Skip to comments.need help refuting leftist claims about 1950s tax rates
Posted on 10/09/2010 10:42:15 AM PDT by mainestategop
Im preparing to write an article about Liberal myths and lies concerning Bush Reagan and Obama and I keep coming back to this claim that liberals have been making on youtube and several other places that in the 1950s taxes on the wealthy were at an all time high and our economy was flurishing. Any old timers from that bygone era care to comment? Has anyone heard this?
I'm not sure but I seem to remember someone telling me that back then most people didn't pay any income tax at all since the lowest rate didn't kick in until around $10K. Back then if you made $10K it was something. I think of the scene in the movie It's a Wonderful Life where George Bailey is offered a job making $20K/year and he's in shock.
If the tax rate is 90% but nobody makes enough to pay it, it's not doing any economic damage. The problem comes as inflation kicks everyone's wages up but those tax brackets don't move with it. This is why inflation is such a stealth tax.
Is this true??? One more reason why I despise Hussain!!!. I just purchased a property back in 2007 with the intent of moving into it. As we all know housing and the economy tanked shortly after so I was out of work. Since I couldn't sell w/o a major loss and I was lucky enough to be able to rent it out, I've been able to hold onto it. Now you tell me that Hussain has screwed that idea!?! I tell you, I can't wait to see the kenyan wearing an orange jump suit and ankle bracelet picking up trash by the side of the road.
So I have read.
If I cant sell I will have to raise the rent to copensate.
Perhaps you can do the same.
I agree. That is what needs to be done.
Hemingway still paid through the nose. In his last weeks he was having delusions(?) about the Feds coming to get him.
The point is that the COUNTRY had the best economy in history, the 50’s being known by historians and economists as the golden age, the Middle Class was BORN, and even at 92% TMR, the rich did FINE. The TMR was in the 90’s from 1952-1963, mainly Eisenhower. FDR’s previous TMR was 94% at one time.
Those are easily verified facts which you should research to satisfy yourself.
Oh - and since BC/BS (employer supplied) was a NONPROFIT, it paid 100% of all claims from dollar one - there was no such thing as a copay.
Old timer here - born in 1945. When I was a kid our 4-family house was worth $10K (suburban eastern MA) my father made about $20K as a state highway tree surgeon (and he retired with a good pension & HC,) family of 4 groceries for the week (a station wagon full of bags) was about $25, a loaf of bread was (I think) 15-25cents, and I think a new car cost between $1-2K. Gas was 25 cents a gallon. Sorry, it’s not easy to remember that far back, but that’s pretty accurate for age around 10-12 (1955 or so.)
And the cars were nice looking, all steel, easy to work on, and lasted a lifetime.
BTW-our house and all the neighbors’ houses were huge. And we wanted for nothing. All bills were paid on time, and no loans were taken out.
here’s what I found.
Hauser’s”law” is as preposterous a misrepresentation as the infamous “Laffer Curve.” Conservatives have been trying to prove the “trickle down” and (tax cuts and subsidies will “stimulate”)”job creators” myths for far too long now, and in the face of logic and historic fact to the contrary in both cases.
Economists have been “laffing” at both pseudoeconomic theories since the Right Wing “Think Tanks” and conservative administration advisors *coughpropagandamills* released them in Right Wing publications like Murdoch’s wsj.
“...this is beyond awful. It confuses what may be a desire of the American people not to be taxed beyond 19.5% of GDP, under a variety of tax systems, with an unfounded claim that the American people could not be taxed at a higher rate (on GDP) than 19.5%.
Specifically, it ignores the base-broadening that has accompanied much of the reduction in the top marginal tax rate. It ignores the increasing contribution to revenues played by the payroll tax, which has nothing to do with the top marginal tax rate. It is not robust against the standard Laffer curve critique—it will eventually not hold up for a sufficiently low top marginal tax rate. And the list could be extended. These shortcomings are obvious to anyone who takes just a moment to consider the claim, and yet the Wall Street Journal publishes it. They have no one to blame but themselves for the low regard in which they are being held. “
I believe if you KEEP soaking the rich, eventually they will run out of ways to cheat the tax laws - or even better, JUST LEAVE ALTOGETHER and make room for businessmen who are honest and responsible. In fact, given the mess they’ve made of the American quality of life, we need to claw back as much as humanly possible by OUTLAWING and POLICING those tax havens. This GROSS inequality will eventually cause the noted behavior in other Banana Republics - violent revolt and lawless chaos.
Top 10% 55.0%
Top 5% 44.3%
Top 1% 28.1%
You have just identified why we now are an Oligarchy.
“Progressive” taxation...illustrated here...by you...is the ONLY means by which the very rich-who can buy anything they want otherwise-can buy a government. And We the People have sold it to them...and then wonder what happened to the Constitution.
It’s the Golden Rule. (He who has the gold.....)
It’s true no matter the economic system you’re living under. Only the medium of exchange differs.
A liberal co worker hit me up with this crap yesterday.
the answer which requires some thought to understand; the 91% rate came with mountains of deductions for cars, bar tabs, etc that made it a hollow joke that no on actually paid.
The “bumper sticker” answer - I’m fine with taking income tax rates back to 1950’s levels if the spending (especially on entitlements) is also adjusted back to 1950’s levels.
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