Posts Tagged ‘tax reform’

Another open letter to my senator, Mitch McConnell

December 5, 2017

I’ve tried repeatedly to phone my senator, but his phone never answers and his voicemail box is conveniently full.  I’ve also tried the contact form on his web page, but his responses fail the Turning Test.  I’ve been told that physical letters have more impact, so I’m mailing this tomorrow.  I am not, alas, overly optimistic that it will actually be read either.  So that maybe another human being will read some of this and give me a rational comment in response, I’m posting it here.  Besides, this blog needs more recent content!

Senator Mitch McConnell

317 Russell Senate Office Building

Washington, DC 20510

 

 

Dear Senator:

I’ll try to state the main points quickly, since I doubt any human being is going to bother reading this anyway. Your answers to my previous calls and e-mails have been so off-target that I know no one bothers to read past the subject line. But I’m told that physical letters get a bit more attention, so I’ll try again.

I’ll give the conclusion first, and then the proofs leading up to it. This tax cut is a scam. It will raise my taxes, perhaps not this year but certainly in ten. However, tax cuts for the millionaires and billionaires, like you, your donors and Trump, are made permanent. You promised and still promise to give the middle-class and poor people a “big, beautiful tax cut,” and even say that you’re raising taxes on the rich. That is a lie, but you can make it the truth. Make the tax cuts for corporations and for the super-rich temporary, as you propose to do for the middle-class. Make the tax cuts for the middle class and poor permanent. The numbers that you have deigned to release suggest that you could do this easily, since the amounts you wish to raise from the middle class by abolishing their tax cuts match the money you wish to give away to the super-rich. You say that you need the ability to take the cuts back from the middle class if giving huge breaks to the rich doesn’t jump-start the economy. That’s insane. Instead, you should make the rich prove that having these big, beautiful tax cuts will encourage them to create jobs. If the economy tanks, they’ll have shown they don’t deserve or need tax cuts to stimulate the economy since it grew for over eight years without the cuts, but they’re still rich so they have enough money and to spare. This would go a long way towards convincing people that the GOP cares about its voters, and not only its donors.

Now for some backing for this suggestion. After eight years of hypocritical whining about how terrible it was that President Obama and the Democrats had passed a health-care bill without any Republican votes (though incorporating Republican ideas and soliciting Republican input throughout the process), your party rammed through a tax reform plan with less popular support, not even a pretense of seeking bipartisan input, and with so little discussion that few if any of the people who voted for it had any idea what it said. You said the ACA was rushed, but it was discussed in committees and debated publicly for nearly a year. Your tax plan was rushed through in about two months. During this time, the government has moved closer to a shutdown; but rather than deal with that first and work on tax reform for a year, you chose to ram through an ill-conceived tax cut for the wealthy. The CHIP program was allowed to expire; but rather than deal with insurance for sick children, some of whom may die, you felt it was more urgent to cut taxes on corporations so they could create jobs when we have extremely low unemployment rates already. I suppose some of the nurses who get laid off due to the loss of funding for children’s health can get jobs as gravediggers. Economists tell us that ending DACA could cost the U.S. economy $280 billion dollars (see http://fortune.com/2017/09/05/daca-donald-trump-economic-impact/), but you thought it was more urgent that we cut taxes to corporations when the CEOs tell us bluntly that most likely they will not invest the money in job growth, but use it for stock buybacks, dividends and executive bonuses. You are relying on economic theories and predictive models used by Gov. Brownback in his disastrous experiment with the Kansas state economy, which led to reduced economic growth and massive deficits. Kansas can survive because it is part of a United States that is generally doing better economically; in particular, New York and California pay in far more to the Federal government than do most “red states” like Mississippi, Alabama or our own home state, Kentucky (see https://wallethub.com/edu/states-most-least-dependent-on-the-federal-government/2700/). If you do to the nation what your party did to Kansas, the nation might not survive. In fact, it seems unlikely that the world economy could survive.

I understand that conservatives want to reduce taxation on general principle. I am in favor of sound, frugal economic policy. What the GOP is proposing is not that. You say this is a middle-class tax cut, but anyone who can read knows this is another of your “alternative facts.” In the real world, this is a middle-class tax hike, giving people like me a few dollars now only to yank it away just as I will be needing to retire. It is a major tax cut for the wealthy and for corporations. That is why the tax cuts for the poor and middle class, if they get them at all, will disappear in a few years, while tax cuts for the super-wealthy and for corporations are permanent no matter how badly the economy does in the future.

Rather than simply be negative, please let me offer the following suggestion: Reverse your priorities. Make the tax cuts for corporations temporary, tax cuts for millionaires and billionaires temporary, and the tax cuts for the middle class permanent. Instead of eliminating deductions that middle-class and poor people need, like the tax deduction for medical expenses, keep them, and cut tax deductions for private jets, for golf courses and other things that only benefit Donald Trump and other billionaires. Right now, you are proposing cutting taxes for corporations and the wealthiest sliver of the American population by shifting more of those expenses onto the poor and the middle-class. You say that doesn’t matter, because we’ll have so much economic growth that we’ll be able to renew the tax cuts for the middle-class when they are set to expire. If that is true, then why not just reverse that reasoning? If, as Republican economic theorists claim, the economy grows in ten years, we could renew the tax cuts for corporations and for the wealthy at that time; so schedule those cuts to end in ten years. Let the tax cuts for working people be the ones that are permanent. Show that you care about voters, not just donors.

Also, you claim we need tax reform because you want to simplify the process of paying taxes by reducing the number of brackets. That is absurd. If you really want to make it easier for us to pay our taxes, let the IRS send out a bill (see https://www.nytimes.com/2015/04/16/technology/personaltech/turbotax-or-irs-as-tax-preparer-intuit-has-a-favorite.html). The government has our tax information already. The only reason the task of calculating our taxes is thrust upon us is because lobbyists for the finance industry have paid you and your colleagues to keep both the taxpayer and the IRS doing the same job of computing our taxes, so we’ll have to keep paying Intuit, H&R Block and others to help us with our taxes. If the government handled our taxes the way most other nations do theirs, we could reduce fraud as well as anxiety for millions of people. Right now, paying taxes is like trying to pay for a meal at a restaurant without seeing the bill, and getting punished if our numbers don’t match what the waiter says we ordered. I suggest instead that you, the waiter, hand us the bill, and if we need to dispute part of it we can deal with that.

When I was in college, Republicans were the party of hope, of international engagement, of moral principles, of sound, clear-eyed economic realism, and above all of patriotism. I didn’t always agree with Republican positions, but most of my best friends were Republicans or Libertarian. The conservatives I knew were able and willing to discuss evidence and to debate rationally. That Republican party is dead, and you, sir, are one of its murderers. As Bobby Jindal famously said, the Republicans have become “the Stupid Party.” My Libertarian friend once debated an avowed Communist who claimed Marxism was the only “fair” system. He replied simple, “But Robert, it doesn’t work.” Kansas is just one of several Republican states, as well as some nations, that have tried to apply the theories of Laffer and Ayn Rand. Those policies have failed, and hurt a lot of people, although the rich like you may not have noticed (see https://qz.com/895785/laffer-curve-everything-trump-and-republicans-get-wrong-about-trickle-down-economics-and-reaganomics/ and https://www.pbs.org/newshour/economy/column-this-is-what-happens-when-you-take-ayn-rand-seriously). Instead of being the realistic party facing down dewy-eyed, empty-headed idealists, you continue to push policies that have brought corporations, states and even nations to the edge of ruin. You are the party of dewy-eyed, suicidally-devout fanatics The party of Reagan would not do this. Regan worked for years on tax reform, talking across the aisle, allowing Congressional committees to do their work, and so on. And when the policies didn’t work and deficits ballooned, despite the reassurances of the Hayek-Laffer school, he backed off instead of doubling down. I say to you what the Libertarian said to the Marxist: What you propose doesn’t work, so try something else.

 

Yours truly,

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An Open Letter to Mitch McConnell

July 12, 2017

Dear Senator McConnell:

Republicans have been saying for many years that a nation that cannot guard its borders is no nation at all.  As a point of geography, this is not really true; there are many national borders today that are not patrolled or even fenced, where a person may wander from one country to another without realizing it, and still those nations thrive.  Why?  Because physical boundaries do not matter nearly as much as the ability to govern and control.  If a nation is able to make and enforce laws within an area, it exists.  I could live in Canada for twenty years, in a shack, thinking I was in the U.S. because the border was unguarded and I can’t read a map, and it would not threaten Canada in the slightest, so long as when I finally broke the law in some way Canadian police were able to arrest me, and Canadian courts were able to judge me according to laws made by and for the people of Canada.

Currently, in the United States, we cannot say with confidence that we are a nation.  Our ability to choose our own leaders is under attack.  Without the ability to choose our own leaders, we cannot make our own laws.  Without our own laws, our courts are reduced to enforcing the laws made by others.  When our own courts cannot enforce our own laws, our police and military are merely security guards protecting someone else’s property, following the directions of the boss who actually makes the rules.  And right now, Russia is striving to be that boss.

We know that the Russian government hacked at least 21 state election boards.  We are told that they didn’t change any votes, but we do not know that since no one has actually investigated this.  To say “we have seen no evidence that any votes were changed” when there has been no serious (or even cursory) investigation by DHS is like the “three wise monkeys” with their eyes and ears and mouths covered, so that they cannot see, here or say anything bad. (Source:  http://www.thedailybeast.com/dhs-never-ran-audit-to-see-if-votes-were-hacked).  It is a farce.  But instead of investigating this very real, proven threat to our national sovereignty, you, the Republican Party, are wasting millions of taxpayer dollars investigating voter fraud, which even you, Sen. McConnell, admit never happened (sources:  http://www.cnn.com/2017/07/03/politics/kris-kobach-letter-voter-fraud-commission-information/index.html and http://www.cnn.com/2016/10/17/opinions/mcconnell-call-out-trumps-rigged-election-comments-douglas/index.html).  You yourself said in February of this year that no tax money should be spent on this snipe hunt; but still, a Federal government commission is demanding that state governments aid in its “investigation,” tying up millions of dollars to pay for an investigation using up the time of public servants who could be better employed preventing Russian hacking of the 2018 and 2020 elections.  The executive branch of this government has repeatedly called the entire Russian hacking investigation a “hoax” and “fake news,” with our President even repeating in Poland that “we don’t know” who was involved in hacking our election.

A nation that cannot guard its own methods of choosing its leaders is no nation at all.  The Russian hacking of our nation’s elections systems is a direct attack on our national sovereignty.  By comparison, everything else—-health care, tax reform, even military spending—is irrelevant.  What difference does it make whether we have the best military in the world, if the leaders who command that military are chosen by a foreign power?  We will simply be mercenaries for the Russians.

The Founding Fathers of this great nation, the authors of our Revolution and of our Constitution, were profoundly influenced by the philosophy of John Locke.  His was one of the first and most effective pens to be raised in defense of government of the people and by the people, at a time when England and most other nations still proclaimed the divine right of kings to absolute power.  When the leaders of the Thirteen Colonies sought to articulate the weight of their oppression and the justice of their cause, they turned to John Locke for guidance.  Here is what John Locke writes in his Second Treatise of Civil Government:

 

The delivery also of the people into the subjection of a foreign power, either by the prince, or by the legislative, is certainly a change of the legislative, and so a dissolution of the government: for the end why people entered into society being to be preserved one entire, free, independent society, to be governed by its own laws; this is lost, whenever they are given up into the power of another. (Second Treatise of Civil Government, Chapter XIX, sect. 217; http://www.constitution.org/jl/2ndtr19.htm)

 

Since the 300 year old English can be a little clumsy to the modern ear, please allow me to rephrase:  When the leader of a nation, whether it be the Executive or the Legislative branch of the government, turns power over to a foreign government, that nation has dissolved, and the citizens are on their own to live as individuals, or to join together, take up arms to defend themselves, and to form a new government more responsive to their will.  That is the threat under which we now live:  the end of the United States of America.  And just as John Locke’s words justified a revolution on the far shores of the Atlantic eighty-six years later, there will be people who will say that they justify another one, should you, Senator McConnell, and your fellow leaders, allow this nation to hand its elections over to a foreign power.

I do not exaggerate when I say the United States faces an existential threat.  Here we are, threatened with the loss of our nation’s ability to control its own affairs in its own borders, while the Executive branch is focused instead on justifying the President’s fantasies of popularity and the Legislative branch is focused on passing legislation which the voters do not want and which don’t matter two whits if we cannot say with confidence that our nation is really ours.  Your behavior is as if the nation’s capital were again being burned to the ground by an invading army, and Congress were busy planning for the coming Cherry Blossom Festival.  What will future generations say, when our children or grandchildren ask how it came about that a mighty nation, at the height of its power, suddenly fell into subjugation and humiliation?  How will you be remembered, who allowed this to happen?

Put aside all this nonsense and distraction.  Health care will wait another year.  Tax reform will wait.  These things may flatter the Republican ego, allowing you to feel like you won over the Democrats; but only a fool fights in a burning house.  Focus your attention on something that will actually get bipartisan support, something that might actually unite our troubled nation, and something that actually matters.  Form a bipartisan, independent commission to discover what the Department of Homeland Security seems so uninterested in:  what the Russians are doing to influence state and national elections, and how to stop them.

Thank you for your time.