On February 18th I spoke with Donald Trump’s son, Eric Trump, about his father’s tax plan while I was on Mornings with Maria.
One of the problems with Trump’s plan is that more than 50% of all households won’t pay any federal income taxes. That means that essentially over 50% of all voters won’t be taxed on the benefits and spending plans they support! That is one hell of a great way to ensure that federal spending continues to expand.
All politicians have to compete for voters. Those that promise more goodies are more likely to get votes, that’s why politicians promise goodies. The only thing that places a check on the promised goodies is the reality that those voting for the goodies will have to pay for them. If more than 50% don’t have to pay for the goodies, why not vote for them? Thus those that promise the most are more likely to get the votes, leading to an escalation in goody offerings by those on the campaign trail.
The U.S. is already facing a looming crisis from promised social security and medicare payments that it simply will not be able to afford with a reasonable level of taxation on the private sector, we certainly do not need to exacerbate this trend.