23 Oct NEW FRENCH SOCIALIST GOVERNMENT LEARNS UNIVERSAL TRUTH NUMBER SIX FROM Ladies, Can We Talk? America Needs Our Vote!
If you’ve read Ladies, Can We Talk? America Needs Our Vote! you might remember Universal Truth Number Six starting on page 91: the human self-defense mechanism is just as strong in protecting our wallets as in protecting our safety. People don’t just willingly hand over their hard earned money, especially when they feel like government just confiscates too much.
Democrat politicians who keep talking about raising taxes on the rich are not only intentionally dividing Americans by creating class envy, (a most unstatesmanlike motive), but they are proposing a tactic that just doesn’t work. They should learn from the French.
France’s new socialist government has announced that the income tax rate on the very wealthy will go up to 75% later this year, and that in 2013 they want to increase the capital gains tax on equity sales.
- The number of luxury homes in France for sale now has more than doubled, as wealthy French hope to complete the sales before the new tax comes in.
- Sotheby’s French office reports that a large number of wealthy French families are leaving the country to avoid the impending tax increases. Turns out the human self-defense mechanism kicks in, in high gear, to oppose wealth redistribution, which is what enormous taxes on the rich are intended to accomplish.
- Business leaders warn that the new income tax rates will make it very challenging for companies to hire top executives, while the higher capital gains tax will dis-incentivize investors and entrepreneurs from building businesses—so job creation will be harmed.
Turns out you just cannot outsmart the laws of economics, and you cannot arm-twist hard working people to surrender an excessive portion of the fruits of their labors. Universal Truth Number Six, in action.