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What you call "moving towards socialism" in the US (the Plan D  thingy) is more a huge corporate giveaway to the pharma industry than a real progress for patients
Recent polling of seniors on the program shows a very high level of satisfaction with the program and lower cost for the seniors.  That view was initially muted because the program was admittedly confusing due to the "donut hole".  Do you mean it's good for pharma because seniors are now getting more of their drugs, and therefore pharma unit volume has gone up?  Seems like a good thing all around to me.

Regarding taxation, the Bush tax changes have not changed the % distribution of Federal Income taxes, and I have referenced that data from the IRS before.  The lower 50% of wage owners pay less than 4% of the tax bill.  Earned income is taxed on a progressive tax scale so the more you earn, the higher your percentage tax rate is.

I think they is room for debate of the changes in the dividend and capital gains tax rates.  However, on that one, I come down on the side of lower is better--with a high capital gains tax, investors have the option of not paying any tax at all, by just holding onto an asset, which may be less productive.  That is very negative for the economy, obviously, and can actually lower taxes because less capital gain is generated.  btw, I think there is similarity in the US and France capital gains tax law.  As I understand it, the federal rate is 16% in France vs. 15% in the US, + 10% social tax and france, and + state income tax rates in the US (9--10% in California and New York, and many other states, but lower in other states.)

I think there will be changes in the tax code after 2010--the main one being reinstating the "death tax".  It seems an unfair tax to many Americans, but getting rid of it has the disadvantage of allowing huge fortunes to be passed down over generations.  I think the compromise will be adjusting the estate taxes to at least account for inflation, and maybe a little more.

Regarding political slants on the numbers, you are probably right.  But I'm more interested in the numbers and what they truely say, than what various pundits want to push as their POV.

by wchurchill on Sat Dec 2nd, 2006 at 01:02:36 PM EST
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