Cullen take note…

He won’t of course because like all socialists he knows best and he has a teaching career to prove it.

However there is some enlightening commentary by Lawrence Kudlow regarding taxation in the US and in aprticular in New York State.

Their research has shown that States with high and rising tax burdens are more likely to suffer economic decline; those with low and falling tax burdens are more likely to enjoy strong economic growth. 
 


Economic behavior, whether measured in terms of employment, work effort, saving, investment, risk-taking, entrepreneurship, or capital formation, is highly responsive to changes in marginal tax-rates. In other words, incentives matter. The economic power of lower tax-rate incentives has been proven at national and state levels. It is also borne out by the results of lower tax-rate systems put in place internationally. Allowing people to keep more of the extra dollar earned or the extra dollar invested by providing new incentive rewards is a tried and true prescription for economic growth. Raising after-tax rewards for work, investment and risk-taking is the surest path to long-term prosperity and competitiveness for the state of New York. 


Nothing surprising there….all parties except for the Labour party recognise this, our trading partners without exception recognise this….but will Cullen and his bunch of failed unionists and teacher recognise this….no way. They caterwaul the usual teacher mantra "You’re wrong, We are right"

So what about taxing the rich to get more…..nope.
 


Our commission decided that waging class war against the wealthy is nonsensical; it merely wages war against the state’s non-rich working people who are deprived of scarce and valuable capital that is so necessary to creating new technologies, new businesses, new equipment, new jobs, and new job training.

On income taxes, we proposed a 5% solution for individuals and companies, down from the 6.85% tax rate on personal income and the 7.5% tax rate on corporate income. Additionally, we proposed to reduce the number of income tax brackets from five to three, along with a widening of brackets, as well as inflation-indexing to prevent tax-bracket creep. Complex supplemental taxes would be eliminated. And for businesses, all new investment would be cash-expensed to reduce complexity and lower the cost of capital. In all these cases, we adhered to a clear economic growth principle: tax something less and you get more of it. By raising after-tax rewards across-the-board for the entire state tax system, we believe that New York will generate significantly higher living standards and more rapid economic growth in the years ahead.


Shall I repeat for the congentially stupid….Cullen sit up straight…."waging class war against the wealthy is nonsensical".

 

 


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