Our tax system explained, using barstool economics
Suppose that every day, ten men go out for beer and the bill for all ten comes to $100. If they paid their bill the way we pay our taxes, it would go something like this:
The first four men (the poorest) would pay nothing.
The fifth would pay $1.
The sixth would pay $3.
The seventh would pay $7.
The eighth would pay $12.
The ninth would pay $18.
The tenth man (the richest) would pay $59.
So, that's what they decided to do.
The ten men drank in the bar every day and seemed quite happy with the arrangement, until one day, the owner threw them a curve. "Since you are all such good customers," he said, "I'm going to reduce the cost of your daily beer by $20." Drinks for the ten now cost just $80.
The group still wanted to pay their bill the way we pay our taxes so the first four men were unaffected. They would still drink for free.
But what about the other six men - the paying customers? How could they divide the $20 windfall so that everyone would get his 'fair share?'
They realized that $20 divided by six is $3.33. But if they subtracted that from everybody's share, then the fifth man and the sixth man would each end up being paid to drink his beer. So, the bar owner suggested that it would be fair to reduce each man's bill by roughly the same amount, and he proceeded to work out the amounts each should pay.
And so:
The fifth man, like the first four, now paid nothing (100% savings).
The sixth now paid $2 instead of $3 (33%savings).
The seventh now pay $5 instead of $7 (28%savings).
The eighth now paid $9 instead of $12 (25% savings).
The ninth now paid $14 instead of $18 (22% savings).
The tenth now paid $49 instead of $59 (16% savings).
Each of the six was better off than before. And the first four continued to drink for free. But once outside the restaurant, the men began to compare their savings.
"I only got a dollar out of the $20,"declared the sixth man. He pointed to the tenth man," but he got $10!"
"Yeah, that's right," exclaimed the fifth man. "I only saved a dollar, too. It's unfair that he got ten times more than I got"
“That's true!!" shouted the seventh man. "Why should he get $10 back when I got only two? The wealthy get all the breaks!"
"Wait a minute," yelled the first four men in unison. "We didn't get anything at all. The system exploits the poor!"
The nine men surrounded the tenth and beat him up.
The next night the tenth man didn't show up for drinks so the nine sat down and had beers without him. But when it came time to pay the bill, they discovered something important. They didn't have enough money between all of them for even half of the bill!
And that, ladies and gentlemen, journalists and college professors, is how our tax system works. The people who pay the highest taxes get the most benefit from a tax reduction. Tax them too much, attack them for being wealthy, and they just may not show up anymore. In fact, they might start drinking overseas where the atmosphere is somewhat friendlier.
For those who understand, no explanation is needed.
For those who do not understand, no explanation is possible.
Comments
"For those who do not ...
"For those who do not understand, no explanation is possible"......and if you were smart you would abandon the demo party.
<p>I understand alright. I ...
I understand alright. I understand that whoever wrote that, AND whoever believes in it, have been doing waaaaay too much drinking.
There are more false premises and outright lies in there than I've heard since the last time I listened to that druggie and utmost hypocritical ultra right wing nutjob Rush Limbaugh. In fact, I'll be willing to bet he or one of his druggie buddies authored it.
First rule when you find yourself snowed under by debt that's higher than your generation, your childrens' generation and THEIR generation could possibly EVER pay back - kick the republican borrow-and-spend-Spend-SPENDERS off of the planet!!!!!!!!!! THEN, ladies and gentleman, we can be fiscally responsible once again, paying as we go - like the men in the bar - Instead of BORROWING like republicans do, on the BACK of our children and our Grand Children!.
Then, when we get rid of the republicans with their most UNconservative borrowing and spending like there is NO END IN SIGHT, we will begin to see the light at the end of the tunnel but NOT until then.
WE MUST CUT THEIR FUCKING CREDIT CARDS UP. ALL OF THEM, EVERY LAST REPUBLICAN WITH THEIR GROSS GROSS GROSSLY IRRESPONSIBLE BORROWING, CUT THEIR FUCKING CREDIT CARD UP YESTSERDAY!!!
Any credit repair outfit will tell you that is step 1 Step 1 and STEP ONE!
In fact, the ENTIRE WORLD agrees!!!!! They're fed up with the U.S. borrowing and them bailing us out. The moment they lose all confidence and call in their loans, WE ARE DOOMED! That my friends, is what the republicans in just a few short years have managed to do. They have us at the mercy of COMPLETE ECONOMIC COLLAPSE, the rest of the world has us by the BALLS because the republicans' EXTREME EXTREME BORROWING and SPENNNNNDING has put our balls there.
Until you cut up the credit cards, stop the MANIACAL spending the republicans have been doing to us, there is no proceeding, NO progress in terms of credit repair, only further devastation.
Stay with the republicans ONE Single Day Longer and we end up with one YEAR MORE of our entire income IN DEBT, an ever increasing rate that is really impossible to comprehend. Every last one of them ought to be taken out and shot, then we'd stand a chance and our soldiers would be supported. They don't support our troops and they CERTAINLY don't support our future, our childrens' future. This election is going (like the congressional election) to shove their fat ugly asses out onto the curb once and for all. IF they EVER get back into office, God help us.
Don't lie. It doesn't suit ...
Don't lie. It doesn't suit you well. It is the REPUBLICANS who have been so UN-FUCKING-Conservative Borrowing like sick twisted greedy Maniacs. It is the REPUBLICANS who have brought this country's economy to it's knees.
Why even try and lie anymore? You aren't fooling anyone but the MOST uneducated. It's the voter base the rupugnants have been going for in the past few decades so it's No Wonder the party led us into the abyss. But even they, EVEN the bubbas of the south have smelled a rat and are waking up from their drunken stupor because they are Now being asked to PAY THAT BAR TAB you ran up all this time.
You think it's a joke? A ...
You think it's a joke? A laughing matter? No one in the markets of our economy or that of the rest of the world do.
That's the trouble with you republicans. You live in a world all your own inside your own moronic little heads. Wake up. Your irresponsible behavior is killing us and our kids and Their kids!
<p>im the pretty blonde ...
im the pretty blonde that sits in the corner and pays whatever they tell me to pay. :-D because im blonde, i dont give a shit who saves more money and who doesnt.
Let me get this right - A ...
Let me get this right - A pretty blonde and YOU'RE the one who's going to pay?
HELLO! Please allow me to introduce myself. I'm that guy who you might have heard of, just died and went to heaven. Anyway, enough talk. So um, like your place or mine?
tgix, because im the ...
tgix, because im the pretty blonde, i am hanging out with my girlfriends, therefore, no man is with to pay. HOWEVER, since a young lad (yourself) is interested, YOU end up paying our tab. so again, because im a pretty blonde, sitting in the corner with my ladies...we dont give a darn tootin who pays more. ;-)
shhh, walter! youre going ...
shhh, walter! youre going to ruin the plan!
tgix, *wink* have a seat. ooh, look at your arms! *wraps hand around biceps and gently squeezes* theyre soooo strong! *sips martini* what's a BIG, hansdom man like you doing in a place like this? my, my. you have some BIG hands! *sips martini* oh, darn. my martini is all gone. *at this point tgix would be too hard up to resist paying for a second martini for me*
conana just look in the ...
conana just look in the corner at the cynical guy with a people hating scowl on his face. Thats me, I'll buy you that martini if the tree raper won't. :P
<p>And - TGIX - shouldn't ...
And - TGIX - shouldn't you be on a ledge somewhere? YA know, they're doing wonderful things in mental institutions these days.
Now we're getting ...
Now we're getting somewhere. She's noticed my Big hands. Yee Haw!
Who said all blondes were dumb?
OK, so life isn't perfect but I can overlook one flaw.
A little intelligence never killed anyone after all. I mean it could be worse. At least her having a few IQ points, like in the double digits or better, means she can't be a republican.
But never mind all that political talk conanabanana02. It can get kinda dangerous up here on the barstools hon. Whadya say? Time for a little sex on the beach. I know it's winter all and all but we just had 20º above normal yesterday with all that global warming stuff so we might as well make the most of it.
ooh, tgix, you know just ...
ooh, tgix, you know just what to say to a lady. how about you get me another martini and we will discuss this beach idea a little further. who knows, the "beach" may end up being my kitchen floor...or couch...or foot of the bed...or backseat of the the car...you get the idea *wink*
<p>How did this ...
How did this pornography...oh, sorry, it's just my peever friends, lol! TGIX, I'm sorry to shatter your beliefs, but THIS proud republican has a 3-digit IQ.
YA'LL ARE NUTS!!!!
YA'LL ARE NUTS!!!!
humm, i think you all ...
humm, i think you all better cool it or take it outside because the vice squad just walked in.