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Comment on:
An Inconvenient Republican
No Federal income Tax or a raise in minimum wage
2 Comments
Wednesday, August, 30, 2006 10:27 AM
Navy Guy
writes:
Tax Cuts
The problem is the Dem like the minimum wage increase because it results in increased revenues to the government. For every $1 increase the government get 14 cents in Social Security, 7 cents in Federal and the states get 6 cents....
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Friday, December, 29, 2006 9:41 AM
Hig
writes:
Tax Cuts or Minimum Wage
What? I have a choice?? I choose tax cuts. If anyone is naive enough to believe employers will retain their lowest-paid workers after a minimum wage is imposed, they're deluding themselves and no one else. Employers are in business to make money, not spend money. If they can find a less expensive way to get a job done, they'll do it. That means if the cleaning crew's salary budget just got increased by legislation, the employer will cut the crew down enough to keep the budget the same.
Raising the minimum wage does not make the money appear in the employer's budget. Instead, it costs people their jobs! But these people don't know it or don't care, or don't believe it'll happen to them, because most of them are entry-level with no experience, and are the same people who believe that if they just "invest" enough money in lottery tickets, they'll win. (I can't point all my fingers, here, because I buy lottery tickets: I spend one penny per million dollars in prize. So I can't even buy one ticket before the prize is $100 million or more.)
Let's talk tax cuts for a minute: Why does a reduced tax rate increase government receipts?? Because the tax burden is reduced, giving consumers more spendable income and sales increase. Ever hear the phrase, "we sell at a discount and make it up in volume"? All that means is, "if we can sell enough extra stuff by cutting your cost, we'll still make the same amount of money -- everyone wins: you get a lower price, we still make our profit."
Want to make even MORE of a difference? Look up fairtax.org. Consumer costs would be cut so much that even with a national sales tax rate of 23%, we'd see a net increase in our income. And low-income folks would actually lose their tax obligation!
Thanks for the soapbox. We return you now to your regular programming.
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