to differentiate between static and dynamic cash flows in government to explain the dichotomy of raised tax rates and falling revenue. Why this phenomenon occurs is the mystery of many who study macro economics. A classical example of static cash flows would be the so called cigarette tax on each pack of cigarettes. The publicly sold formula is the state to put a specific amount of tax per purchase with the public promise that the accumulated revenues would be diverted to specifically designed accounts; i.e.: child health and medicine. The public relations is that child health will be paid for from the smokers’ tax accumulated revenues. In this case the revenues go into a static tax revenue account and so it goes as well with increased tax rate revenues forming and expanding static tax revenue accounts. The more a thing cost the less it is used, ergo, the higher the tax on cigarettes the fewer smoker tax payers support the tax by quitting the usage or applying forms of black market purchases.

Of course...
... I agree with Dr. Sowell, but I would add in this nugget of wisdom from Dr. Milton Friedman (paraphrased): if we cut taxes and government revenue goes up, we haven't cut taxes enough. :D

walter williams and taxes
dr williams continually questions the dims tax proposals. But his one statement that is clear to all but the dims in congress has been, the dims think spending will remain constant even when the govt increases taxes by what some economists predict to be a minimum of 15%. Most families live within a budget and not with large margins to spare, Taking an additional 15% is going to require some hard choices. But worst still is that the additional taxes raised will not go to lowering debt but actually increasing it as wash govt will add additional programs that will eat up all new tax dollars but enlarge the debt. But what if the new taxes lower the amount govt collects, what do the dims envision as a back=up plan, more taxes.Encouraging the economy to grow is far more preferable than thinking raising taxes will solve the problems the dims see. But how do the dims wean themselves from seeing every problem has a govt solution. Or is it they only understand socialism and have never learned to believe that capitolism really works

sorry, hit the wrong button
our No. 1 problems, and any politicians who wants to save the country should work toward its abandonment.

The people "get it"
But the politicians don't get it. There is plenty of incoming revenue to build the border fence and fix the infrastructure nationwide. Instead we remain a country where legislators sponsor pork at ever-increasing levels each year. As others have posted, pork is our of our No.

"tax cuts" that is
...

Right On
Yes,indeed, the fact that tax can and do actually lead to increased revenue to the Fed is one of the best kept secrets employed by the mainstream press. It is seemingly only the "alternate media" which reports the record revenues the Treasury has been enjoying with Bush's tax cuts. So it is no surprise that, when faced with a tragedy such as that which occured in Minnesota, we hear uninformed voices screaming about the need for more taxes. I have often posed a question to liberal friends, asking them why exactly it is that raising taxes on people like Bill Gates will make their own lives any better. I have yet to get even one reasonable answer.

BigBelly wrote
"You have cut thru the BS again Dr. Sowell, but nobody calls the politicians on their "earmarks"." And as we saw in Congress on August 5th - and attempt to actually debate earmarks gets squashed.


Fantasyland
Liberalism was born in an alternate universe which is a mirror image of reality. Thusly, every remedy they propose is the exact opposite of any objective solution. High gas prices? Raise taxes and blame big oil. Increasing a major cost component will lower prices how? To anyone with six working brain cells the answer is obvious- to lower prices increase supply. To analogize the bridge problem, if the cash the govt at all levels pissed away were water, it would make Ol' Man River look like a trickle.

TALKING TO BRAINLESS WALLS
one can tatoo on liberal's forehead: "Reagan lowered taxes and the revenues went up", SHOW HIM/HER ALL GOV. DATA - and he/she will still deny it.

WE CANNOT HAVE A BATTLE OF THE WITS WITH THE UNARMED!!!!

ending "pork", gaining a legacy
Pres Bush, it is claimed, is searching for a positve legacy; well, Mr Pres, it is simple:
Declare a "War on PORK"!
Announce to the people, and their "representatives" in the US Congress, that it is your intention to VETO each and every bill (defense appropriations included) which reaches your desk containing "PORK", of any type and under any title, period, and do just this much and your legacy will be a positive one.
That Minn bridge that collapsed didn't get into the state of disrepair it was in overnight (or in a decade, for that matter, if properly constructed), nor has any other weak item of the infrastructure of this land, and yet we are TRILLIONS of dollars in debt at the Federal level of government spending!
New Orleans US Rep, Jefferson, is caught with $90,000 in FBI marked bills in his home fridge, I just read a NO councilman was busted for "reconstruction contracts award bribes", and I still say that NO flooded in Katrina due to irresponsible misappropriation of Federal funds at the local and state level! Just like there was plenty of Federal money received by Minn/St Paul and their state to have assured the structural intergrity of the infrastructure of MINNIsota.

1 -ReCon Marine

{Just Think} If any size business ran their BUSINESS like our "so called" Congressional leaders do we would go broke quickly but those in Congress can't ...Dang it !
They just raise taxes and of course """print "more money and give themselves a raise .EVEN when they are ranked 21 % in the national polls and now 14 % .
The second lowest% ever in our History ,
Name me one invention by Government ..There aren't any ..The Mail ......compare with Fed X OR THE Brown Co . MY VET care .....Not even close to my private doctor's and private Hospital care .
Energy ,The Bread of America .We want allow Nuke power like the rest of the real world does , drill for Oil , Natural gas or dig out trillions of Coal and Shale for clean burning liquid "energy yet the left bitches about the cost of (Bush )oil?Insane thinking !
Medicare and Medicaid is not being funded unless you think IOU's do owed to China , Japan and South Korea .
We pay far more to "not educate "our young minds but are terrible when compared with 30 other countries . We are rated 12 -14 23-28 in the big four Math , Science for starters .
Yet the left shouts we ""NEED " more Government and higher taxes ? Yeah right ! We need to get the over fed fat guy in shape , leaner and meaner ! Hoo Rrrr ! It worked for my USMC ,RECON TEAM WHY NOT BIG GOVERNMENT !

Poorly spent money
Too often the omnibus bills like the highway agglomeration Congress devises contain all kinds of "special projects" and monies not dedicated TO TRANSPORTATION. They include parks and museums and arena ticket booths and cafeterias and bridges to "nowhere."

Then, at the state level, the states don't spend the revenues for what they're allotted. MN was "evaluating" the bridge and some "work" had been done on it before it fell. After Katrina, the first quarter million was spent on a Baton Rouge race track.

The Army Corps of Engineers had fought "environmentalists" a decade between the '70s and '80s to work on N. Orleans levees, canals, and locks and finally gave up the court fight. LA had also had decades of fed. money "given" for MI River basin maintenance, some of which disappeared among administrations???

The US doesn't need more taxes or laws on anything and needs to use revenue for its legislated purposes and enforce current laws (a la immigration) before more are enacted.

Naming...
Maybe the urge for having things named after oneself would be cured if we named a few prison cells after their politician occupants -- say the Stevens Solitary Cell (assuming he is convicted).

The answer is more taxes!
LD, kinda difficult to satirize the fools and remain fresh, eh?

:-)

Where are the loonies to challenge
Dr. Sowell's integrity, as they can't challenge his facts! The other posters so far have nailed it as well. I have argued with more libdolts that raising tax rates does not raise tax revenue only to be met with an incredulous blank stare. Their only come back is to rediculously say, "then why don't we end all taxes and the government will have a forture". What can you say to libdolt analysis like that??

The bridge collapse...
...in Minnesota was tailor made for the political hacks in Washington.For years now the biggest pork barrel bill the Congress deals with is the highway bill.They have been stealing our gas taxes for decades and diverting the proceeds to their pet projects in their districts and states and the large,modern USA has a big bridge collapse in a major city.

Their solution? Raise gas taxes 50 cents a gallon!Neither that gas tax nor any of the other gas taxes will primarily go to road repair/bridge inspection.It will go to pork in their home districts/states for their re-election in 2008.For rock and roll halls of fame to bike paths.And the additional benefit of blaming BIG OIL! for the high price of gasoline.

They will do this with news media and stupid voters agreeing with them! It's really very,very,hard to make this stuff up.

The news cycle on the bridge collapse
has about ran it's course. Even some of the MSM have publicized that road taxes are being wasted on non-road projects. Based on this, the idiots who were proposing additional road taxes have shut up. Oh they may try to stick in the back end of some other bill but they would have done that anyway. You see the people who are doing that don't give a hoot in h*ll about bridges or highway infrastructure. They have sold their soul to the devil greens and anything that will raise the price of gasoline is what the greens want. That is the ONLY way that these so called "green" alternatives become competitive.

As for nuclear power, forget it. The greens went insane on that subject 30 years ago. When their rocket ship returns from Rigel IV we will all be dust in our graves.

Big Belly
You're right to question this, or course, and the answer is that what we are now seeing in our Congress is that when Republicans or even Democrats have called the Murtha's on their pet projects, their answer is "this is the way we do it and we're not going to change and besides, the local politician knows the needs of their constituents". No longer do they hide behind anything, it's out in the open, they just blatantly come out and say that's what we do and we're going to keep on doing it. And, we thought these Democrats were going to run a clean ship. NOT!!So, not only are they weak on defense and hope for defeat in Iraq and ignore the worldwide Islamic terrorist threat, they make no bones about continuing to spend our tax money on their pet projects like drunken sailors. When will the American people wake up and realize the Democrat Party is taking us down the road to ruin? Not even the MSM takes any pains to hide this anymore, they just report it as business as usual.

Maybe we SHOULD hold ...
... ribbon-cutting ceremonies for pothole filling and bridge repair?

We could have the "Robert Byrd Duly Filled Pothole" at the corner of Third and Main, and the "Ted Stevens Complete Set of New Rivets" on the Bridge to Somewhere Important This Time. Put a little placard nearby for All to See.

You know -- if you can't move Mohamed to the Mountain, move the Mountain to Mohamed!

Spending Our Tax Dollars
If politicians at all levels of government were even half-way fiscally responsible with our tax dollars, our infrastructure would be in great shape. Why give them more of our hard-earned money to waste on earmarks, pet projects, and overall inefficiency?

Sighhh....
As clearly as you spelled it out there are many who sadly won't get it. Sayer a prayer for the miners then say one for people to cop a clue.

The answer IS more taxes!
The situation clearly calls for a major increase in taxes across the board. We obviously need all of the treats that the politicians are currently spending money on, otherwise we would object to such expenditures. And we evidently need more money for the infrastructure as well.

Sowell points out that politicians would only spend the extra money on more headline making projects, but we need to remember that it is indeed appropriate that all government projects be named after the politicians that had them created because politicians are the divine beings that help us maintain our way of life. Politicians are wiser and more capable of taking care of us than we are of ourselves, so it is only right that we build shrines to them.

And there is certainly a saturation point that can be reached. Even if we have to raise taxes to a point where politicians can increase the numbers of their personal monuments tenfold, with eough tax dollars we can squeeze out enough critical repairs to ensure most of our infrastructure is useable.

So let them tax away. That way we can repair some infrastructure, and we don't have to stop building sites where we can worship our political gods.

Amen
and God help those men before it's too late.
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