The Reason For This Country's Existence Has Been Forgotten

What Paul Ryan AND His Opponents Have Forgotten
(and what we should remember to solve the problem that 51% of this country can't live on what it makes without going deeply into debt)

Paul Ryan and his seven ideas for economic improvement as detailed and refuted by Robert Reich (click here) forgets, or ignores, two major factors:

1. ​Why the United States came to be The United States.
2. Supply side economics no longer works; it no longer services both the wealthy and the worker.

It is reasonable to state that Paul Ryan's ideas represent what is the current Republican agenda.  Nothing in recent years reflects any Republican agenda of Lincoln or even Ronald Reagan. 

Why The United States Came To Be.

Most people reading this don't need to be bored with fifth grade level history so let's just summarize by stating: 

The US came to be via a revolution against a tyrannical oligarchy that oppressed it's people economically and parasitically​.   

At that time the oligarchy was King George and The Bank of England. which garnered all wealth for them at the cost of the people   This country was not formed just to change to a different oligarchy.

Ryan's Opponents Have Forgotten How the US Was Formed

This is clear by the way those who want to balance the distribution of money in this country allow themselves to fall into  the Republican formed argument based  increasing incentive and reducing costs to induce economic growth.  This is reduced to an argument about who should be taxed and how much and who who should be deserving of government subsidies.  The problem is that this is an untenable argument and opponents let themselves fall into this argument thinking that somewhere in that argument lies the real solution to creating an equitable solution to an economy that favors a small percentage of people, just like in the late 1700s.  

What Ryan's opponents forget is that at one time (huge caveat) capitalism actually worked for the small guy, the people.  Realizing this more than likely is the key to solving the problem of such disparate wealth in this country, not tearing it down.  Time for a different argument

Fixing Supply Side Economics

At one time this was a country of farmers and small businesses.  Supply side economics helped those people grow.  It worked like this the government created incentives like tax reduction or subsidies to farmers to expand their business allowing them to create jobs and product.  Increased product meant increased spending, increased jobs.   However that was before large corporations, and Wall Street and exorbitant profits  (We all know this) 

The Fix (A New Paradigm)

Instead of ambiguous taxation that are targeted to get to what most people want:  redistribution of wealth, not through handouts, but through jobs that pay equitably.  So need targeted tax incentives that give us that​.  To understand this will require knowing the difference between corporations 

Taxes based on job growth and payroll

Let corporations make their home wherever they want, but  they are taxed at the same level as small domestic businesses, or even sole proprietors with no exceptions and deductions are based on the following:

• They get tax relief based not only on how many jobs they create domestically, but on the cost of their payroll.  The more they pay their employees, the larger their deduction
• For any company that chooses to keep their operational staff outside the country, they still get taxed on the amount of revenue they generate in the form of tariffs.  Taxes are levied based on where one exacts one's revenue.
• Tariffs are levied on foreign made products. A company can't just suck revenue out of the US without paying something for US infrastructure.
• Deductions for as much as companies provide benefits.  

The way "the rich", those with high enough income that we feel then need to exact more money from them should be taxed in a way that reinforces their generation of revenue domestically vs foreign.  Most of these rich derive their money through Wall St.

• A higher tax for dividends from investing  in companies that derive their dividends though foreign means
• Reduced taxes breaks for dividends received by investing domestic ventures that create jobs here in the US

The rich shouldn't be taxed just because they are rich, but in a way that entices them to invest in US jobs.  This leads to a discussion for another day about regulation of Wall Street which still allows investors to take risks with other people's money.

Call This Government Meddling If You Will

It is.  However, the lions of business really don't care that this is a country formed of people. The intent of the American Revolution was to create a country with even wealth distribution and it did so in a way that trusted businessmen.  However, we have seen times when the government has been called upon to keep the lions of business trustworthy. (e.g. Glass Steagall) 

Keywords: supply side, Wall Street, Republicans, economics, taxation, the rich, the poor, wealth distribution, foreign revenue, jobs, cash flow, supply and demand, Paul Ryan, Robert Reich, investments, dividends, revenue