So The Poor Pay No Taxes?

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I can’t tell you how many times I have debunked the argument that the rich are already overburdened with taxation. I just finished listening to Rush Limbaugh rant for the longest time on this topic. Notice there is not a billionaire or even a serious millionaire in the world who has any interest in cutting spending. Why is that, you might ask? Why would a rich person not want to cut government spending? The rich lobby for more spending instead. Given that situation, is there any reason to talk in terms of who pays their fair share of the tax burden? By paying high taxes, the rich guarantee themselves that government will continue to grow in size. When government grows, the rich get richer.

The rich are the only income group which on balance benefits from government spending. For the super rich, government is a profit generating engine. When we tax the rich heavily, we are only forcing them to pay their business expense.

I have made the case many times that corporations, through their influence on government, have taxing power of their own. When the relationship between corporations and government becomes corrupt, the poor end up paying part of corporate taxes with everything they buy.

The only fair form of taxation is that which taxes those who benefit the most from government. This would be a hard case to make it that group was the poor or middle class. The rich have the money and power to reduce the size of government if that is deemed to be in their best interest.

About Fantasy Free Economics

James Quillian is an independent scholar and economist.
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