'Path to Prosperity' and It's Consequences?
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Hey guys! I'm from Germany and I was always fascinated by the United States, but unfortunately I have neither relatives nor friends in the US, so it's hard to discuss anything I read/see in the, well, mostly polarizing news / media. So please try to understand my lack of knowledge (and probably my grammar) :-) Paul Ryan recently introduced the GOP budget plan for 2013, with a - compared to its content - very irritating name: "Path to Prosperity". If I got this right, there are two key points which confuses me. 1) Massive spending cuts in social programs (Medicare / Medicaid), education and infrastructure and 2) lowering the corporate tax from 35% to 25%, specifically split it into two parts (10% and 25%). I thought a lot about the consequences and tried to view it from different points, but they're all ending in the same way: a massive shift of money from the middle class / seniors / low-income workers to the wealthiest 1%. Why? Here are my thoughts!: Everyone has to pay for debt + interest in three different ways: 1) Personal: obviously, everyone has to pay back their individual loans plus interest 2) National: will be automatically paid back with taxes 3) Company: will be automatically paid back too, since the interest of debt / loans are shifted / added to / or already are included in the price of any product. So, as long as the average worker receives less interest income (for his deposited money/assets), as he has to pay back (directly and indirectly), he will always co(?)-finance the wealthiest 1% (which will receive higher interest income, based on their high assets). This might work for several years, but there's going to be a point, where the average worker can no longer stem all the debt and/or interest payments, which leads to a collapse of the whole system with consequences like currency reform, haircut or inflation. My thought may be unsubtle, but it generally leads to a handful of questions: 1) Why do so many people agree with this plan, especially a presidential candidate like Romney, who praised it? Shouldn't he care about all Americans? From my first point of view, 99% shouldn't agree with that. 2) Who in this plan is going to achieve long-term 'prosperity', if not the wealthiest 1%? 3) Why are there so many people who oppose the democrats' way? Wouldn't the increase in top tax rates and lowering tax for middle class prevent the above-mentioned example? I know this is a very tough topic and can always turn into a disputation, but I hope someone can give me a neutral, professional and/or political-party-unrelated answer. I would also be very thankful, if someone can recommend a good website or blog, which is worth to read about US politics. Thank you in advance! Have a nice weekend and best regards from the other side of the Atlantic! Alex
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Answer:
1. Americans receive fat allowances, so they are not at all poor. Minimum allowance an american gets is above world average of per capita. spread of wealth is something world needs to learn from USA. that takes steam out of equality worshipers. 2. In all democracies , considering indirect taxes, the poor always pays more taxes as % of income , than the rich. your point is more than valid. but, that's the price they pay to avoid the midnight knock - against which they do not any defense. 3. Rich put that man( not yet woman) whatever animal he worships , in white house. Obama emptying treasury for bail-outs and GOPians cutting taxes on rich...are just two sides of a coin. Average american never knew what he was doing..... and now they think it's keynesian measure !! 4. Path to prosperity is another catch phrase - I think 90% of their white house occupants/contestants have always been lawyers. so, its an argument not truth. 5. all jealous countries got liberalization injection from america and now they think america is their brother. peace to all. USA frantically avoids wars, supremacy of others, revolutions( in and out). So they are at wars, espionage, terrorism , oil-theft, gambling, fin-econ crimes etc.
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Other answers
1. Americans receive fat allowances, so they are not at all poor. Minimum allowance an american gets is above world average of per capita. spread of wealth is something world needs to learn from USA. that takes steam out of equality worshipers. 2. In all democracies , considering indirect taxes, the poor always pays more taxes as % of income , than the rich. your point is more than valid. but, that's the price they pay to avoid the midnight knock - against which they do not any defense. 3. Rich put that man( not yet woman) whatever animal he worships , in white house. Obama emptying treasury for bail-outs and GOPians cutting taxes on rich...are just two sides of a coin. Average american never knew what he was doing..... and now they think it's keynesian measure !! 4. Path to prosperity is another catch phrase - I think 90% of their white house occupants/contestants have always been lawyers. so, its an argument not truth. 5. all jealous countries got liberalization injection from america and now they think america is their brother. peace to all. USA frantically avoids wars, supremacy of others, revolutions( in and out). So they are at wars, espionage, terrorism , oil-theft, gambling, fin-econ crimes etc.
Mukesch Kaley
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