From: howard@netcom.com (Howard Berkey)
Newsgroups: alt.rush-limbaugh,alt.politics.clinton,alt.politics.bush
Subject: Re: Reasonable men may differ: Capital Gains Tax
Date: 16 Oct 92 20:48:12 GMT
Distribution: usa
Organization: Netcom - Online Communication Services  (408 241-9760 guest)

In article <1992Oct16.033632.24581@constellation.ecn.uoknor.edu> greg@gallifrey.ucs.uoknor.edu (Greg Trotter) writes:
>In article <1992Oct15.211003.12687@netcom.com> howard@netcom.com (Howard Berkey) writes:
>
>I see. I think you've missed the point.
>
>You look at the cut as just a break to the rich, and a loss of revenue to
>the Government. Well, that's true. But it does have the effect of stimulating
>the economy, by encouraging investment. When that happens, you have more jobs.
>When you have more jobs, you have more taxpayers. When you have more taxpayers,
>you have more money coming in.

This is the theory.  Whether or not it would work is debatable.

>
>>Other stuff not related to capitol gains:
>>If you paid $1 or more in federal income tax in 1990, you paid more than 
>>
>>RJR Nabisco
>>Time/Warner
>>Supermarkets General Holding Corporation *
>>United States Gypsum Company
>>Burlington Holdings, Inc.
>>
>>paid combined.
>>
>>*SGH corporation actually paid $13 million but recieved a refund of $36 million
>>
>>These companies aren't all that uncommon.  The federal govt. loses an estimated
>>$100 billion a year in federal income taxes to companies such as these that
>>declare an extended Net Operating Loss deduction.  They aren't that bad off,
>>however, as the last three companies alone reported operating income in 
>>excess of $102 billion.
>
>Yes, there is a problem there.
>
>By the way, how many Americans do these companies employ?

Good Question.  American corporations have opened over 1,200 factories,
employing over 400,000 people IN MEXICO since 1980, however, because of
the tax and labor advantages.

>
>>Anyone foolish enough to believe Bush when he says 'Things aren't all that
>>bad in the economy' need to do their homework.  A book I recommend is
>>"America:What Went Wrong?" by Donald Barlett and James Steele of the
>>Philadelphia Enquirer.  [source of the above. reprinted w/o permission]
>
>I don't need to do my homework; I was there. 

Really?  How does 'being there' make you an authority on something as complex
as the economy?  Do you really believe that just by 'being there' you are 
somehow exempted from having to study a subject to have valid opinions about 
it?

>						I lived through the eighties
>with open eyes and excitement, instead of moping about the fact that
>America was properous, and my party had nothing to do with it. 

Yeah, I did well in the 80's as well.  Unfortunately we'll be paying for a 
borrow-and-spend economy for a long long time.  You can buy a lot of short
term prosperity by borrowing over $3,000,000,000,000.00, but in the end 
someone has to pick up the tab.

BTW, I've never been affiliated with any political party, so it would be hard
for 'my party' to have anything 'to do with it'.

>								In fact,
>it was the prosperity of the 80s  -- and the Democrats taking it away in
>1990 -- that shapes my political views of today.
>

Were you robbed by democrats?  Or were you just blaming someone for the fact
that it's time to pay for the last decade?  I have no special love for 
democratic politicians, but they are just part of a bigger problem.

>
>I'll stick with the proven winner, thank you.
>

Who, Michael Milken?  The Keating five?  The fact that 29 of the 30 biggest 
bankruptcies in history occurred in the 80's?  The fact that due to 
deregulation, only 10 of the top 30 trucking companies in 1980 are still in
operation?  That during the 1980's, tax revenue from individuals increased 
1041%, while tax revenue from corporations increased only 264%?  That the
number of manufacturing jobs decreaced while the number of Federal Govt.
jobs increaced under a republican administration?  What makes the economic
policies of the '80s a 'proven winner'?

>
>						- greg

-Howard
-- 
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Howard Berkey						howard@netcom.com
Do what keeps thou from wilting shall be the loophole in the law.
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