In response to:

So What If Taxing Rich Hurts the Economy?

johnm h Wrote: Nov 22, 2012 7:35 AM
We need a serious discussion about tax reform, quibbling about small cuts or increases isn't serious. Democrats are able to demagogue the issue because Republicans refuse to be serious. The tax code is corrupt. The rich don't pay high taxes, the middle class does. Obama is not proposing to raise taxes on the rich because the very rich support him. He is proposing to raise taxes on the middle class. 250 thousand and at the end of life a few million net worth isn't super rich. Buffet's 20 billion and Soros' 10 billion is rich and CEO's who pay themselves 100's of millions at stockholder expense mostly in options are also doing alright. Most of them also support Obama.
floridahank Wrote: Nov 22, 2012 7:58 AM
While I accept the fact that the Fed. Govt wastes much $$$ in various ways, I cannot go along with the fact that companies will give bonuses to their leaders when the company loses $$$ each year. It's only fair to compensate people who produce profits to their shareholders and also to deny any $$ when the company loses $$$ in any year.
With all the corruption and fraud being obvious in various public institutions that end up having its investors lose $$$, our legal system is totally broken when nobody goes to prision. There are too many people in high places that are supposed to overlook activity and protect citizens who themselves are dishonest and have no value on dealing out justice. Our entire system is broken and getting worse.
johnm h Wrote: Nov 22, 2012 8:50 AM
There is no correlation between total corporate compensation and profits, to the extent there is some weak association it's inverse to corporate income. Private managers with Congressional help, and the shelter of high corporate taxes gradually took over from stockholders. It's part of the same crony corruption. Bonuses are good ways to manage salaries across the board as it enables companies to shrink costs in bad years, and stimulate production and income, but too many use the system to rob stockholders to their great personal benefit and don't spread it to the rest of their employees which would make it really effective..
Consider this headline from a Reuters article in The Huffington Post: "Raising Taxes on Rich Won't Hurt Economic Growth, CBO Says."

But the first paragraph refutes the headline: "Allowing income tax rates to rise for wealthy Americans would not hurt U.S. economic growth much (emphasis added) in 2013 ..." The CBO did not say, as the headline suggests, that raising taxes on the rich has no negative economic effect. In fact, the CBO actually said that extending the Bush-era rates for all would increase economic growth by 1.5 percent. If, however, the Bush era rates expired for the rich -- but...