The stimulus bill includes a tax break for the 1%

For those topics that don't have a place in any of the other forums.

Moderator: Aitrus

User avatar
Aitrus
Moderator
Posts: 2405
Joined: Mon Aug 06, 2012 5:03 pm

Re: The stimulus bill includes a tax break for the 1%

Post by Aitrus »

userque wrote: Thanks, haven't watched them yet, but I'm aware that the system is abused. However, not everyone abuses the system; and I doubt that most abuse the system ... but until we have actual, statistically diverse and significant data, we can only extrapolate our personal knowledge and 'believe' that our universe represents the whole thing.

I'm glad you made it. But not everyone is in the situation you were in. Did you have to deal with hourly gun play in your neighborhood? Did you have to deal with violent rival gangs forcing recruitment. Did you have to deal with racism? To some kids, homework can't be the priority, surviving is.

Just because everyone born in this country, is born in this country; doesn't mean that they all have the same opportunities and odds for success.

Again, congratulations on your success.
Thank you for the kind words, UQ.

Yes, not everybody comes up in the same situation. However, there's no award for the Victim Olympics. Growing up in bad circumstances doesn't mean that the person gets a free pass. On the other hand, they're one of the lucky few to be born in a time / place that is among the best times to be alive as a human. They could have lived as a Jew in ancient Egypt, or as a Celt during the Roman invasions, or anytime in the last century under Communist rule or a Fascist dictatorship.

The point is, in this country circumstances don't matter. Choices are what matter. The choice to pursue the opportunity that is available to all. Yes, some have more opportunities than others, but nobody is completely without opportunity. That's the American Dream - the chance to make of yourself what you will instead of having government control your destiny. Welfare takes away the incentive to reach for that opportunity because it's easier to not try if all your basic needs are being met by somebody else.

Or as Morgan Freeman would say: https://www.youtube.com/watch?v=PiOyrPsS3Lc
Seasonal Musings 2022: viewtopic.php?f=14&t=19005
Recommended Reading: http://tspcenter.com/forums/viewtopic.php?f=14&t=13474
Support the site by purchasing a membership at TSPCalc! https://tspcalc.com

User avatar
userque
Posts: 658
Joined: Mon May 05, 2014 5:43 pm

Re: The stimulus bill includes a tax break for the 1%

Post by userque »

Aitrus wrote:Thank you for the kind words, UQ.

Yes, not everybody comes up in the same situation. However, there's no award for the Victim Olympics. Growing up in bad circumstances doesn't mean that the person gets a free pass.
You're welcome.

Never said or implied that. What I basically said was that:
Just because someone 'makes it;' they can't assume that everyone can make it, when we all aren't living in, and were not born under the same circumstances.
Aitrus wrote:On the other hand, they're one of the lucky few to be born in a time / place that is among the best times to be alive as a human. They could have lived as a Jew in ancient Egypt, or as a Celt during the Roman invasions, or anytime in the last century under Communist rule or a Fascist dictatorship.
Yes, there are worse situations. But just because there are worse situations, doesn't mean everyone should be able to 'make it,' because you made it. Again, everyone's situation is different. That doesn't change because worse situations exist somewhere else in the world.

Everyone is not lucky. Maybe in your neighborhood, it's a lucky time. But again, your neighborhood doesn't represent crime-ridden, gang infested, neighborhoods, I'm sure.
Aitrus wrote:The point is, in this country circumstances don't matter.
Completely false.
Aitrus wrote:Choices are what matter.
They are not mutually exclusive. They both matter.
Aitrus wrote:The choice to pursue the opportunity that is available to all. Yes, some have more opportunities than others, but nobody is completely without opportunity.
I can't conclude that no one is without opportunity. But that was never my point. My point was just because you 'made it;' doesn't mean that everyone can 'make it,' as you said. Everyone was not born into your situation, however imperfect you believe it to have been. Others were born into much worse situations than yours, I'm sure.
Aitrus wrote:That's the American Dream - the chance to make of yourself what you will instead of having government control your destiny.
Again, the American Dream is not equally available to all born in this country, for the reasons I've previously stated in this and prior posts.
Aitrus wrote:Welfare takes away the incentive to reach for that opportunity because it's easier to not try if all your basic needs are being met by somebody else. ...
Welfare, as it is currently set up, does that. Who set it up that way? Who hasn't fixed it yet, in all these years? Are you saying it should be completely scrapped? Or should it be fixed so that it doesn't do that?
"In the land of idiots, the moron is King."

harryface
Posts: 42
Joined: Thu Apr 12, 2012 11:38 am

Re: The stimulus bill includes a tax break for the 1%

Post by harryface »

I am with Aitrus and others on this one!
The top 1% pay the majority of taxes (in actual dollars) because their tax bracket is the highest.

I too grew up poor, on welfare for housing assistance as well has food stamps. I joined the Marin Corps to better myself and started my federal career as a GS-4 security guard and am now a GS-13 after 15 years of service. I am nothing special, don't have a degree, I was just willing to move where the jobs were, work hard and better myself so I could take the next grade.

Quit winning about how someone else has it better than you and just take responsibility and make more money if that is what you want out of life. I'll bet you wouldn't want the stress and headache of being a real estate investor, you just want the money. Or more importantly you want play the victim while you take the money from the 1% so you don't have to work as hard.

User avatar
userque
Posts: 658
Joined: Mon May 05, 2014 5:43 pm

Re: The stimulus bill includes a tax break for the 1%

Post by userque »

harryface wrote:...Quit winning about how someone else has it better than you and just take responsibility and make more money if that is what you want out of life. I'll bet you wouldn't want the stress and headache of being a real estate investor, you just want the money. Or more importantly you want play the victim while you take the money from the 1% so you don't have to work as hard.
Am I correct in assuming you aren't referring to me?
Last edited by userque on Tue Mar 31, 2020 2:58 pm, edited 1 time in total.
"In the land of idiots, the moron is King."

User avatar
Aitrus
Moderator
Posts: 2405
Joined: Mon Aug 06, 2012 5:03 pm

Re: The stimulus bill includes a tax break for the 1%

Post by Aitrus »

userque wrote: Welfare, as it is currently set up, does that. Who set it up that way? Who hasn't fixed it yet, in all these years? Are you saying it should be completely scrapped? Or should it be fixed so that it doesn't do that?
Let me answer your questions in order.

Who set it up that way? It started with Woodrow Wilson and the 16th Amendment. More fully implemented by FDR under the New Deal. Expanded by LBJ in his War on Poverty. Expanded again by Clinton and Obama with Medicare / Medicaid and ACA. All democrats. There have been some Republican contributions as well, but none nearly as big as these guys' programs and policies.

Who hasn't fixed it yet? Both parties, because they have both become addicted to the votes these programs bring. Since LBJ's War on Poverty, poverty has dropped from 14.7% in 1966 to 13.5% today. A mere 1.2% drop over all that time and all the trillions of dollars thrown at the problem. Conclusion: welfare programs don't work. Source: https://www.youtube.com/watch?v=GfE_BrnP5fg

Am I saying it should be completely scrapped or fixed? I would say that 80-90% of it should be scrapped and the remaining 10-20% fixed. And it starts with jobs and the economy. How many jobs are being done by illegals / people on work visas? Those jobs should be done by Americans who would otherwise be on welfare. In order to be able to offer jobs companies have to be on solid financial ground, which means they need to stay in business. That's why tax breaks and regulation cutbacks for companies help everybody and the economy (in reference to the OP, and by extension, the entire thread). They allow the company to a) keep people on the payroll and b) expand and open up new jobs.

Taxing and unnecessarily regulating companies only hurts the working man, who then sees the "helpful hand of government" holding out welfare checks. Thus the cycle begins, and thus it continues.
Seasonal Musings 2022: viewtopic.php?f=14&t=19005
Recommended Reading: http://tspcenter.com/forums/viewtopic.php?f=14&t=13474
Support the site by purchasing a membership at TSPCalc! https://tspcalc.com

User avatar
userque
Posts: 658
Joined: Mon May 05, 2014 5:43 pm

Re: The stimulus bill includes a tax break for the 1%

Post by userque »

Aitrus wrote:Let me answer your questions in order.

Who set it up that way? It started with Woodrow Wilson and the 16th Amendment. More fully implemented by FDR under the New Deal. Expanded by LBJ in his War on Poverty. Expanded again by Clinton and Obama with Medicare / Medicaid and ACA. All democrats. There have been some Republican contributions as well, but none nearly as big as these guys' programs and policies.
I'll trust your research on this, thanks.
Aitrus wrote:Who hasn't fixed it yet? Both parties, because they have both become addicted to the votes these programs bring.
Addicted to the votes? What votes? Wouldn't Republicans get more votes by being anti-welfare? Wouldn't all welfare recipients vote Democrat? That can't be the reason why R's haven't dismantled welfare when they've had chances to do so.
Aitrus wrote:Since LBJ's War on Poverty, poverty has dropped from 14.7% in 1966 to 13.5% today. A mere 1.2% drop over all that time and all the trillions of dollars thrown at the problem. Conclusion: welfare programs don't work.
You really have to be careful with statistics. The question is: What would the percentage be today, without welfare? While the drop is small, how do we know it wouldn't be a huge increase without welfare programs?
Aitrus wrote:Am I saying it should be completely scrapped or fixed? I would say that 80-90% of it should be scrapped and the remaining 10-20% fixed. And it starts with jobs and the economy. How many jobs are being done by illegals / people on work visas? Those jobs should be done by Americans who would otherwise be on welfare. In order to be able to offer jobs companies have to be on solid financial ground, which means they need to stay in business. That's why tax breaks and regulation cutbacks for companies help everybody and the economy (in reference to the OP, and by extension, the entire thread). They allow the company to a) keep people on the payroll and b) expand and open up new jobs.
Ok, we agree that it should be fixed.
Aitrus wrote:Taxing and unnecessarily regulating companies only hurts the working man, who then sees the "helpful hand of government" holding out welfare checks. Thus the cycle begins, and thus it continues.
I'm interested in this "unnecessary regulation" allegation. It has been my observations that regulations are born out of necessity; out of the improper in/actions of a company. Please give examples of unnecessary regulations.
"In the land of idiots, the moron is King."

User avatar
mjedlin66
Site Admin
Posts: 1586
Joined: Wed Oct 02, 2013 7:51 pm

Re: The stimulus bill includes a tax break for the 1%

Post by mjedlin66 »

Aitrus wrote:How many jobs are being done by illegals / people on work visas? Those jobs should be done by Americans who would otherwise be on welfare.
If you really believe in the free market, then you would know that the demand-side of the job market would grow to meet the available labor pool. IE, foreign workers filling jobs has nothing to do with it, because there is no such thing as a limited number of jobs.
Owner/creator of TSPcalc.com - "Know your numbers"

User avatar
Aitrus
Moderator
Posts: 2405
Joined: Mon Aug 06, 2012 5:03 pm

Re: The stimulus bill includes a tax break for the 1%

Post by Aitrus »

userque wrote: Addicted to the votes? What votes? Wouldn't Republicans get more votes by being anti-welfare? Wouldn't all welfare recipients vote Democrat? That can't be the reason why R's haven't dismantled welfare when they've had chances to do so.
Both Ron Paul and Rand Paul are two Republicans I can think of off top of my head. At Trump's direction, some agencies actually got rid of a lot of regulations (not enough by far, but it's a start). However, a lot of other Republicans are addicted to the Social Security / Medicaid vote - they won't even attempt to fix the system because it would be unpopular with their constituents, even though it would be in the best interest of the nation's solvency.
You really have to be careful with statistics. The question is: What would the percentage be today, without welfare? While the drop is small, how do we know it wouldn't be a huge increase without welfare programs?
Not sure I understand your logic here. Are you saying "Thank goodness we have welfare because without it a whole lot more people would need it"? Just like the "War on Drugs" didn't make drug use go away, the "War on Poverty" didn't make it go away. Since it didn't work, why not try something else instead of throwing more money at a program that has proven to not work?
I'm interested in this "unnecessary regulation" allegation. It has been my observations that regulations are born out of necessity; out of the improper in/actions of a company. Please give examples of unnecessary regulations.
In my experience, regulation has been mostly about two things: control and job security. Here's a graph of how many more regulations there are today than in 1950:
https://regulatorystudies.columbian.gwu ... 0CFR_0.png

And here's how much the cost of overseeing those regulations has increased over roughly the same time period:
https://regulatorystudies.columbian.gwu ... ed_0_0.JPG

Source for both above images: https://regulatorystudies.columbian.gwu.edu/reg-stats

Finally, here's some of the real-world consequences that all of those regulations have on businesses, inventors, and private individuals:
Example 1: https://www.youtube.com/watch?v=IKVU7yXv75g
Example 2: https://www.youtube.com/watch?v=J9NzkWNB2Vw
Seasonal Musings 2022: viewtopic.php?f=14&t=19005
Recommended Reading: http://tspcenter.com/forums/viewtopic.php?f=14&t=13474
Support the site by purchasing a membership at TSPCalc! https://tspcalc.com

User avatar
userque
Posts: 658
Joined: Mon May 05, 2014 5:43 pm

Re: The stimulus bill includes a tax break for the 1%

Post by userque »

userque wrote:You really have to be careful with statistics. The question is: What would the percentage be today, without welfare? While the drop is small, how do we know it wouldn't be a huge increase without welfare programs?
Aitrus wrote:Not sure I understand your logic here. Are you saying "Thank goodness we have welfare because without it a whole lot more people would need it"?
Nowhere have I expressed an opinion for or against welfare, so now your question becomes, am I saying, "T̶h̶a̶n̶k̶ ̶g̶o̶o̶d̶n̶e̶s̶s̶ ̶w̶e̶ ̶h̶a̶v̶e̶ ̶w̶e̶l̶f̶a̶r̶e̶ ̶b̶e̶c̶a̶u̶s̶e̶ without it a whole lot more people would need it."

What I said was that we don't know what the situation would have been without it. We can't assume that it has had little impact without some way to actually and properly model the scenario. That's a huge math problem involving many many factors.

Let me put it in a more spin-proof way: Show the evidence that backs your claim.
Aitrus wrote:Just like the "War on Drugs" didn't make drug use go away, the "War on Poverty" didn't make it go away. Since it didn't work, why not try something else instead of throwing more money at a program that has proven to not work?
I thought we moved past this part of the debate when we both agreed that it needs fixing?
userque wrote:I'm interested in this "unnecessary regulation" allegation. It has been my observations that regulations are born out of necessity; out of the improper in/actions of a company. Please give examples of unnecessary regulations.
Aitrus wrote:In my experience, regulation has been mostly about two things: control and job security. Here's a graph of how many more regulations there are today than in 1950:
https://regulatorystudies.columbian.gwu ... 0CFR_0.png

And here's how much the cost of overseeing those regulations has increased over roughly the same time period:
https://regulatorystudies.columbian.gwu ... ed_0_0.JPG

Source for both above images: https://regulatorystudies.columbian.gwu.edu/reg-stats

Finally, here's some of the real-world consequences that all of those regulations have on businesses, inventors, and private individuals:
Example 1: https://www.youtube.com/watch?v=IKVU7yXv75g
Example 2: https://www.youtube.com/watch?v=J9NzkWNB2Vw
Yeah, stuff costs money. Federal highways, employees, lots of stuff.
Same for businesses. Business expenses.

People are subject to laws. I'd love to speed at will, but those stupid laws stop me. Plus, my taxes go towards, the enforcement of all those stupid laws. (Since I can't trust that all readers will 'get' that I'm being sarcastic here; I'm being sarcastic here.)

People are subject to laws: Businesses are subject to laws.
The administration of government ... costs money.
The cost of everything typically goes up over time.

Thanks for all those links, but my request was:
userque wrote:I'm interested in this "unnecessary regulation" allegation. It has been my observations that regulations are born out of necessity; out of the improper in/actions of a company. Please give examples of unnecessary regulations.
"In the land of idiots, the moron is King."

User avatar
Aitrus
Moderator
Posts: 2405
Joined: Mon Aug 06, 2012 5:03 pm

Re: The stimulus bill includes a tax break for the 1%

Post by Aitrus »

userque wrote: Nowhere have I expressed an opinion for or against welfare, so now your question becomes, am I saying, "T̶h̶a̶n̶k̶ ̶g̶o̶o̶d̶n̶e̶s̶s̶ ̶w̶e̶ ̶h̶a̶v̶e̶ ̶w̶e̶l̶f̶a̶r̶e̶ ̶b̶e̶c̶a̶u̶s̶e̶ without it a whole lot more people would need it."

What I said was that we don't know what the situation would have been without it. We can't assume that it has had little impact without some way to actually and properly model the scenario. That's a huge math problem involving many many factors.

Let me put it in a more spin-proof way: Show the evidence that backs your claim.
I did it's in the video I linked to. The rate of poor has dropped 1.2% since LBJ's time. However, here are some additional facts:
"However, if poverty and welfare policies are judged by their effectiveness in providing for the minimal needs of the poor while dramatically reducing poverty in a society over time, then America before 1965 could be said to have had the most successful welfare policy in world history. By the same benchmark, post-1965 poverty programs have failed.

Two centuries ago, most Americans—at least 90 percent—were desperately poor by today’s standards. Most houses were small, ill-constructed, and poorly heated and insulated. Based on federal family income estimates, 59 percent of Americans lived in poverty as late as 1929, before the Great Depression.[28] In 1947, the government reported that 32 percent of Americans were poor.[29] By 1969, that figure had declined to 12 percent, where it remained for 10 years.[30] Since then, the percentage of poor Americans has fluctuated but has remained near the same level. As of 2013, the poverty rate was 14.5 percent.

In other words, before the huge growth in government spending on poverty programs, poverty was declining rapidly in America. After the new programs were fully implemented, the poverty rate stopped declining."
Source: https://www.heritage.org/poverty-and-in ... n-founding

Now how about turning the question the other way around. Do you have proof that if we didn't have welfare that there would have been an increase in the % of poor in the population? What about increasing the amount of money we put into welfare programs - do you have proof that those programs will reduce the number of poor?
I thought we moved past this part of the debate when we both agreed that it needs fixing?
You're right, we have.
userque wrote:
Yeah, stuff costs money. Federal highways, employees, lots of stuff.
Same for businesses. Business expenses.

People are subject to laws. I'd love to speed at will, but those stupid laws stop me. Plus, my taxes go towards, the enforcement of all those stupid laws. (Since I can't trust that all readers will 'get' that I'm being sarcastic here; I'm being sarcastic here.)

People are subject to laws: Businesses are subject to laws.
The administration of government ... costs money.
The cost of everything typically goes up over time.

Thanks for all those links, but my request was:
userque wrote:I'm interested in this "unnecessary regulation" allegation. It has been my observations that regulations are born out of necessity; out of the improper in/actions of a company. Please give examples of unnecessary regulations.
So the question is not whether or not people / businesses should be subject to laws (side note: laws are not the same as regulations. Laws are created by elected representatives, regulations are not. However, both hold the force of law and jail time if broken). However, even the Founders argued that there should be as few laws as practical in order to run the country peaceably and efficiently.

I referred you to the sheer number of increasing regulations (and the associated cost of ensuring compliance with them). However, you're asking for some specifics. Since listing them all would take a law degree, a business license, and way more space than I have here, I'll list just a few.

- Government mandated certifications / licences. I don't have a problem with voluntary certifications - it's a strategy that can be used to attract business if one is "certified" in one's trade. When certification is voluntary, only the professionals are certified, and can therefore charge a premium. However, requiring radio DJs, hairdressers, plumbers, handymen, etc. I understand the need for certain professions - medical, for example - to have a certification process. But to extend that model to ever wider circles of the economy only hampers business and needlessly raises costs. Why do Private Investigators need a license? How about bloggers? Do monks need a funeral director's license? A license to sell raw milk? A license to sell pumpkins and Christmas trees? A license to be an interior decorator?
Source: https://www.businessinsider.com/ridicul ... 10-11?op=1

- Here's a very specific one: Housing_and_Community_Development_Act_of_1992/Title_XIII/Subtitle_A/Part_2/Subpart_B#Subpart_B. The way this regulation functions is that it forces Fannie and Freddie (Government Sponsored Entities) to conduct at least half of their transactions be for "special affordable housing" loans, and that of this style of loan over 90% must be to low-income or very low-income individuals. This means that original lenders are allowed to make subprime loans to poor people as "special affordable housing" style purchases, then sell those loans to Fannie / Freddie. Fannie / Freddie will buy them in order to make their 50% goals, and the original lender is released from any obligation if those mortgages fail, with the US Taxpayer via the government-backed Fannie/Freddie taking on the risk. to Source: https://en.wikisource.org/wiki/Housing_ ... #Subpart_B

- Current tax law is so convoluted and cumbersome that most businesses use an external payroll company to handle the paperwork. This is an unnecessary burden on businesses.

- The ACA added a ton of new data collection and reporting requirements for businesses. For example, businesses with 50 or more employees must file 1095-C forms with the IRS for every worker showing that they have health insurance coverage meeting the ACA's minimum essential coverage requirements. Not sure if this has been remedied with the recent changes of ACA in Congress over the last few years, but I doubt it.

- Reporting pay data by gender and race, per EEOC mandates for any business over 100 workers. This imposes an unnecessary paperwork burden, and the data can be misleading (pay disparities due to legitimate factors being mixed in with non-legitimate ones). EEOC has said that it will use the data to target employers who appear to be engaged in wage discrimination.

- EPA's expansion of the Clean Water Act, in which the EPA gave itself control over any body of water. This strips away the rights of private land owners / business owners. Under the Clean Water Rule, property owners would have to spend thousands of dollars to obtain federal permits before doing simple things like landscaping or dredging if the land - or any land near it - collects any water for any "significant" period of time throughout the year.

- Fiduciary rules for investment advisors. Advisors that offer SEP and simple IRA plans to small businesses have to meet increased compliance costs and legal liabilities, which would force them out of business if they are small enough - leaving only the big dogs in the game to be the only advisors.

- EPA limits on carbon emissions by power plants and / or requiring the use of green energy sources that have been proven unreliable / insufficient to meet the needs of the populace increases the cost of energy significantly on businesses and everyday consumers.
(source for previous 6 items: https://www.bizjournals.com/bizjournals ... s-the.html)

- Most OSHA citations aren't for unsafe workplaces, but for paperwork oversights. OSHA requires mountains of paperwork to document compliance, then fines businesses for not doing the documentation (and not for unsafe work environments).

Other examples of OSHA regulation oddities:
- Plastic gas cans can be used on manufacturing work sites, but not construction sites, even if they have been approved by fire marshals.
- OSHA only allows for radiation signs with purple letters on a yellow background, while the DOT calls for black on yellow.
- OSHA requires that worksite first aid kits be approved by a physician.
These were all from 1996 - and while some may have changed since then, imagine how much more OSHA silliness has been created since then.
(source: https://fee.org/articles/warning-osha-c ... ur-health/)

- Here's a list of things that the NFIB (National Federation of Independent Business) opposes: https://www.nfib.com/content/issues/lab ... ess-58652/

- Here's a first-hand experience with specifically identified excessive, unnecessary regulations. https://www.youtube.com/watch?v=JFsAkxzTFEs

- I oppose seat belt and helmet laws. Do they save lives? Yes, unarguably so. However, government takes away personal choice and freedom by mandating it. I should be able to ride my motorcycle without a helmet or drive my vehicle without a seat belt if I want to. Plus, it doesn't make sense. Why require seat belts in cars but not on buses?

This is just a snapshot overview of some of the things that I think are silly, increase costs on businesses and individuals, and/or removes personal freedoms or property rights. While we can debate the pros / cons of individual laws or regulations, my overall argument is that there are entirely too many of them, that in most cases they serve more to increase costs more than to do something meaningful, and that unelected people shouldn't be creating them willy-nilly.
Seasonal Musings 2022: viewtopic.php?f=14&t=19005
Recommended Reading: http://tspcenter.com/forums/viewtopic.php?f=14&t=13474
Support the site by purchasing a membership at TSPCalc! https://tspcalc.com

User avatar
Aitrus
Moderator
Posts: 2405
Joined: Mon Aug 06, 2012 5:03 pm

Re: The stimulus bill includes a tax break for the 1%

Post by Aitrus »

userque wrote: Yeah, stuff costs money. Federal highways, employees, lots of stuff.
Same for businesses. Business expenses.

People are subject to laws. I'd love to speed at will, but those stupid laws stop me. Plus, my taxes go towards, the enforcement of all those stupid laws. (Since I can't trust that all readers will 'get' that I'm being sarcastic here; I'm being sarcastic here.)

People are subject to laws: Businesses are subject to laws.
The administration of government ... costs money.
The cost of everything typically goes up over time.

Thanks for all those links, but my request was:
userque wrote:I'm interested in this "unnecessary regulation" allegation. It has been my observations that regulations are born out of necessity; out of the improper in/actions of a company. Please give examples of unnecessary regulations.
What about you? Do you think that there are any unnecessary regulations? Or do you think that all regulations are necessary?
Seasonal Musings 2022: viewtopic.php?f=14&t=19005
Recommended Reading: http://tspcenter.com/forums/viewtopic.php?f=14&t=13474
Support the site by purchasing a membership at TSPCalc! https://tspcalc.com

User avatar
userque
Posts: 658
Joined: Mon May 05, 2014 5:43 pm

Re: The stimulus bill includes a tax break for the 1%

Post by userque »

Aitrus wrote:I did it's in the video I linked to. The rate of poor has dropped 1.2% since LBJ's time. However, here are some additional facts:
"However, if poverty and welfare policies are judged by their effectiveness in providing for the minimal needs of the poor while dramatically reducing poverty in a society over time, then America before 1965 could be said to have had the most successful welfare policy in world history. By the same benchmark, post-1965 poverty programs have failed.

Two centuries ago, most Americans—at least 90 percent—were desperately poor by today’s standards. Most houses were small, ill-constructed, and poorly heated and insulated. Based on federal family income estimates, 59 percent of Americans lived in poverty as late as 1929, before the Great Depression.[28] In 1947, the government reported that 32 percent of Americans were poor.[29] By 1969, that figure had declined to 12 percent, where it remained for 10 years.[30] Since then, the percentage of poor Americans has fluctuated but has remained near the same level. As of 2013, the poverty rate was 14.5 percent.

In other words, before the huge growth in government spending on poverty programs, poverty was declining rapidly in America. After the new programs were fully implemented, the poverty rate stopped declining."
Source: https://www.heritage.org/poverty-and-in ... n-founding
Ok, I'll look into this further.
Aitrus wrote:Now how about turning the question the other way around. Do you have proof that if we didn't have welfare that there would have been an increase in the % of poor in the population? What about increasing the amount of money we put into welfare programs - do you have proof that those programs will reduce the number of poor?
Well, let's not forget, I never made an assertion, either way; you did. I questioned your ability to say how things would be if we didn't have welfare for all those years. (In order to suggest how much, or not, it has helped.)

So in effect, my assertion could be that we can't know how the present would be had things been different in the past. My proof would be: we can't time travel, and do it differently in the past, then compare the two, a.k.a. the defense of impossibility.
userque wrote:Yeah, stuff costs money. Federal highways, employees, lots of stuff.
Same for businesses. Business expenses.

People are subject to laws. I'd love to speed at will, but those stupid laws stop me. Plus, my taxes go towards, the enforcement of all those stupid laws. (Since I can't trust that all readers will 'get' that I'm being sarcastic here; I'm being sarcastic here.)

People are subject to laws: Businesses are subject to laws.
The administration of government ... costs money.
The cost of everything typically goes up over time.

Thanks for all those links, but my request was:
userque wrote:I'm interested in this "unnecessary regulation" allegation. It has been my observations that regulations are born out of necessity; out of the improper in/actions of a company. Please give examples of unnecessary regulations.
Aitrus wrote:So the question is not whether or not people / businesses should be subject to laws (side note: laws are not the same as regulations. Laws are created by elected representatives, regulations are not. However, both hold the force of law and jail time if broken). However, even the Founders argued that there should be as few laws as practical in order to run the country peaceably and efficiently.
Yes, I know they are different. There are also codes, municipal codes. I lumped them together. Maybe I should have been more technically proper.
Aitrus wrote:I referred you to the sheer number of increasing regulations (and the associated cost of ensuring compliance with them). However, you're asking for some specifics. Since listing them all would take a law degree, a business license, and way more space than I have here, I'll list just a few.
Yes, you pointed to the sheer numbers and said "SEE!! THERE'S YOUR PROBLEM!! LOOK AT ALL THOSE REGULATIONS!!!"

My response was basically that having many laws is not, in and of itself, a problem. We have a lot of laws, regulations, and codes on the books for people and businesses. If they are necessary, then they are necessary.

So you stated that there are unnecessary regulations on the books. I asked for some examples. You responded that there are a lot of regulations.
Aitrus wrote:- Government mandated certifications / licences. I don't have a problem with voluntary certifications - it's a strategy that can be used to attract business if one is "certified" in one's trade. When certification is voluntary, only the professionals are certified, and can therefore charge a premium. However, requiring radio DJs, hairdressers, plumbers, handymen, etc. I understand the need for certain professions - medical, for example - to have a certification process. But to extend that model to ever wider circles of the economy only hampers business and needlessly raises costs. Why do Private Investigators need a license? How about bloggers? Do monks need a funeral director's license? A license to sell raw milk? A license to sell pumpkins and Christmas trees? A license to be an interior decorator?
Source: https://www.businessinsider.com/ridicul ... 10-11?op=1
Really? Ok, I'm going to address each of your above examples later.
Aitrus wrote:- Here's a very specific one: Housing_and_Community_Development_Act_of_1992/Title_XIII/Subtitle_A/Part_2/Subpart_B#Subpart_B. The way this regulation functions is that it forces Fannie and Freddie (Government Sponsored Entities) to conduct at least half of their transactions be for "special affordable housing" loans, and that of this style of loan over 90% must be to low-income or very low-income individuals. This means that original lenders are allowed to make subprime loans to poor people as "special affordable housing" style purchases, then sell those loans to Fannie / Freddie. Fannie / Freddie will buy them in order to make their 50% goals, and the original lender is released from any obligation if those mortgages fail, with the US Taxpayer via the government-backed Fannie/Freddie taking on the risk. to Source: https://en.wikisource.org/wiki/Housing_ ... #Subpart_B
(Side note: Acts are laws.) You didn't say why it's unnecessary.
Aitrus wrote:- Current tax law is so convoluted and cumbersome that most businesses use an external payroll company to handle the paperwork. This is an unnecessary burden on businesses.
(Side note: Laws aren't regulations.) The tax law is necessary. Your position was to eliminate unnecessary regulations; not that convoluted laws should be revamped.
Aitrus wrote:- The ACA added a ton of new data collection and reporting requirements for businesses. For example, businesses with 50 or more employees must file 1095-C forms with the IRS for every worker showing that they have health insurance coverage meeting the ACA's minimum essential coverage requirements. Not sure if this has been remedied with the recent changes of ACA in Congress over the last few years, but I doubt it.
Again, why do you feel it is unnecessary? (Again, you are revamping.)
Aitrus wrote:- Reporting pay data by gender and race, per EEOC mandates for any business over 100 workers. This imposes an unnecessary paperwork burden, and the data can be misleading (pay disparities due to legitimate factors being mixed in with non-legitimate ones). EEOC has said that it will use the data to target employers who appear to be engaged in wage discrimination.
First of all, it's not a burden at all, unless a company has no computers.

Proper interpretation of the data is a different issue. And if it's being done incorrectly, the solution is to do it correctly.

The data is necessary for the proper operation of the agency charged to protect employees and potential employees from ... that's right ... business. If employers never discriminated, there'd be no EEOC.
Aitrus wrote:- EPA's expansion of the Clean Water Act, in which the EPA gave itself control over any body of water. This strips away the rights of private land owners / business owners. Under the Clean Water Rule, property owners would have to spend thousands of dollars to obtain federal permits before doing simple things like landscaping or dredging if the land - or any land near it - collects any water for any "significant" period of time throughout the year.
Doing something that one individual deems "simple," doesn't mean that that "simple" act won't have a detrimental effect to a national resource. Also, that individual could be an idiot.
Aitrus wrote:- Fiduciary rules for investment advisors. Advisors that offer SEP and simple IRA plans to small businesses have to meet increased compliance costs and legal liabilities, which would force them out of business if they are small enough - leaving only the big dogs in the game to be the only advisors.
Again, make an argument as to how this is not necessary. Automation caused many job losses, but automation is necessary. Netflix/Internet killed Blockbuster. The internet is necessary.

Protection of people and resources costs money. Period. No way around it. Either we let business do whatever they want, at the cost of people and resources; or we regulate, at a cost to business. Regulations started from the need. After businesses showed how corrupt they can be.
Aitrus wrote:- EPA limits on carbon emissions by power plants and / or requiring the use of green energy sources that have been proven unreliable / insufficient to meet the needs of the populace increases the cost of energy significantly on businesses and everyday consumers.
(source for previous 6 items: https://www.bizjournals.com/bizjournals ... s-the.html)
What's the alternative? Are you saying the limits are unnecessary? Why?
Aitrus wrote:- Most OSHA citations aren't for unsafe workplaces, but for paperwork oversights. OSHA requires mountains of paperwork to document compliance, then fines businesses for not doing the documentation (and not for unsafe work environments).
Again, the paperwork is necessary for OSHA.

Do you just send money to the IRS, or tell them how much they should send you? Or do you have to document things? At a cost to you?

Why?

For enforcement purposes, because you could be lying without being forced to document.
That same logic applies to many, if not all, of your examples.
Aitrus wrote:Other examples of OSHA regulation oddities:
- Plastic gas cans can be used on manufacturing work sites, but not construction sites, even if they have been approved by fire marshals.
- OSHA only allows for radiation signs with purple letters on a yellow background, while the DOT calls for black on yellow.
- OSHA requires that worksite first aid kits be approved by a physician.
These were all from 1996 - and while some may have changed since then, imagine how much more OSHA silliness has been created since then.
(source: https://fee.org/articles/warning-osha-c ... ur-health/)
I'll address these in another post.
Aitrus wrote:- Here's a list of things that the NFIB (National Federation of Independent Business) opposes: https://www.nfib.com/content/issues/lab ... ess-58652/

- Here's a first-hand experience with specifically identified excessive, unnecessary regulations. https://www.youtube.com/watch?v=JFsAkxzTFEs

- I oppose seat belt and helmet laws. Do they save lives? Yes, unarguably so. However, government takes away personal choice and freedom by mandating it. I should be able to ride my motorcycle without a helmet or drive my vehicle without a seat belt if I want to. Plus, it doesn't make sense. Why require seat belts in cars but not on buses?

This is just a snapshot overview of some of the things that I think are silly, increase costs on businesses and individuals, and/or removes personal freedoms or property rights. While we can debate the pros / cons of individual laws or regulations, my overall argument is that there are entirely too many of them, that in most cases they serve more to increase costs more than to do something meaningful, and that unelected people shouldn't be creating them willy-nilly.
I'll respond to the specifics of the above quote in a later post.

Well, I do agree that unnecessary laws/regulations/codes should be done away with. But I don't think that they should be willy-nilly done away with.

Before calling off with its head on a law etc., first understand why the law etc. was created in the first place.
"In the land of idiots, the moron is King."

User avatar
Aitrus
Moderator
Posts: 2405
Joined: Mon Aug 06, 2012 5:03 pm

Re: The stimulus bill includes a tax break for the 1%

Post by Aitrus »

userque wrote: Yes, you pointed to the sheer numbers and said "SEE!! THERE'S YOUR PROBLEM!! LOOK AT ALL THOSE REGULATIONS!!!"

My response was basically that having many laws is not, in and of itself, a problem. We have a lot of laws, regulations, and codes on the books for people and businesses. If they are necessary, then they are necessary.
Who decides that they are necessary? Faceless bureaucrats? People with an ax to grind (ex: people who are pro-green, and so join the EPA and institute pro-green regulations)? People who want to justify their paycheck (ex: OSHA people who focus ever-more scrutiny on the workplace when the majority of workplaces are plenty safe already)? Just because the law / regulation is on the books doesn't mean that it's necessary. Why am I being asked to prove a negative?

Why is the default view that if a regulation is on the books then there is a need for it? The default view should be that if there is no significant, positive, provable, tangible, meaningful, unbiased outcome or purpose for the regulation, then it shouldn't exist. And even if the regulation does meet the aforementioned things, then does that benefit outweigh the costs incurred by businesses / private individuals? If not, then it's not necessary. That's why the merits / costs / benefits of each and every law / regulation, etc should be discussed and debated on the floor of Congress, not created in an office someplace by some unaccountable government employee on a whim.

Example: You can't legislate good moral behavior, so having rules requiring businesses to prove - via reams of paperwork - that they aren't behaving in a discriminatory manner won't stop them from having discriminatory beliefs (or using inherent loopholes in the system to act in a discriminatory way). It takes an inspection looking at things besides all that paperwork to prove or disprove an EEO complaint. Since that paperwork isn't serving a meaningful purpose, it can safely be disposed of.
(Side note: Acts are laws.) You didn't say why it's unnecessary.
It's unnecessary because it provides the means of shifting the responsibility from the ones who originally approved the loan (the original lender) to those who didn't (the taxpayer via Fannie / Freddie). This is not a necessary - or morally copacetic - activity. Ergo, scrap it.
(Side note: Laws aren't regulations.) The tax law is necessary. Your position was to eliminate unnecessary regulations; not that convoluted laws should be revamped.
Here's the simple answer: flat tax. Everybody (individuals and businesses alike) pays the same equal rate on all earnings / profits, regardless of source. No tax write-offs for anybody or anything. Government takes it's cut of the GDP, and the process is complete. The regulations in this kind of process could be accomplished in 100 pages or less. That renders all the thousands of pages of tax law / regulations on the books meaningless and uneeded.
Aitrus wrote:- The ACA added a ton of new data collection and reporting requirements for businesses. For example, businesses with 50 or more employees must file 1095-C forms with the IRS for every worker showing that they have health insurance coverage meeting the ACA's minimum essential coverage requirements. Not sure if this has been remedied with the recent changes of ACA in Congress over the last few years, but I doubt it.
Again, why do you feel it is unnecessary? (Again, you are revamping.)
What problem is solved with this paperwork requirement? If none, then it's unnecessary. I argue that the ACA does not solve a legitimate problem, and thus the paperwork required to ensure compliance with it is unnecessary. It's an example of government regulation adding costs to businesses, where before the ACA this cost did not exist. The problem with just assuming that the government has the right to levy random requirements on businesses is that it costs money for businesses to meet the requirements. For businesses that are on the bubble profit-wise, the costs of meeting a regulation can be enough to put them out of business. How is that equitable?
First of all, it's not a burden at all, unless a company has no computers.

Proper interpretation of the data is a different issue. And if it's being done incorrectly, the solution is to do it correctly.

The data is necessary for the proper operation of the agency charged to protect employees and potential employees from ... that's right ... business. If employers never discriminated, there'd be no EEOC.
Any additional regulation that must be met must also cost an employer manhours. There is always a burden when meeting documentation requirements, tracking and logging requirements, etc. A computer might make it quicker and simpler than in the past, but the cost is there nonetheless.

As for the EEOC - I'll repeat: you can't legislate morally correct behavior. You can punish it, but companies shouldn't have to continually prove that they're not discriminating. The default view shouldn't be a "in lack of evidence to the contrary, businesses are discriminating" kind of position, which is what regulations of this kind take by their purpose and design. Since this makes no logical sense and adds no value, these kinds of regulations are not necessary.

Now, the EEOC doesn't really need to exist either - it has lost it's purpose. It's original purpose was to investigate claims during an era when few other public agencies or private entities existed to do so. Yes, discrimination still exists, and some of the thousands of EEOC claims filed every year do have merit. However, there are many thousands of attorneys in private practice available to pursue / prosecute those claims that have merit. There are also state and city human relations commissions whose functions are the same as the EEOC's.
Doing something that one individual deems "simple," doesn't mean that that "simple" act won't have a detrimental effect to a national resource. Also, that individual could be an idiot.
Yes, that person might be an idiot, but he still has property rights, and he can be an idiot on his land all he wants. And if a resource is on private land, then it's not a "national resource," it's a private one. Yes, we should stop somebody from digging a hole down to the water table and dumping in a bunch of chemicals down into it. But that doesn't mean that every person who wants to build a shed in his backyard needs to get a permit to do so. There's a difference between common sense and overreach. Punish the guy after he does it, but there's no need to punish the neighbor with extra fees to do something harmless on his own land. Besides, please explain how a permit prevents somebody from ignoring the permit and doing whatever he wants to do anyway?
Again, make an argument as to how this is not necessary. Automation caused many job losses, but automation is necessary. Netflix/Internet killed Blockbuster. The internet is necessary.

Protection of people and resources costs money. Period. No way around it. Either we let business do whatever they want, at the cost of people and resources; or we regulate, at a cost to business. Regulations started from the need. After businesses showed how corrupt they can be.
Automation isn't necessary in most cases - it's a business choice. And I thought that Redbox started killing Blockbuster before Netflix ever did? And I guarantee that the world would keep turning if the internet suddenly ceased to exist. Yes, it would be a hard transition, but we would end up doing fine in the long run. The internet is a convenience, a "want" - not a "need".

Some regulations do indeed start from need. But what regulations exist today that didn't exist 20 years ago, and what need drove them? How have they improved things? At a certain point, will we ever finally have all the regulations we need, and don't need to create any more? At what point would you be considered a conservative on the whole argument of regulation (meaning, at what point would you argue for less regulation)?

But at what point do the costs to business outweigh the dubious benefits of regulation? If we don't create restrictions on the government, then it will run roughshod over private individuals with reams and reams of regulatory requirements out of a need to control everything...wait a minute...isn't that what's happening? Just like our forefathers when they fought against the damn Redcoats. Hmm...how can we fix this...if only there were some kind of limit to keep government from running amok...wait, what's this thing with "Constitution" written across the top? Hmm...interesting...there's a list here in Article 1, Section 8...there's 17 things that Congress is allowed to do...maybe it means that whatever isn't on this list, then Congress isn't authorized to do it? Makes sense...hmm...I don't see anything here where it allows Congress to delegate it's law-creating powers to the Executive Branch - it even gives power specifically to Congress to create the laws, including things like item 3 - to regulate Commerce. I guess that means that Congress has the responsibility to regulate commerce and not the Executive...ooo-lookey here! This thing called the 10th Amendment says that Congress can't do anything other than what is listed in this document, and that everything else is delegated to the states or the People. And the 9th article says that just because rights retained by the People aren't specifically listed in the Constitution doesn't mean that the government can't use this fact to deny those unlisted rights to the People. Interesting! Maybe this means that property owners and business owners can't have their rights trampled upon just because the term "property rights" doesn't appear in the Constitution. This puts the whole situation in a different light...like maybe the government is limited in it's powers, that it has no power except what's listed in the document, that it's supposed to divide what power it does have in very specific ways among the Branches, and that it's supposed to work for the People in order to protect their rights instead of trampling on them. Gee, I wonder what happened...it seemed like such a good idea...

Sorry for the snarky tone...I got a little carried away there for a moment. But I think you get my drift. I feel strongly that most modern government activities - regulations, dozens of Executive branch agencies, Congress abdicating it's duty to create laws and have a balanced budget - fall outside Constitutional boundaries.
What's the alternative? Are you saying the limits are unnecessary? Why?
Why is an alternative needed? The limits aren't needed because they serve no functional purpose, and serve only to increase costs.
Again, the paperwork is necessary for OSHA.
Why? What is accomplished by completing the paperwork? What disaster is prevented that is otherwise guaranteed to occur without this mountain of paperwork? What makes the paperwork / regulations necessary?
Do you just send money to the IRS, or tell them how much they should send you? Or do you have to document things? At a cost to you?

Why?

For enforcement purposes, because you could be lying without being forced to document.
No, I could be lying on the documentation. And yet those who lie on OSHA paperwork (or get it wrong by mistake) don't have people dying by the thousands because they didn't have the proper MSDS for methyl-ethyl-death in each workcenter's safety binder. They just get fined up the wazoo as if they actually did have thousands dying from their shoddy safety practices.

Here's a crazy thought...what if there were fewer regulations? Maybe then there wouldn't be all that documentation, and all those fines for not documenting compliance with excessive, unnecessary documentations might just disappear.
That same logic applies to many, if not all, of your examples.
Yep - the logic of requiring the companies to prove a negative. To prove that they aren't breaking laws or harming their workers - even if they never had (and never would have) intent to break laws, cheat customers, or harm their employees. Government regulation is a heavy-handed approach designed to punish everybody because a few did something stupid (or somebody feared that somebody would do something stupid). It's making everybody in the country wear a diaper because some idiot in Des Moines pooped his pants, and so now everybody has to buy government-approved diapers on their own dime, keep the diaper purchase receipts to prove they were purchased, document proper disposal of soiled diapers in the approved manner (again on their own dime), and document their employee's annual diaper safety training.

I shouldn't have to prove that a government agency that operates like that is unnecessary to the functioning of a healthy economy or society, yet here we are.
Well, I do agree that unnecessary laws/regulations/codes should be done away with. But I don't think that they should be willy-nilly done away with.

Before calling off with its head on a law etc., first understand why the law etc. was created in the first place.
Sorry, wrote most of this post as I was reading your replies, so I might have been repeating myself above (or preaching to the choir a bit). Glad to know that you think there's regulations that should be done away with.

Too bad we can't do both - prove that the regulation is needed before it's implemented / published on the Federal Register, and make agencies prove that a documented is needed in order to keep it on the books. Maybe once every few years or so that should be a practice - make agencies justify each and every single reg on the CFR, and those that don't pass muster are scrapped.
Seasonal Musings 2022: viewtopic.php?f=14&t=19005
Recommended Reading: http://tspcenter.com/forums/viewtopic.php?f=14&t=13474
Support the site by purchasing a membership at TSPCalc! https://tspcalc.com

User avatar
evilanne
Posts: 2067
Joined: Thu May 14, 2015 6:52 pm

Re: The stimulus bill includes a tax break for the 1%

Post by evilanne »

SnareMV17 wrote:What a horribly trashy article. Of course you would expect this from CNN’s site. First of all, there’s a reason that depreciation exists, and it’s mainly because investment properties generally have a limited useable lifetime where they will need to be replaced. They don’t last forever without major upgrading or alterations. Depreciating the value simply allows the owner to recoup those costs over time instead of all at once. But yes, it’s one of the reasons that buying actual real property as an investment is superior to tinkering in the stock market or many other investments.

I don’t buy he 1% garbage either. These leftists sure do love to drive home that ridiculous number. Do you realize that many of the users of this site are in the 1%? It doesn’t take much to save and invest your money over a career or lifetime and end up a millionaire, either. This is truly pathetic. Hey, let’s vilify people who purchase actual physical things that are useful and provide them to people who couldn’t afford to purchase it on their own. Because that’s such a terrible, awful thing, right? The changes made will really only affect the super rich who have huge portfolios, yes. Or have huge properties with several doors. I own two properties and this wouldn’t even come close to making a lick of difference to me.

So instead of vilifying real estate investors, why not just become one? Do you really think that maxing out your TSP is the only way to have a comfortable retirement? You could be buying property and enjoying the tax benefits of owning a physical, useable thing, also. And heck, interest rates are crazy low right now.
Agree
Original link https://www.cnn.com/2020/03/28/opinions ... index.html does not provide what provision in the bill allows this. One link in the article https://edition.cnn.com/2020/03/27/inve ... index.html This article appears to be an attack on Jared Kushner. It states
The New York Times was the first to report this nuance in the stimulus bill, which can be found in a brief section on page 203 of the 880-page document.
Going to pages 202-204 in the stimulus bill, I'm not seeing where there is any additional or significant tax break.
Stimulus Bill: https://www.documentcloud.org/documents ... -TEXT.html
Three references to IRC sections on page 203
https://www.law.cornell.edu/uscode/text/26/172
https://www.law.cornell.edu/uscode/text/26/461 &
https://www.law.cornell.edu/uscode/text/26/199A Take advantage of this one if you have rentals
I don't see what they are seeing as far as benefiting the 1% and if you are continually losing >$500K a year, I don't think you are going to remain in the 1% for long

Locked

Fund Prices2024-04-15

FundPriceDayYTD
G $18.18 0.04% 1.23%
F $18.64 -0.61% -3.02%
C $79.24 -1.20% 6.56%
S $77.27 -1.66% 0.23%
I $41.14 -0.29% 2.38%
L2065 $15.75 -0.94% 4.19%
L2060 $15.75 -0.94% 4.19%
L2055 $15.76 -0.94% 4.19%
L2050 $31.64 -0.81% 3.38%
L2045 $14.44 -0.76% 3.24%
L2040 $52.80 -0.71% 3.11%
L2035 $13.96 -0.65% 2.96%
L2030 $46.52 -0.59% 2.83%
L2025 $12.97 -0.32% 2.08%
Linc $25.35 -0.25% 1.78%

Live Charts

Pending Allocations

Under development. For now, you may view Pending Allocations by going to "fantasy TSP" and selecting "Leaderboard sort" of "Pending Allocations".