The average U.S. citizen will pay on the order of $500,000 in taxes over their lifetime. (That is federal, state, and local in present value dollars). The average U.S. citizen will receive over $500,000 in benefits from their government. (That is the big ones like social security, education, fire and police protection, and medical, as well as some intangibles like roads, street lights, public spaces, and consumer and environmental protection). Seems like a good deal for the average U.S. citizen, especially when you take into account the other things the federal government spends money on like military and corporate subsidies.
But think about a person who earns 6 times the average. That rich person will pay over $2 million more in taxes than they will get in benefits. Seem so unfair. So obviously we should lower their taxes. Isn’t that logical? Okay, maybe not.
Lets look at it another way. The tax breaks being pushed would reduce the average U.S. citizens taxes by less than less than $50,000 over their lifetime. On the other hand, it would at the same time reduce their benefits by over twice as much. Makes me wonder why so many average citizens are in favor of it. That same tax break would reduce that rich person’s taxes by over $500,000 – so I completely understand why they are in favor of it. I mean that rich person can always buy expensive air purifiers to make sure they breath nice clean air in their house and buy expensive water purifiers to make sure they drink nice clean water and buy expensive food that doesn’t have salmonella or ecoli or rat and have private security patrolling their gated communities and send their kids to private schools and go to expensive doctors for special treatments and so on. So they don’t really care that much if the government reduces public benefits.
I totally understand people who vote based on their views on abortion, marriage or other such topics. What I don’t understand is how so many of them also got hoodwinked into supporting tax breaks that actually will hurt them over the long run while really helping out the rich.
At least there are people out there like Warren Buffet who are willing to say the truth, that they should be taxed more rather than less.
Well, to all out there, average or rich, I still wish you the best during this holiday season and have a happy new year.
