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Are Taxes and Government Bad Things?

Written By Thomas Squires on Saturday, January 19, 2013 | 12:00 PM



Taxes by the government of a people on the people are not as bad as some will claim.  As taxes gradually increase, or decrease, the people will gradually have less money in their paychecks, or more money in their paychecks.  Almost immediately the stores where the people buy goods and services will see that their customer have less, or more, money to spend, and then lower, or raise, their prices to keep their customers.  Economists call this the law of supply-and-demand.  It is very simple to understand.  After the store prices change, the people will still be working at the same place, earningthe same wages, and will still have the same "buying power" and standard of living, it won't go down or up.  What does change if the taxes gradually increase, or decrease, is that the government of the people will have more, or less, money to spend on government services of all kinds that the representatives of the people in their government have available to spend without borrowing the money from the rich people, at high interest rates to the rich people, and the government going into huge national debts.  If taxes gradually increase, the people will have the same buying power, and the government will be able to give the people gradually more public goods, such as farmer and rancher subsidies,  factory product standards for compatibility, public housing for the poor, public safety, government advisors to the country's businesses, schools for all the people, both children and adult education programs, clean water supply, sewage removal and treatment, highways, bridges, electrical power supply, solar power plants, hydroelectric power plants, irrigation projects, trains for freight and passengers, buses, health services, hospitals for the poor, just all kinds of nice things that make life for the people of a country better.  Socialist countries in Europe such as Sweden ask the people to pay very high taxes, and the people live very nice standards of living, and the government provides all kinds of services for the people's needs and desires.  They still have democratic elections to choose their government representatives, and they still have a free market economic system adjusting the prices of good and wages to the best levels.  Countries such as the USA have much lower taxes and most of the people live very nice standards of living, but the government has trouble providing needed government services without needing to borrow money from rich people, and running a deficit every year, and going into deep debt, to the rich, over a number of years.  As USA government debt increases, and interest to the rich increases, the amount of money the government can spend actually goes down, and the rich can take money from the government of the people without doing any constructive work for others.  Furthermore, the rich have much money after their taxes and don't need it to provide their living needs, so they are giving the representatives of the people huge bribes, campaign contributions with which they can buy ads on tv and get themselves re-elected, on the demand of the rich to provide themselves with huge tax breaks, shelters, and deductions, which make the tax system of their government highly regressive, so that the rich with lots of money actually pay a much lower part of their income for taxes than everyone else, and this leaves the rich paying little or no taxes, and sometimes even getting government gifts to "encourage" their businesses.  This is a very unfair and evil thing to do, but the rich people in the USA will say that they are just taking advantage of the tax laws, and that they would be called fools by others if they did not reduce their taxes by any means possible.  This is what is going wrong with the economies of the USA and Europe, and it is very easy to understand.  The problem of the people is that the news show hosts and flood of ads repeated over and over again, try to convince the people that taxes are bad, government is bad, the government workers are corrupt and incompetent, and that government services aren't needed.  The rich people actually believe that if everyone has most of their living needs provided by government services, that nobody will want to work for the rich business owners at the wages offered for the work.  This means that the wealth of the rich depends simply on always keeping a part of the people jobless, and with no food, clothing, or shelter.  Furthermore, the rich business owners will set up their operations buildings and hire workers only where workers will work for really low wages and do dangerous, exhausting jobs without government regulations and inspectors taking the rich people to court.  The rich will automate all the jobs they can, with machines the rich people have property rights to, and then fire as many workers as they can.  All these things make the rich people very much richer than everyone else, even though they do nothing constructive to help the people.
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