America’s national debt is a major problem. However, modifying the tax codes will not solve our economic woes, especially with the income-neutral idea presently being proposed. The use of taxes as a political gimmick is great campaign football, but not good governance.
Continuing our present tax breaks benefiting wealthy and working Americans will not help the unemployed, those who are suffering the burden of America’s near economic collapse. Tax breaks have been in place for the past 10 years. Have they worked? Where are the promised jobs? China, that’s where! Historically, tax breaks to encourage job creation during a major downturn have not worked.
Two proposals are currently on the table: 1. Continue the present tax breaks, or 2. Provide subsidies to manufacturers who build and produce here in America. A third option supporting American business and growth of jobs has thus far been ignored. For 200 years, tariffs protected American manufacturing and market from cheap products made abroad. Tariffs were the tried and true method of wealth and job creation until corporate America discovered cheap labor elsewhere. Cynically labeling tariffs as “protectionism” is the equivalent of wearing historical blinders, seeing only dollar signs for the few, ignoring the economic health of this country for all.
Option one gives us lower prices while sending American jobs overseas. Option two will raise taxes because someone has to pay for corporate subsidies but will not eliminate foreign competition. Option three will raise prices but will return lost jobs to America.