Energy Obamanomics: After spending trillions, there are no green jobs and plenty of red ink for the next generations to pay. Their solutions? Taxing the rich?


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Janey answered
That's not even a solution by any standard.  Even if you tax the super-rich by 50%, the net gains are small change when you have trillion-dollar deficits.  Despite the freezing of tax rates, the rich are still being generously taxed on their liquid wealth - in the form of artificially low short-term interest rates courtesy of Bernanke's Federal Reserve Bank.  By keeping these rates low, the Fed effectively has the rich, who then buy US Treasuries to subsidise the budget shortfall.  As the saying goes: "Increasing taxes on something is a sure way to get less of it".

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