This is my first post since the Trump Administration took over.
I will not reduce this piece in any manner towards the 'ad hominem,' attacking the individual flaws, not a rebuttal to the premise of the opposition, found throughout this nation today. Remember 'ad hominem' is a fallacy.
We are at a juncture in our nation's life where decisions for the future are now being discussed. Taxes, Health, and Life, Liberty and the Pursuit of Happiness....
To whit:
In my treatise Metaeconomics, I define a non-tax structure of currencies to create a greater and more abundant state of living;
Seven Market Categories each with their own 'Class' of currencies calibrated to each market need.
1. Survival
2. Social
3. State
4. National
5. International
6. Bourses
7. Macrofinance
The premise and conclusion is that we are commodifying the bare necessities of life, and by not having a proper Benefit-Cost structure for everyone to agree to and reference, we inadvertently have put an actual dollar amount to the Earth, humanity itself, and the individual lives of citizens in general.
As such, I now entreat my recommendations to our present Administration.
The above scheme is well too complex for our current governments systems. That said we need to talk about Milton Friedman's tax proposal the ruling party are now distorting vastly. That is the little postcards we will be sending in to address nominally our annual tax portion.
I feel the current Congress wants to eat their cake and have it too. It seems legislators take to tax exemptions like a cat to catnip-- they cant but help to assist their "constituent(s)" in being picked to 'win.' Government shouldn't be in the business of picking winners and losers!
I. When all loopholes are closed: we only need an across the board tax of 11%, no loopholes across the board, to over-fund the Treasury, and begin to pay down the debt, and balance the budget. And to be clear this is across the board-- capital gains, passive income, asset transfer, etc.
1. First tier, and first moneys are tax free! The first earned annual $15,000 Single, $25,000 Joint, and $250,000 Business are not taxed.
By lifting the burden of the underclass, we will create an operating market that functions freely at the initial or lowest levels. This ideally stimulates the creative forces to invest in themselves, but does not allow any taxpayer to 'subcontract' to themselves, so as to only declare minimum tax-free income in, say, five different Taxpayer IDs, that still wholly are the account of that prime TIN in order to avoid taxes altogether.
In other words, just as the FDIC insurance only covers banked money up to $250,000, many elite create "Account ladders," where each portion of their cash wealth is held in as many $250,000 bank accounts, as needed, to insure the whole fortune.
Similarly, business declarations must be transparent-- that is the premise of the postcards. We already have the means to audit in real time all the electronic transactions (that would include all Federally approved institutions) nationally. Cash and assets would only be investigated on sums above this initial threshold.
2. Second tier, 10%- No deductions no loopholes and no 'motivational tax.' It is in the interest of the State to ensure that every citizen has the freedom and liberty to pursue their specific happiness. The abundant tax breaks are designed to encourage a citizen to (a) buy a home, (b) get married, and (c) have kids. That is the formula to create more citizens, a natural resource. The more citizens, the more tax revenue, and so tax breaks have been tinkered with to create the byzantine code extant.
After initial first tier clearance, this second tier would cap at $40,000 Single, $100,000 Joint, and $650,000 Business.
For example:
Ralph Doe made $38,000 in a year, he would only have a "tithe to the state" upon the remaining $23,000-- thus a tax of $2,300-- and Ralph can easily estimate how much to save, every year.
The Smiths earned $55,000 jointly, and because they could anticipate and easily calculate, they saved to pay the 'tithe;' ($55k - $25k = $30 x .1 = $3,000).
Acme LLC, a small cap C-Corporation, earned $422,000 in a year, and having been granted the first $250k tax-free to do as they need and want, they then earned an additional $172,000 above the exemption ($422k-$250k=$172k x .1 = $17,200).
Sorry no write offs or loop holes, because when Milton Friedman made the tax simplification argument, it included ending all the bizarre and overly detailed escapes from taxation creating an effective net zero.
Large cap businesses currently operate with most or all of their tax liability erased by every esoteric tax break currently on the books-- not the nominal 39%. The savings for larger companies will occur with the redundancy of certain financial specialists they require to staff in order to have the "net zero" tax.
3. Third Tier, 12.5% after second tier and up to: $100,000 Single, $250,000 Joint, and $1,000,000 Businesses, annually.
4. Fourth Tier, 15% after third tier and up to: $650,000 Single, $1,000,000 Joint, and $10,000,000 Businesses, annually.
5. Final Tier, 20% after fourth tier and after fourth tier annual maximums.
All loopholes and favors are closed, except the ability to write off only donations to any 501c3 non-profit organization. Other 501s, such as political organizations, or any other TIN classes are not "Tax Free," and have to conform to the above scheme. (Maybe also keep the Mortgage Deduction, [and the State-level taxes] but again that begins the slippery slope of horse trading for more esoteric tax breaks.)
This final nominal 20% should also be tithed upon all capital gains, estate, and transfer taxes above the fourth threshold-- and realize a net TAX CUT OF OVER 25%!
This is just a simple tithing scheme.
II. Trump Care (ACA)
Here I provide a simple testimonial; The ACA saved my life.
I have been recovering my health since 2009 when I began experiencing what was diagnosed as Arthritis. When I finally got ACA health care in 2014, I was allowed my pre-existing conditions to be treated, I began to successfully manage symptoms I would have died of probably by 2016 without healthcare.
It turns out I have been in chronic pain via fibromyalgia much of my life.
By creating a safety net for all citizens, we increase the Potential Energy of the Economy (promising intrinsic future GDP).
Health is critical. I have argued in my last post extensively.
By allowing our overseas competition to fund free health care we compete with an implied reverse tariff against us. By insuring their citizens, they relieve businesses of cost burden to carry Employees.
Further, if we just simply eliminate the age requirement for Medicare, and wrap the Federal Employee Insurance (that Congress and Federal Employees have), and the VA System in to the folds of Medicare and Medicaid, most citizens would be able to rid themselves of illness and diseases to improve our productivity.
This leads to one of the most serious issues for the general benefit and health of our citizenry: Environment.
III. Reconcile Environmental and Economic policies.
I am totally saddened by the situation in Japan of Fukushima. The robots died within minutes of contacting the radiation pit spewing radioactivity into the Pacific Ocean and destroying our fisheries. Not to mention Garbage Island.
We are at a juncture where if we fail to act and coordinate amongst ourselves as humans on this earth, Mother Earth will shake us off-- in 100, 1000, or 10,000 years-- at the rate we are going how much longer do you assume we can last?
The natural resources are being opened up to industry, and regulations are being diminished, destroyed and dumped like a bad habit.
Climate Extremity deniers have failed to prove their premise now for forty years! Data regarding man-made carbon increases was first uncovered in the 1960's from a military surveillance in Hawaii. By the 1980's James Burke appeared throughout the Western world attempting to explain the probabilities and ramifications of our unchecked growth. In the 1990's Kurt Vonnegut, Jr., created the words, "thermodynamic system," in an earnest appeal to the public to help comprehend our situation of overall increasing temperatures. By, 21st century, Vice-President Gore further explained that our ignorance is costing us RIGHT NOW, very dearly.
Which helps us to arrive at International Relations.
IV. The World occurs with or without us.
1. Environment: The Paris Accord has been the result of decades of International Negotiations-- Kyoto, Doha, and Paris-- representing monumental achievements of Diplomacy.
Our failure to embrace the completion of the International realization that we as a species have very little time to have any say in what world we leave the next seven generations is abysmal. This is no surprise to the "woke folk," including the 99.9% of Scientists that agree we are facing a Monumental Challenge as a species.
The people who doubt "Global Warming" have a point. Earth still has winter. But Snow (winter-- a Season, not a climate) doesn't disprove what is best termed Climate Extremity-- hurricanes needing a Category 6 level? (Remember basic science: where if a molecule is heated the energy excites [expands], and that is how every day we boil water for coffee, tea, etc.-- hence oceans providing increasing water to the excited storms.)
2. Diplomacy: The 'talking tough,' emphasis on conflict in the International arena is a fools errand.
In my book (available as second draft [still haven't corrected the indexes]) Metaeconomics, I define Perpetual or Constant (k) Warfare (W). Perpetual Warfare (kW) is impossible to sustain and is NOT STABILITY. History bears this out over and over.
War makes profits. It devistates the underclasses. And it also destroys our Terra Firma upon which we succor.
V. Conclusion
We are simultaneously the Oldest Democracy, yet one of the younger nations.
In my various travels abroad, I have heard repeated many times the opinions that we are viewed as an Adolescent by the International community-- picking on the weakest Nuclear Power (NK), but also cozying up to the closest rival (Russia) and Bully. We must shake off this juvenescence!
Until we can recognize the simultaneous pulls of on the one hand providing guidance to other democracies by best example and primary superpower, while on the other having the humility to learn from ancient nations (France, Japan, etc.), we will not be followed as a world leader within the International Community.
I hope we Americans can make something work to address all of the above. But I wont be surprised if I am further ignored.... that's Okay, because I am pushing neither "Like," nor "Ignore" on my Social Media radar. Life is more subtle and complex than the simple binary matrices we prefer, just because it fits in our head.
In this day of instant gratifications, immediate knowledge, and mass sub-culturalism (where people only listen to what agrees with their world view, as opposed to facts of concrete reality) we must comprehend that facts, factors, and proven (amongst all the sciences here we reviewed, economic) theory should be respected, observed and obeyed.
I am not going to go for another 30 years with the elites arguing that 'trickle down economics' operates within the mechanics of economy, is somehow to the benefit of all, and good economic and social policy (lest we compare the environmental disasters we are regularly carrying out in this grand open chemistry experiment).
So 'snapoutofit' and create reasonable by-partisan laws with clear-eyed leadership, please.