Obama’s war on the rich to redistribute the wealth is only accepted by the ignorant. Unfortunately, many Americans are uninformed about the consequences of political claims like Obama’s taxing the rich. If it would bring in substantial revenue to help reduce the debt and deficit then it would make sense. But reality is different.
Obama claims that if there is minimum tax of 30% on those making more than $1 million a year then the federal government “could raise enough money” so that we “stabilize our debt and deficits for the next decade.” This is not even close to the truth. According to Obama’s Treasury Department, this “fair share” tax would raise at most $5 billion more a year. This is roughly what the federal government spends in one day. According to the Wall Street Journal article, The Obama Rule, the $5 billion is less than 0.5% of the $1.2 trillion budget deficit for 2012. Obama claims “This is not politics; this is math.” Obviously, Obama has a problem doing math because his fairness tax would account for only 0.1% of the $45.43 trillion the federal government will spend.
Tax revenue, however, is not the problem. It is the spending of the Obama Administration. For three years his administration has eclipsed all previous administrations in setting new records for spending. Franklin Roosevelt did the same thing in the 1930’s and the spending never got us out of the Great Depression. If it didn’t work then, why does Obama think it will work now?