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An open letter to the President.

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Dear Mr President:



Last night you made a speech to Congress, to the nation, and to the world which was inspiring and instructive. I appreciate and applaud your leadership. Your calm under fire, passion for the country, and decisive words and demeanor are just what a weary nation needs.



Last night in your speech, you listed a number of things the government would do - pursue terrorists at home and abroad, make use of the help of other nations, and improve the operation of those agencies who's job it is to protect us from the evil that touched our shores. Thank you, Mr President.



Last night in your speech you told us, as the people, what our job was in this. You said we needed to get back to work, to rebuild, to strengthen, to renew our nation. Mr President, we can do that. You have asked the best people on earth, to do the thing we are the best at. No nation's people on this planet are more capable, inventive, efficient, productive, imaginative, or work harder than we do, when we have a task to do. Mr President, on that you can depend. We could carry the world, if we needed to. We have before, and we could again. But Mr President, we need your help. There are some things WE need to accomplish this.



Mr President, we the people labor under some of the heaviest burdens we have ever been asked to bear. We are strong in grief and can console each other, we are resourceful, and don't just give up. But those who have had the task of "leading" before you came, have placed burdens on us so daunting, that they make even us weary.



We labor under a tax system, a system so complex, so focused on penalizing those who would produce, that the cost of mere COMPLIANCE is estimated to be more than a half TRILLION dollars a year. We labor under a tax system which confiscates the very tool we need to rebuild, to reverse the recession we're in now - capital. Capital is the engine that drives this nation. It is the very foundation of everything we do and everything we make. Yet, our tax system confiscates it from us. Those who enacted this burden told us to shut up and stop whining. That THEY knew far better than we did about how go about things. They spent it all and ran up a lot of debt - without anything more than promises to show for it.



Our farmers, loggers, ranchers, small businessmen all labor under environmental goals so radical it has killed off entire towns, ruining the lives of untold families and ripping apart communities. In the name of "caring for the earth", your predecessors have enacted laws which confiscate the farmers water, drain our valuable water down the river, and choke off the use of many of our natural resources we desperately need. We build houses out of lumber grown in Canada, while the timber in our forests darkens the sky with smoke, chokes our lungs with ash and pollutes our rivers with runoff - whiling killing the wildlife that makes our nation so unique and beautiful. All in the name of "saving" it. Wise and careful use and cultivation - like we are instructed to make in the Bible - is contramanded and radical and useless goals are enacted which benefit neither man nor beast.



Our small businessmen are weighed down with laws that seek to control how they hire, fire, and otherwise run thier business. These laws are so complex and sometimes so vague, that following one leads to breaking another. At a time when jobs are suddenly more scarce and the news is that hundreds of thousands can lose thier jobs almost overnight, burdening our businesses with laws that do not accomplish good, but yet kill the strength of our nation.



Our people bear massive burdens of state and federal mandates that seek to "solve" tiny or even non-existent risks. These were enacted by well-intentioned but terribly unfocused legislatures who, in times of prosperity and peace sought to endear tehmselves to us by "protecting" us from myriad "dangers" of little to no import. At this time, when real and true danger rears it's head, perspective is regained - and these meddlesome and expensive laws need to be repealed. Mr President, we can carry many of our own risks, because the weight of those risks is FAR less than the weight of the risks to the nation, when it's people are impoverished and unproductive.



Mr President, the people carry a huge financial burden in the cost of government upon us. Everything we buy, everything we do, carries with it a huge cost imposed by regulators who seemed to have nothing better to do than write new and mostly useless laws to "save" us from one "crisis" after another. Now when real crisis strikes, those laws deepen and broaden it. For instance, we have made great strides in the cleaning of our air and water. But an agency of the government YOU head continues to make more and more massively expensive demands for what are now almost microscopic benefits, if they benefit us at all. Automobile emissions, for instance, are now so low that improved air quality will continue for some time to come, just becuase the old cars wear out. Yet, we as a people are being asked to believe and carry the cost of the goal of zero pollution. Federal mandates increase the cost of our transportation, machinery, and a host of other daily needs - yet those mandates and the yet more stringent ones planned have little scientific evidence to show that they are beneficial... much less sufficiently so to warrant the cost.



Mr President, I, as a patriotic, determined, and optomistic American believe we as a people can do anything we set our minds to. We are capable of conquering any foe, rebuilding from any disaster, and recovering from any attack. But we cannot overcome limitations and burdens our leaders place upon us.



So I ask, I beg, I plead - give us relief from these things. Instead of burdening us with political clap-trap - restore wisdom to process of taxation - it's purpose is to fund the things you must do, not to control and punish us for being too wealthy or producing or creating capital. Unleash us from the reigns of runaway regulation. A few good laws do far more than a vast mountain of bad ones. Give us back authority over our lives, let us assume some risks, and in return we will do what you asked us to do. And we'll do it bigger, better, stronger, and more than it ever was before. And we'll do it without complaining, without whining, moaning, or dissent.



Now, Mr President, when Congress recognizes the need and has a clear vision of what is required, now is the time to help US help you.



Thank you, Mr President, and may God bless and keep you.



Mark Koskenmaki

Weston, Oregon.
 
Yep!!!

I wholeheartedly concur and had planned on saying exactly what you said, but you beat me to it :p :D A capital gains tax cut would be good mojo for the economy.
 
A ton of very good thoughts... .



I heard a business analyst that used to hold some other position within the US government say the very same thing. . but very pointed...

A tax cut for the working class.

Tax increase for the wealthy.

Reasons. .

In this time of some what questionability, the very people that have been saving the economy by going out to the malls and spending are starting to safe. The companies are looking for more layoffs. . so raises arent coming. . how else can the common person obtain more money from his hardwork... less taxes...

This analyst realizes that we basic folk are worried and spending is falling with the need to save. We have more debt than ever before, since confidence was so high. Now confidence is low, we want to save and pay off our debt. But doing so will only aid the fall of the economy.



it was a very interesting conversation, I think it was on Fox cable news last night, before the President's address.



Slightly different subject, but RE the economy...

One thing that has me pissed off is the Airlines. At this time it seems almost as black mail... ... they are "announcing" Major layoffs to come. Now I do feel for the folks that are gonna get hurt. It's a fact that flights are down. 3 weeks ago it was just announced the time line to close the office I'm in... and the time line could become much shorter, without notice if certain "union" items are overcome (the shop floor is Union, I'm not)... . joy joy. . at any moment I could be out of work.

But the government will come up with an aid package for the airlines... BS... Before that happens the US should make the airlines do what the Japanese do. . cut at the top, lots of dollars saved with few heads lost... many of the common workers are spared, put the airline security under the responsibility of the government (on the way to being done). The major problem is that corporate american (airlines included) need to drive and keep up the all time high profits and returns and keep their all time record high salaries and bonuses at the top... . in their near sitedness they are undermining their own efforts.

I don't see any special aid package coming to my industry, we never asked for one either... I didn't get special aid when defense spending was cut and all the defense jobs were lost on the Island.
 
Originally posted by BK

A ton of very good thoughts... .



I heard a business analyst that used to hold some other position within the US government say the very same thing. . but very pointed...

A tax cut for the working class.

Tax increase for the wealthy.

.



Heavens NO!!!!



No tax increases!!!



The wealthy are those who provide jobs, growth, risk, business expansion. They are the ones who hire, who start, who grow enterprises. They are the ones who invest and get things moving.



Taxing the rich is like cutting down the trees to help out the forest. It helps NOBODY. Government is just going to have to do A LOT LESS MONEY. It has WAY more than it has to have to do the essentials... and if we're supposed to sacrafice, then those politicians who've been trying to buy our votes with handouts galore can just do without. They can earn them the right way... By demonstrating honesty, integrity and leadership.
 
I usually agree with you Power Wagon, however, how are you proposing the Government pays for this War on Terrorism? Freedom and safety aren't free. I'm not a fan of taxes but I don't know of a better way. I would rather see useless 'programs' cut that the Clinton's encouraged. I don't realistically see another tax cut coming.
 
Please don't buy into the notion that the government does not have enough money to conduct this little effort on terrorism.



The federal government has an income in excess of 1. 7 TRILLION dollars annually. 1. 7 BILLION is . 1% of that. 17 BILLION is 1. 0% of that. 170 BILLION is 10% of that.



170 billion was FAR more than the gulf war cost.



Please don't fall for the lie that we can't have a tax cut and still have a minor military and intelligence campaign at the same time.



Uncle Sam has far more of our money than he needs, terrorism or not. Besides, tax reductions have, in every instance, resulted in MORE income to the government, not less. Get yourself some data and look it up. Government stands to lose far more from economic downturn than it would lose from MASSIVE tax cuts.



So I ask you... Why would you oppose tax reductions? We don't need to give government more money. It has plenty and then some... in fact, more than it is healthy for our economy for it to have. So, to restore OUR strength, which is what the government's strength is derived from, don't you think we should concentrate on economic rebuilding, not federal revenues?



In case you haven't been thinking about it, the 5 or 6 days that we had little business going on, this nation lost so much productivity that it will be felt in pocketbooks and on the balance sheets of many businesses for YEARS. And the billions lost just in damage to NY have to come from somewhere... they come from productivity and profitability. No, they don't come from government... they come from investors, insurance, borrowing, and future profitability.



<b><font color="red" size="6"> BIG TAX CUTS<i> NOW</i>!!! </font>

</b>
 
Well, I definitely think your fired up. I don't see how a tax cut for us is going to instantly fix the economy TODAY. It may be that I'm just young and don't see it. The American public is doing this to itself. Stock market doesn't have to keep dropping if investors don't keep selling. The paper stated that Congress approved $40 billion to help out. Is there waste in the Government? Of course. No disagreement. Just don't see the connection between tax cuts and better economy. The Fed lowered interest rates and the economy is still going down. I think the answer is to fix useless spending by the government first. Then maybe a tax cut. Not a tax cut first.
 
Two comments,



Mark - before I agree with you that 1. 7 Trillion is plenty enough money for the government, I want to see your budget. I want to make sure you have everything covered. ( like I could tell ). I guess my point is, can you? Dont decide that is enough just because its a lot of money.



I always wanted to know more about the flat tax idea. Everyone just pays a plain 15% or something like that. Abolish the IRS, no more tax returns, no more filing, loopholes, no more fines for filing wrong, deductions and all that. No more argument over much taxes the rich pay. Everyone just pays 15%. Period. thats it.
 
Originally posted by Matt S

Well, I definitely think your fired up. I don't see how a tax cut for us is going to instantly fix the economy TODAY. It may be that I'm just young and don't see it. The American public is doing this to itself. Stock market doesn't have to keep dropping if investors don't keep selling.



A little economics lesson. The stock market measures basically one thing: Confidence in future earnings. When we (collectively, not necessarily you and me only) have "discretionary" income... that is, more than we must have to live, then and only then do we invest. When we invest in the stock market (there's lots of other things to invest in), we compete with each other for ownership of whatever entity we're buying stock in - raising the price. When everyone sells, the price falls. Right now, the institutional investors don't see profitability any time soon, so they are yanking thier money out and buying debt instruments - debt instruments such as bonds, generally get repaid and are secured by more than just a signature. This means they don't expect profitability (that's what makes stock valuable... shared profits with the equity holders - the investors) anytime soon and they are looking to get an assured return (though small) combined with protection from loss.



The reason tax decreases work, is that it almost immediately gives the average person discretionary income - so you say, it's only a few dollars a day/week/month? Doesn't matter. On the average, we generally only save a few dollars at a time, as well. Small changes (75-100 a month) in your take-home pay result in your budget changing nature rather rapidly. If your budget balanced... and only balanced, you have no disposable income, and your buying and saving habits reflect that. When your monthly budget suddenly shows positive cash every month, your attitudes and risk-taking willingness change. Within 3 to 6 months, most people change thier attitude and begin assuming some risk again - whether it's by investing in equities, purchasing something, etc.



When other types of taxes decrease - corporate tax, or capital gains, for instance, we see different kinds of responses. If you have ever analyzed a business plan or proposal, you'd have noticed that most multi-million or multi-billion dollar ventures swing on single digits. Even Microsoft's profits are only single digit percentages of gross sales. Presently, businesses pay taxes whether they make a true profit or not. By this, I mean, whether the cash flow of the business is sufficient to meet it's capital needs - not whether it takes in more than writes checks for. When corporate boardrooms choose whether to expand or contract, they base thier decisions on a single digit percentage bottom line return. By changing our tax structure, many "marginal" propositions or expansions move from "No go" to "Go". Many investors choose to invest or not invest on the difference of 1 or 2 percent return. By changing our taxes on the cash flow of that investment, we move a lot of decisions from the "no" to the "yes" column.



This effect lasts many years. The reverse is true, as well. In the mid-90's, we began to notice that a lot of "go" decisions slipped into "no-go" over small changes in the bottom line percentages - and much (but not all) of these were attributeable directly to the tax increases of the Clinton years. We're suffereing for them right now. Capital for risk dried up years ago, and expand/contract decisions started swinging the wrong way years ago as well.



Lest you get sidetracked by some specious and very wrong arguments advanced by a well-known political party that NEVER advocates anything but more taxes and fights every tax cut ever proposed... This is what you need to know: A growing economy will fund the government FAR more than a contracting one. In a contracting one, the government is spending more on entitlements, and businesses are losing money, not paying in, and revenue falls or goes flat.



Historically, it has been proven that a 24% tax rate will produce FAR more revenue than a 78% tax rate, because cutting it so dramatically increases the number of tax payers and ventures that pay taxes.



And, as a matter of cold, hard logic, it is FAR more important to maintain economic health, than to focus on government revenues. The LAST concern that should be on our minds is whether we are funding government enough.



At this moment, government consumes almost precisely the same amount of all we produce and take home, AS IT DID DURING WORLD WAR TWO!!!! We as a people are FAR too burdened with government spending for the strength of our economic engine. During WWII, government borrowed a fantastic amount of money, and TAXED HEAVILY on anyone who made a profit from all that spending. It stifled economic health the moment the war was over. When the soldiers came home from WWII, there were no jobs, there was high unemployment, and the condition remained until taxes were cut.



What you are not understanding, is that the losses to our economy are in the hundreds of billions already. This HAS TO BE MADE UP somehow, or else we're going to shrink back to the point where this is sustainable. "Shrinking" is not good. It causes massive unemployment - dare I say the word "depression"??? Since we have been on the downhill side of economic prosperity for 2 to 3 years already, and there wasn't much of an end in sight, this blow calls for immediately and serious action - or you and I will be enjoying the stress of a depression within months.



In our present condition, and under our system of taxed capital, taxed income, taxed property, and massive regulation, it would be utterly impossible to recover from a depression. We would simply have an economic and social breakdown. And, we'd end up with someone like Hitler taking over and promising salvation if we'd just let him do whatever it is he wants to do.
 
It's easy... Reduce government spending in every department to what it was just 2 years ago. This would result in roughly a 300 billion discretionary fund. By halting all spending increases in eveyrthing but military, justice, and law enforcement, that 300 could be grown to 600 to 700 BILLION in 5 years.



Government revenues increase by roughly 100 to 200 billion annually - without tax increases, and without significant inflation. And that's just from economic growth in WEAK times. It's even better in good times.



When we're talking about a campaign, that if it equalled the force of the gulf war, EVERY YEAR, we could pay for without debt, by simply freezing all other spending, altering tax code to spur maximum economic growth, and then just using the increases as they roll in. No, federal budgeteering is not complex. It merely requires will on the part of the president to refuse to let the Democrats demagogue thier way into wasting such vast fortunes of the people's money.



Other than the military, the courts, and law enforcement, there is little the government can't just stop doing. We don't have to have it do a large part of what it does. At least 35% of federal spending is on things that are NOT essential to government in the slightest. The military and the above mentioned other duties consume less than 30% of all federal revenues - and that would include a war!
 
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