Archive for income inequality

Let’s Talk About ‘Fair Share’

Posted in Politics with tags , , , , , , , , , , , , , , , , on November 21, 2011 by rottenart

Steve Benen has a good post today about the persistent meme that’s been making the rounds since the deficit became the holy grail of national political discussion: it’s not fair to ask the wealthiest Americans to pay more in taxes because they already pay so much! John Boehner, ever the voice of the oppressed 1%, said this:

“Come on. The top 1% paid 38% of income taxes in America. How much more do you want them to pay?”

“We are not going to engage in class warfare,” Boehner said, adding: “The president’s clearly trying to do it, and it’s wrong.”

Well, let’s just parse that a bit, shall we? As Steve puts it:

“Just as important, while these very Americans are paying a larger percentage of the nation’s overall income taxes, they’re also paying a smaller share of their personal income in income taxes.”

As a percentage of their income, they’ve seen their tax rate drop significantly. While the top 20% do pay the majority of the income tax, they also control around 90% of the wealth and account for ~80% of the income.  In fact, while the middle and lower classes have seen their wages stagnate and even decline over the past 30 years, the uppermost 1%  have seen their incomes soar by 275% in the same period. And those vast majority who Boehner thinks aren’t paying enough? They’re already poor and don’t make enough money to have to pay!

Beware the Republican bearing statistics about taxes and who pays their ‘fair share’.