Will our new governor have the guts?
By Jack E. Lohman
Wisconsin’s next administration must address the state’s business friendliness. Corporate taxes and health care will be key, but politicians stand in the way of both. Political cash drives their agenda.
Business taxes are counterproductive because they represent only 8% of revenues and are passed on to consumers and we reimburse them at the cash register. They should instead be ZERO, because even their expensive CPA and legal fees for tax minimizing are added and the consumers pay those too.
This is a stupidly wasteful administrative expense. A feel-good regressive tax the public thinks it doesn’t have to pay. A political shell game that sucks votes with negative public benefit.
And these corporate taxes make our businesses uncompetitive with other companies throughout the world that benefit from their own country’s universal health care systems, and in some cases their lower tax rates and lower labor costs. So jobs are sent to other states and other countries and our economy further tanks and our workers have no cash to buy the products they import. Good thinking.
The games we play…
This is for sure: the middle- and low-income people cannot pull this economy out of its nose dive. Only the wealthy can.
Yes, we’ll have to take back the Bush tax cuts and increase the tax rate on the wealthy. And we’ll have to re-regulate the financial industry and give the owners of companies (the shareholders) control over executive pay packages. If they want to pay them outrageously, fine, but it’s their call and not that of a hand-picked board of directors.
And we must eliminate the massive conflict of interest that results when politicians take cash bribes from special interests, and when politicians vote for industries in which they have a financial interest. We call that insider trading and Michael Milken was sent to jail for it. Politicians should be held to the same standard.
When the share of the top 1% of our population approaches 25% of all US wealth, as it did prior to the 1929 crash (see first chart), and the value of our IRAs and investments tank, I instinctively know who I am transferring my wealth to. My losses have become their gains.
This will inevitably lead to a rebellion in the US unless our politicians start representing the people rather than their campaign funders. Only public funding of campaigns will get us there.
— Don’t even think about getting our jobs back without first getting the corporate bribery out of the political system. Taxes cannot be reduced as long as politicians need private funds for their campaigns.
— What health care system is in the best interest of the nation’s people and business climate? If $46 million in cash bribes had not passed from the insurance industry to members of congress, we’d know immediately. We’d fix the system overnight.
— But that says it all, doesn’t it? Without cash bribes to our politicians they’d be voting for the best interest of the public all the time. See it described by Sen. Bernie Sanders.
— If our health care battle teaches us anything, it is that cash talks and industry bribes work and campaign reform must be our next battle.