With a major tax fight looming around the corner, we can expect the usual class-warfare rhetoric from the White House and the punditsphere. Phrases like “for the rich” will be bandied about without second thought, while many question whether these so-called rich deserve to be “given” tax cuts.
This is the argument made by Austan Goolsbee of the Council of Economic Advisers a month ago in a video released by the White House, where he says that it’s “expensive” to “give” a tax cut to the successful, even though the “cuts” will really just keep rates as they are. Setting aside the economic problems with raising taxes on producers, the philosophy behind such claims is simply repugnant.
It’s hard to imagine anything more in conflict with America’s most basic principles than the idea that government has first claim on money earned by the American people. A tax cut is neither a gift nor expensive, especially when it’s a cut that’s not really a cut at all.
The following video from the Center for Freedom and Prosperity addresses this and other objections to the Goolsbee propaganda with a point-by-point debunking.