Economic turnaround will require hard choices

Dear Editor:

Has our representative democracy moved beyond its best days? I believe so and blame an out-of-control capitalist system and a morally bankrupt two-party political structure that nurtures a complete disconnect between spending and the necessary taxes to support it. The former touts the narrative that “great high-paying jobs will be created” when business is unshackled by cutting corporate and capital gains taxes. There can be no better example of this fallacy than the tax reduction bill that was passed last year by promising a rebirth of American manufacturing.

This is where the honesty comes in. The last thing any American manufacturing business will do to generate profit is hire a worker; in fact, shareholder value increases when workers are jettisoned. That is not to say business won’t hire, but it is last on the list. Hiring in the private sector comes with a great deal of baggage such as health insurance costs, inevitable Medicare and Social Security payroll tax increases, hiring laws that force employers to consider race, gender, age and sexual preference before qualifications, workers compensation costs, the possibility of lawsuits an employer is exposed to if he picks wrong, family leave, etc. I would point out our public sector cares of none of this baggage, as they have the full faith and credit of taxpayers to fall back on.

The tax bill, to do any good, should have been targeted at businesses that actually created additional well-paying jobs instead of the giveaway it turned out to be. Our political system supports this wealth consolidation by supplementing the costs of health care, food, shelter, etc. for those with lesser means or the so-called “losers” in our free enterprise system. But instead of taxing the winners, our spineless leaders find it much easier to transfer wealth by running up the deficit. An ironclad balanced budget requirement that would force our leaders to raise taxes and cut spending is the only chance we have of breaking this death spiral we are in. Unfortunately, that would require a willingness to sacrifice by all voters or Washington stepping up and making some unpopular but necessary decisions. Yes and we might have snow left in the driveway July 15.

Richard Ginn

Bucksport and Florida

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