I'm a little confused, like many Americans I was starting to believe Barack Obama's claims that he would lower the taxes on 95% of Americans, he said it enough times. But now the truth comes out - many of the people would get checks who didn't pay any taxes in the first place. That's ridiculous
Obama has claimed that he would lower taxes on 95% of workers - even though more than 50% of workers don't even pay taxes. What he says is true, but what it really means is that he is reintroducing a massive increase in the welfare state, costing about $30 billion per year. According to the Center for Data Analysis' microsimulation modeling, Obama would increase the number of tax filers who receive a check from government without paying any taxes including payroll taxes - people filing just to receive a welfare check - by about 10 million. Where will the $30 billion per year come from? From those who are paying taxes, of course. And indirectly from all of us, when the economy is dragged down by higher tax rates on businesses.
From The Foundry - Obama's Poverty Trap
This is no long term solution, to hand out checks to people that didn't pay any taxes in the first place. They can't create jobs, they need the jobs that small businesses would create. Call it old fashioned trickle down economics (that should enrage the liberals) but those who create economic opportunity need less government so they can take the risks it takes to create and innovate.