Significantly Lowering Taxes Creates Better Citizens

  • Post category:Opinion

Lowering Taxes and Increase a Moral Society

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President Donald J. Trump administration’s arguably most meaningful achievement has infuriated the far-Left Democratic party to the point of hysteria. We’re not talking about the decimation of ISIS, or a tougher negotiation stance in US – China trade relations. Were not even discussing the much-needed public attention towards immigration reform. We’re talking about the tax-reform. Something which has resurrected America’s economic dynamism as well as created prosperity to American households and businesses. Significantly lowering taxes also creates better citizens.

No society or “village” in the history of mankind has been able to tax and spend itself to prosperity.

Although the new leadership within the Democratic party has returned to the failed ideas of aggressive wealth redistribution, President Trump’s tax-plan radiates virtuous and moral ideals of free market economics. By cutting corporate tax to encourage revenue domestication and capital investment, simplifying tax-brackets and most importantly letting people keep more of their earned income/wealth is a clear moral victory for America. Pointing out something immoral about such principles requires laughable brain gymnastics, à la Bernie Sanders & friends. Or possibly, you could be ascribe to the idea that it takes a village to build a just society. Perhaps the ethically extremely questionable author (Hillary Rodham Clinton) behind such thoughts should be reminded that no society or “village” in the history of mankind has been able to tax and spend itself to prosperity.

Really Facing Economic Facts

In all seriousness, President Trump’s tax-reform can resurrect the prosperous American era of Ronald Reagan. To achieve this, however, tax-cuts need to be commensurate with reductions in government spending. For the sake of intellectual honesty, we must acknowledge that Trump’s audacious tax plan has its challenges. Namely the risk of pernicious deficits resulting from unbalanced budgets and reckless government spending. For example Tax Foundation and CBO forecast between $4.4 – 5.9 trillion revenue loss for the government on a “static basis.”

However, we should point out two crucial semantic contradictions. First, a revenue loss for the government is an income gain for the private sector. This basic economic principle was evidently too burdensome to understand by Democratic leaders who complained raucously that tax-returns were significantly lower than before. Secondly, “static basis” means that the Tax Foundation doesn’t have clear understanding of how much people/businesses would spend and/or invest of their increased after-tax incomes, leading to larger fiscal multiplier effects across all economic sectors. After all, your spending is someone’s income and therefore your higher spending is someone’s higher income.

The Vilification of Conservatives

How about the spending side? Obviously, current government spending habits must be changed. If not, conservatives need to make an ideological U-turn in tolerating reckless government spending habits. The latter would be simply unacceptable. Limited government conservatives should not only worry about government spending when a Democrat happens to occupy the White House. In fact, Trump’s tax-plan philosophy is a crucial reminder to every American on how U.S became the most prosperous and innovative nation in the history of mankind; through individual economic & political liberty and most importantly through small government. Democrats have long vilified us the conservatives, because of our stance on smaller government, as the party of business. As if there is something nefarious about encouraging entrepreneurship.

Perhaps it is time for the Republican party to embrace the brand of being pro-business and aggressively run with it the same way the Democratic party has galloped with the idea of glorifying victim-hood through (toxic) identity politics.

Greed and Virtue

To those on the Left who consider Trump’s Tax Code somehow greedy and unfair: tell us why is it considered greedy and unethical to want to keep what one earns. Why is it virtuous and civilized to desire to take from others? In other words, how much of someone’s income and wealth belongs to you? A typical conservative would say, “as little as possible to fund the basic functions of limited government.” Modern day liberals demand you to surrender as much of your private property as possible.

They do not believe that significantly lowering taxes creates better citizens. They would do all of this, in the name of social justice and common good, without defining or quantifying them.

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And this is not considered greedy?

Henri Erti
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