Monthly Archives: April 2017

Good afternoon everyone,

Please join the Reagan Club of Colorado for our May meeting featuring Robyn Cafasso’s  presentation on the Adams County District Attorney’s Office.

The May 4th meeting will be held at Amazing Grace Church at 541 E 99th Pl. Thornton, CO. Doors open at 6:00PM-meetings usually end at 8:30PM.

Wear your Reagan buttons and be ready to win more Reagan bucks in our ongoing contest!

Member tickets are $20, non-member $25. You can still get early bird tickets for $15 before Tuesday, May 2nd. Early registration is encouraged, as this greatly helps our meal planning.

Make your reservation via the Reagan Club of Colorado web-site at:

http://www.reaganclubco.com

Bring a friend to our May meeting,

Fred Ramirez
President
Reagan Club of Colorado

The Tax System Explained in Beer

In my explanations of the Laffer Curve, I’ve shown evidence that high tax rates discourage productive behavior and boost the underground economy.

And if higher tax rates are sufficiently onerous, the resulting reductions in taxable income can completely offset the revenue-generating impact of higher tax rates. Indeed, this is what’s already happened with the “Snooki tax.”

And the same thing happens in reverse. If lower tax rates lead to a big enough increase in taxable income, the government actually collects more revenue – which is exactly what happened when the top tax rate was lowered in the 1980s.

I’ve also tried to explain, shifting from economics to philosophy, that confiscatory tax rates are unfair and immoral. And I’m glad to see that most Americans agree, with 75 percent of all people saying that nobody should ever face a tax rate of more than 30 percent.

Notwithstanding that polling data, though, I fear that many people don’t really understand the economics of taxation. So I’m happy to share this little story that periodically winds up in my inbox.

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Suppose that every day, ten men go out for beer and the bill for all ten comes to $100. If they paid their bill the way we pay our taxes, it would go something like this…

  • The first four men (the poorest) would pay nothing
  • The fifth would pay $1
  • The sixth would pay $3
  • The seventh would pay $7
  • The eighth would pay $12
  • The ninth would pay $18
  • The tenth man (the richest) would pay $59

So, that’s what they decided to do.

The ten men drank in the bar every day and seemed quite happy with the arrangement, until one day, the owner threw them a curve ball.

Continue reading

FYI.

The top 20% of wage earners pay 80% of all Federal income taxes.

The next 30% pay 17% and the bottom 50% pay 3% of all income taxes.

And the Democrats say this isn’t fair to low income people.

Growth Can Solve the Debt Dilemma

Hitting a 3% target would result in an economy that’s nearly $13 trillion larger in 30 years.

By Stephen Moore
The Congressional Budget Office’s latest report on the nation’s fiscal future is full of doom and gloom. The national debt will double in the next 30 years to 150% of gross domestic product—which is Greece territory. Interest payments may become the largest budget line, eclipsing national defense. Federal spending is expected to soar over 20 years from 22% of GDP to 28%. Never outside of wartime has Washington’s burden been so heavy on the economy.
 
But the report’s most troubling forecast, by far, is for decades of sluggish economic growth. The CBO projects that America will limp along at an average 1.9% annual growth over the next 30 years. This is a sharp downgrade from historical performance. Between 1974 and 2001, average growth was 3.3%. An extra percentage point makes a world of difference. If weak growth persists, there is almost no combination of plausible spending cuts and tax increases that will get Washington anywhere near a balanced budget.
 
But consider what happens to the CBO’s numbers assuming 3% annual growth. By 2040 the economy would expand not to $29.9 trillion, but to $38.3 trillion, according to an analysis by Research Affiliates, a California investment firm. That’s an additional output of $8.4 trillion—roughly the entire annual production today of every state west of the Mississippi River.

Continue reading

You might not be surprised if I were to tell you that a majority of Americans think that President Trump is out of touch with the concerns of most people in the United States today. Sure, he won the election, but a plurality of voters opposed him, and a new Washington Post-ABC News poll shows that he hasn’t expanded his base of support significantly since then. You certainly wouldn’t be surprised to learn that there’s a broad partisan split on the question, as there is on nearly everything in politics these days.

Donald Trump is out of touch with the concerns of most people

Only 1 in 10 of those who voted for Trump in November think he’s out of touch — but 90 percent of Hillary Clinton voters do. Partisan views are slightly more moderate, with 20 percent of Republicans and 87 percent of Democrats holding that position. Continue reading

The Reagan Club meets on the first Thursday of every month at The Amazing Grace Community Church ( 541 E 99th Pl, Thornton, CO, 80229) from 6:30 p.m. - 8:30 p.m. with doors open at 6:00 p.m.. We feature different programs and speakers as we honor the 40th President. The Reagan Club of Colorado seeks to promote the Constitution, smaller government, lower taxes, personal freedom, helping candidates, and educating the public about one of our greatest presidents, Ronald Wilson Reagan.

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