Answer Karl Marx Capitalism Prediction with the Fair Tax


Karl Marx predicted that capitalism contains the seeds of its own destruction.  That is correct if a capitalist government embarks on an extensive and ultra progressive tax system to finance excessive entitlements.  Marx succinctly stated this strategy would eventually lead to socialism and ultimately communism.

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Our current tax system fairly close matches the above.  It punishes success (income growth) and thus stunts economic growth and widens the income gap.  Many of the poor likely realize that income is heavily taxed so why risk getting a job when the Government provides so much?

The Fair Tax (FT), in Congress as HR 25, provides incentives for all, by not taxing income and thus encouraging one to generate more income.  The FT is revenue neutral while eliminating all federal income and payroll taxes.  The FT generates revenue via a national sales tax on new products.

More of the poor will realize they can better themselves significantly by earning tax free income and not being punished by earning as much as they can.  They can then do their part to narrow the income gap.  To learn more visit http://www.fair tax.org, https://economics501.wordpress.com/category/tax-reform/,

www.returntoexcellence.net

Twitter @Economics501

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About economics501

1 - free market Capitalist; 2 - Fitness Entrepreneur; 56 years old, VP at an Investment Bank in NYC, ex Venture Capitalist, happily married with 2 girls. Education: Rutgers and NYU. I allow Ted Hruzd, my friend to blog at will here. He has many posts here. I have known Ted since we were both students at NYU. Ted also works for an Investment Bank as a VP in Equity Global Markets. ------------------------- I was very very Socialist leaning as a 22 year old. I then strongly believed in Gov role in helping the poor. However, as a USDA Child Nutrition Programs, I personally accounted for millions of fraud, abuse, and waste of tax payer money. I came to believe that the poor would be best served with less Gov programs and more with direct aid via tax system. Then after 5 years I became a free market capitalist, was a venture capitalist in 2007 and helped start 2 high tech companies. I dedicate this site to champion free market capitalism as the best road to Prosperity. Please join in. If you disagree, fine, but please post with dignity and class and be civil. Argue with facts always.
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