Sen. Coburn and higher taxes
U.S. Sen. Tom Coburn, R-Okla., is ready for the federal government to raise taxes. To Coburn, any solution to the nation’s fiscal crisis will inevitably involve higher taxation, especially in light of a $16 billion (and growing) national debt.
Coburn, who is a hawk on wasteful government spending, is departing from his conservative base when he assents to higher taxation.
The lesson learned by Presidents Bush (41 and 43) and even Ronald Reagan is that higher taxes means bigger government.
The Democrat say they want spending cuts but only with higher taxes on the “wealthy.” The “wealthy” can afford it and it is only “fair.”
If Coburn and other senators back a plan to raise taxes and cut spending, they will deliver the higher taxes but they won’t get the cuts. That’s the historical practice of congressional Democrats.
Obama has no plans to use money from higher taxes to reduce the debt. He will use it to buy more influence with food stamps, free cell phones, free school lunches and a host of other giveaways to his loyal followers.
And the government will simply get bigger.
And the sad part is that raising tax rates results in smaller revenues. Publicly traded stocks are already reacting to the tripling of the tax on dividends but paying double this year in anticipation of cutting dividends in 2013. That means fewer taxes will be paid with higher rates.
Lower tax rates stimulate the economy as businessmen are spurred on by the promise of profits.
Democrats either don’t understand or agree with the idea that you can’t tax your way to prosperity.
And now that camp has a friend in Tom Coburn.