A reflection on Obamanomics
I have been reflecting on what President Obama wishes to gain by his intransigence on raising taxes. It is obvious that he does not like “the rich”, and wishes to demonize them in his words and actions. Even in his speech and his demands during the negotiations last night (12/28/12), he continues to denigrate those who make over $250,000. In fact, he called them “millionaires and billionaires” during his campaign. It is obvious from the failure that John Boehner saw with his proposal to raise taxes on those earning about $1million, that he “has it in” for those making above $250,000.
To digress for a moment. When John F Kennedy [proposed to] cut taxes, he said “a rising tide lifts all boats”. He argued that tax cuts would allow those at the bottom to have their boat lifted as well. This concept can also be applied to poverty.
To merge the two thoughts: During the Obama administration, the average wage of Americans has declined about 8%. If we chase off the high earners, this can be expected to drop even further. So the rising tide of President Obama is not prosperity, it is poverty. To quote another thought, there will not be substantial “trickle down prosperity”. Instead, poverty has begun to trickle upward, and soon will start to flood upward as the increased tax rates that the President wants exact their toll. My conclusion is that the President wants to lift all boats with poverty, not prosperity. That this is accelerating can be seen from this link.