Saturday, March 31, 2012

Life is NOT fair … period

I think I need to scream: LIFE IS NOT FAIR. NEVER HAS BEEN. NEVER WILL BE.

It drives me up the wall when I hear people, like our president, go on and on about people paying their “fair” share. Guess what our tax system is not fair … no progressive income tax is, period … end of statement.

If you want fair, then everyone plays by the same rules. That means a flat tax … where everyone pays the same percentage of the same things (whether it is income from salaries and wages, income from investments or annuities or wherever the income comes from) but that doesn’t happen in the U.S. We, the people through our representatives in congress assembled, have decided that certain people have to pay more and others pay less. We have decided to give  “tax breaks” to these people. It sounds good, and in some ways it may be good public policy, but don’t even try to say that it is fair to those who don’t get the breaks … because in reality it is flat out discrimination based on some artificial criteria. Now, in the US, some people pay little or no federal income tax (in fact, some poor people actually get subsidies) and the rich, no matter who they are, pay more in taxes … maybe not the same percentage as some, but actual tax dollars, yes they pay more. Plus, you can be “wealthy” on paper and cash poor … or rich in real estate and cash poor (which is why property taxes are so discriminatory)

If you don’t like income taxes, then set up a consumption tax, like the “Fair Tax”. Again, at least there, everyone is playing by the same rules, rich or poor, minimum wage or billionaire. But that isn’t seen as fair by those who think that those who have money (and that doesn’t include me, unless you think that getting about 36K per year is into money)should pay lots more (a much larger percentage of whatever it is you are taxing) because they can afford to part with it.

The problem is, as always with humans, we don’t want all to play by the same rules. That is not “fair” because talent, circumstances and nothing better than outright luck often play a role in who get to be the “winner” in life.

But that is life … equality of outcome is just about the worst thing that I can imagine because it fails to recognize that all things have to be rationed because wants are unlimited. It is how you ration wants, or if you just lower all to the lowest common denominator so everyone’s “needs” are satisfied with existing resources. Try doing that and you crash society

Think about it … and the next time someone tells you it just isn’t fair, ask them to explain why … especially if everyone is paying the same rate. IF you get a class-based answer, remind them that life isn’t fair. Never has been and never will be.

1 comment:

Michael Raymond said...

Had that same discussion over on google+ the other day.
https://plus.google.com/103260469648247863089/posts/XXd24a1iEHY

Have said as much for years. "Fair" simply cannot account for talent, opportunity, desire and/or Lady Luck.