Wednesday, August 24, 2011

More Republican embarrassment

Tax poor people: Republicans want the IRS to nail "lucky duckies." - By David Weigel - Slate Magazine

A fascinating article here on the weird ways Republicans - even non climate change denying ones like Huntsman - think about taxes, and how they got there.

There is now an exceptionally high degree of ideologically driven agenda around amongst right wing economics commentary coming from the States (and Australia) which has been fully absorbed by the likes of the Tea Party, and thus become more politically influential than ever. It leads to blow outs into nuttiness, especially in the area of tax, whether it be arguing against increasing taxes on the obviously rich (people earning over $1 million a year, as Buffet recently suggested, and the WSJ criticised because it was "lending his credibility" to tax increases on the middle class,) or arguing that any increases in taxes from the mining sector in Australia is going to lead to catastrophe.

Of course, the fact that carbon pricing can involve a "tax" is also enough for many to run screaming from that relative mouse in the room. (Well, OK, more like a rat maybe. I am trying to find the right metaphor for a relatively small effect on the total economy.)

As far as I am concerned, the economists of either the left or right who cling too closely to ideological driven agendas of what will work are not to be trusted. This happens on the Left too, of course, and in fact that used to be why moderate right wing parties used to be thought to be sounder economic hands. The evidence from the US is that this is, by and large, no longer the case.


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