Category: Domestic Policy

Trump ≠ Change

Despite being the presidential candidate of the Republican Party, Donald Trump has positioned himself as the candidate of change in the 2016 election. During the first debate, he tried to hammer home his call for sweeping political change. From Reuters:

Some of Trump’s strongest moments at Monday’s debate were when he categorized Clinton, a former secretary of state and US senator as a “typical politician,” accusing her of achieving nothing in her years in Congress and government.

Polls show an electorate hungry for change, with a majority believing the country is on the wrong track. In fact, Reuters/Ipsos polling shows that 64% of Americans believe the country is on the wrong track. That number includes 87% of Republicans and 44% of Democrats.

When Reuters asked voters to pick the first word that comes to mind when thinking about the country, the most popular choice was “frustration,” (49%) followed by “fear”(15%) and “anger”(13.8%).

With an electorate once again yearning for change, as they do every four years; who will they turn to in 2016? Many pundits have said that Hillary Clinton is the voice of the status-quo, while Donald Trump is the candidate of change, that she represents incrementalism, while he represents big ideas.

Bill Clinton ran and won on change. Barack Obama ran and won on “change you can believe in.”

But, as Jeff Jarvis says: (brackets by the Wrongologist)

I ended up voting for Barack Obama, but while he was in a [primary] race against Hillary Clinton his campaign slogan drove me to distraction. “Change we can believe in.” What change exactly?

Jarvis makes this point:

“Change” is an empty word, a vague promise. Obama promised “change” and it was a vessel into which his supporters poured their dreams…The proper word is not “change” but “progress.”

But the term “progress” has been devalued and given different meanings by both the left and the right, making it less useful to describe what is required in next stage in our political and social evolution.

Jarvis thinks the key word should be “improvement”: Based on her web site, Clinton will work to improve health care, college costs, infrastructure, criminal justice, mental health, national security, the environment, taxation, campaign finance, and the status of women and minorities.

In this context, Trump ≠ change. He promises little improvement. In fact, his basic message is one of regression: Let’s return to an earlier time in America when many of his supporters feel they had more control over their lives. They say that they have lost their cultural and (possibly) their economic position due to changes they could not control, changes they resent, changes that broadened American opportunity, making it available to others, some of whom are outsiders. Trump is promising to stop these kinds of change.

Change can be of the revolutionary or evolutionary kind, but other than the American Revolution, are there examples of successful revolutionary change in the past 300 years? China, maybe? The French Revolution? Iran? All of these revolutions were accompanied by bloodshed. In our current environment, with instant global communication, evolutionary change is likely to be more successful.

And when you think about what evolutionary change involves: Understanding a problem, preparing and planning for the required change, building a supportive coalition, implementing and sustaining it in law and action, what about Donald Trump suggests to you that he could be an effective change agent?

Alternatively, Clinton presents a vision of a country headed basically in the right direction, but one that needs to address income and other forms of inequality. She is boxed into a position of running against “real” change, because of her career as a member of the establishment, and in part because she wants to run on Obama’s record. She would also like to bring his coalition along with her, but by temperament, she isn’t Bernie.

Still, she has cataloged the many tweaks and changes she hopes to make to policy. They are available online for those who have an attention span longer than it takes to read 140 characters.

This is in contrast to The Pant Load, who values tweets, conflict and personality over substance.

Three AM Tweet Storms are not change, they improve nothing. He promises nothing, and we are letting him get away with it.

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Living With Muslims

Wrongo recently read a first-person article in the June 24th edition of Maine’s Portland Press Herald by Allison Hodgkins. She is an assistant professor of security studies and conflict management at the American University in Cairo. Hodgkins lives with 20 million Muslims for 10 months a year, returning to Maine for the summers. Her point is that they are not so different from the rest of us. Here is a long excerpt from her article: (brackets and editing by the Wrongologist)

The assumption undergirding the presumptive Republican presidential nominee’s proposed ban on Muslims entering the United States is simple: More Muslims equal more terrorism and a less secure United States. And while there is utterly no evidence of a relationship between increased Muslim immigration to the US and increased rates of domestic terrorism, as many as 50% of Americans support at least a temporary ban, one poll has found.

The question that no one is asking is: Why? Why would half the US electorate think that banning nearly one-quarter of the world’s population from entry is a good idea? Are we just a country of bigots?

No, we are not. As the push for marriage equality demonstrates, we are actually very tolerant – once we get to know the group or the idea. But that’s precisely the problem with relation to Muslims: We don’t really know many.

Muslims are only 1% of the US population, and they’re disproportionately concentrated in a handful of urban areas. A 2011 survey by the Public Religion Research Institute showed that 40% of respondents had never spoken to a Muslim and 24% had done so occasionally. Only 6% reported speaking with a Muslim daily.

What these numbers lay bare is that for the average American, their only reference points for Muslims are the occasional glimpse of a foreign-looking woman in a veil and, well, the likes of [domestic terrorists] Omar Sadiq Mateen, San Bernardino shooter Syed Farook or the Boston Marathon bombers, Dzhokhar and Tamerlan Tsarnaev.

/snip/

Since we barely know the 3.3 million already here, we have no idea what it could mean to live with 3 million, 4 million or 5 million more.

Well, I do. For 10 months out of the year, I live with 20 million Muslims…Since accepting a position at the American University in Cairo, I have lived cheek by jowl with Muslims. Cairo, an urban megalopolis of 22 million to 24 million, is just plain teeming with them… From the moment I open my door in the morning until I close it at night, there are Muslims at every turn. The family down the hall from me is Muslim, as are four of the five families on the floor below. The crossing guard who scolds my son for not looking twice before crossing the street is a Muslim, and so are the guards checking IDs at the entrance of his school. I sit next to Muslims on the bus to work and gripe with them about the traffic.

/snip/

In an environment where being Muslim is the common denominator, it is absolutely certain that the person committing an act of terror will be an adherent of the faith. But Muslims are also the victims, the police coming to investigate, the reporters covering the event, the people queuing to give blood and the leaders charged with devising the best policy to counter what they and their constituents know is radical extremism promoted by groups of extremists.

/snip/

And when you live with 20 million Muslims, you hear them talk about this danger to their lives, their nations and their faith every single day.

Ms. Hodgkins’s point is we should assess the risks of Muslim immigrants to our homeland. Maybe get to know a few facts about Muslim involvement in acts of domestic terror, and meet a few Muslims before we ban all Muslim immigration.

You can hear the argument from the Trumpeteers: Of course the vast majority of Muslims are good, peace loving people who want the same for their families as the rest of us. But we can’t tell the good ones from the bad ones, so NO Muslim immigration until we get better vetting, screening, monitoring in place.

We couldn’t tell the good ones from the bad ones: That was the logic that led us to the internment of American Japanese in WWII.

OTOH, nearly all Americans agree that the vast majority of gun owners are good, peace loving people. But, since we can’t tell the good ones from the bad, how about banning all sales of guns until we get better vetting, screening, monitoring in place?

Sorry, we willingly accept the risk that American shooters will kill Americans. Since we are Second Amendment absolutists, those deaths are just collateral damage in the fight to protect our gun rights.

But if there is one death by a Muslim immigrant, the terrorists win.

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Monday Wake Up Call – October 3, 2016

What with reports of Trump’s $916 million tax loss in 1995, and fat-shaming and other antics by the Presidential candidates, you may have missed that the House voted 246-177 to delay by six months implementation of the Labor Department’s overtime rule.

The overtime rule which is set to take effect in December, will double (to $47,476) the salary threshold under which virtually all workers are guaranteed time-and-a-half pay whenever they work more than 40 hours in a given week. The Labor Department estimates the rule will extend overtime coverage to more than 4 million employees and cost businesses about $1.2 billion annually.

Rep. Tim Walberg (R-MI) who introduced the delaying legislation, warned that the overtime rule:

Burdens hard-working small business owners…and…Jeopardizes vital services for vulnerable Americans.

He asked that lawmakers:

Provide more time to those struggling to implement this rule before an arbitrary and unrealistic deadline.

His oratory convinced House Republicans to support the bill unanimously. Five Democrats joined in: Rep. Brad Ashford (NE), Henry Cuellar (TX), Daniel Lipinski (IL), Collin Peterson (MN), and Kyrsten Sinema (AZ).

Rep. Bobby Scott (D-VA) noted in the House that when the overtime rule was last updated in 2004 under President George W. Bush, only four months passed between the final rule’s announcement, and its implementation (compared to more than six months for the current rule).

The Senate’s GOP members were not going to sit idly by when wages are about to be increased, so Sen. James Lankford (R-OK) introduced a companion bill Wednesday co-sponsored by Lamar Alexander (R-TN) and Sen. Susan Collins (R-ME).

It is unlikely that either the House or the Senate bill will become law. The White House said Tuesday that Obama would veto Walberg’s bill.

Regardless of who wins the White House, the GOP will most likely continue to control the House, so control of the WH is the only way to stop this kind of action, and Millennials have a big role to play in who controls the WH.

Time to wake up those Millennials who are supporting Gary Johnson. Maybe when Mr. Johnson wakes up from his latest bong hit, we can ask him about overtime for workers working more than 40 hours, but we already know he is against raising the minimum wage. You can read all of Mr. Johnson’s positions here.

So wake up, Millennials! This is one reason why you really want a Democrat in the White House. To help remove the slumber from your eyes, listen to Peter Garrett with “It Still Matters”. You remember Garrett as the lead singer of the Australian band Midnight Oil. He was also a Labor Party member of the House of Representatives for New South Wales from October 2004 to August 2013. Now he has a solo album backed by his daughters. Here is “It Still Matters”:

Those who read the Wrongologist in email can view the video here.

Sample Lyrics:
Watching the parade on the news last night
I was one that walked that road before
When everything feels like its crumbling
Like the writing’s on the wall

But dreams are broken, mended and they scatter
Like seeds they fall and then the fruit is gathered
It always was and always will, be a struggle to fulfill
Stay strong and heed the call

It still matters to me
I hope it matters to you

Millennials: take a stand against simple solutions. An iPhone app can bring you pizza or sushi, but it will never deliver change. Vote in large numbers! Leave Johnson in the head shop.

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Monday Wake Up Call – Rule of Law Edition

While America celebrated the Labor Day weekend, we overlooked an extremely important decision by a three-judge panel of the US Court of Appeals for the Ninth Circuit.

Last week, they issued a sweeping decision in the Federal Trade Commission v ATT, that drastically restricts the Federal Trade Commission’s (FTC) consumer protection authority over companies that offer “common carrier” services (e.g., telephone services, mobile data, and internet services) whether or not these services comprise their core business. Moreover, since no other federal agency has the necessary scope of regulatory authority over this area, if this decision stands, significant activities of such companies would become largely unregulated.

As the WaPo reports:

The ruling could wind up giving Google and Facebook — not to mention other companies across the United States — the ability to escape all consumer-protection actions from the FTC, and possibly from the rest of government, too, critics claim, unless Congress intervenes.

A little history: The FTC had brought an action against ATT over the adequacy of the company’s consumer disclosures regarding its data throttling plan, by which ATT intentionally reduced the data speed of customers to whom it had sold unlimited mobile data plans:

  • In 2007, ATT became Apple’s sole wireless provider for iPhone.
  • In 2011, ATT began reducing the speed at which unlimited data plan users received data on their smartphones.
  • Under ATTs data throttling program, unlimited data plan customers were throttled for the remainder of a billing cycle once their data usage during that cycle exceeded a certain threshold.

So the FTC filed suit against ATT. The FTC’s argument was that ATT was not providing an “unlimited” service, which is what subscribers thought they were buying. After signing up the initial subscribers, ATT changed to tiered plans, under different contracts. And ATT neglected to inform the original customers – the ones who thought they’d purchased an unlimited plan – that they weren’t getting what they paid for.

But the FTC lost. To understand the complicated legal issues and why the FTC lost, you can read all about it here.

The implications are huge. The decision means that any company that creates or purchases either a phone company or an internet service provider (ISP) can escape federal consumer protection regulations entirely. This is particularly important for individual privacy and security matters, since the FTC currently is trying to impose comprehensive privacy and data security regulations on ISPs, and this decision may hamper that effort. After all, big data has been collecting for years now and there is so much data on millions, if not billions of people, the population are starting to understand the risks of their data security with many big companies.

The court decided that the FTC lacks authority to regulate common carriers. So, no matter how egregious the company’s conduct– even for false, deceptive, misleading practices, the FTC would be unable to do anything about it. Nor, at the moment, can any other federal agency.

The ATT case concerned regulation of advertising. But, since the court’s decision rejected outright the FTC’s claim to be able to regulate any activities of companies deemed to be common carriers, it is not limited to deceptive advertising alone. Facebook and Google already gorge themselves on your personal data and the decision prevents the FTC, the agency that has a track record of regulating privacy issues, from exercising any oversight of these activities (provided that Facebook and Google make the appropriate acquisitions or otherwise position themselves to qualify as common carriers).

So it’s time to wake up America! The steady erosion of your privacy and consumer protection rights continues under the flag of “the rule of law”. In the REAL world, the wealthy and powerful are often above the law. The Wall Street banking cartels committed mortgage fraud, foreclosure fraud, and securities fraud. They laundered money for terrorists and drug cartels. They rigged interest rates. Aside from stockholders paying token fines, no human was prosecuted for these massive, organized criminal activities.

Let’s groove to “I Fought the Law”, written in 1958 by Sonny Curtis of the Crickets, and later popularized by the Bobby Fuller Four who had a top-ten hit with it in 1966. It was also recorded by the Clash in 1977, and Green Day in 2004. In 1989, during the US invasion of Panama, the US military blasted loud rock music—including the Clash’s version of “I Fought the Law“, to pressure Manuel Noriega to surrender.

The guitar riff in this Bobby Fuller version sounds positively Hollyesque:

After this decision against the FCC, maybe in 20 years, instead of saying “he got railroaded”, we’ll be saying “he got telecommed”.

For those who read the Wrongologist in email, you can view the video here.

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Sunday Cartoon Blogging – September 4, 2016

Welcome to Labor Day weekend. This means that summer is over, and mercifully, there are only nine weeks until Election Day:

COW Labor Day IV.png

Donald Trump did a drive-through in Mexico. His souvenir sombrero says “Culero”.  For those who do not speak colloquial Spanish, Culero means asshole:

COW Culero

Some thought he looked presidential while with President Nieto, but then he looked more like an ultra-nationalist in Phoenix. A Trump advisor said that without enforced deportation, we would soon have a taco truck on every corner. America responded:

COW Taco Trucks

Even better, there were some estimates that a taco truck on every corner might deliver enough jobs to eliminate today’s US unemployment. Great idea Donald!

The Pant Suit did not have a good week. The FBI released some of the information they had collected while investigating the email issue. The outrage by those who believe Clinton is the worst candidate ever was palpable. Should we be buying it?

COW Bad Bag

OTOH, for many it’s just too much appearance of guilt:

COW Guilty Looking

49rs QB Colin Kaepernick has touched a nerve. It is surprising to see who is for and against his position:

COW Divided we Sit

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Happy Birthday to our National Park Service

100 years ago yesterday, Woodrow Wilson signed the bill that created the National Park Service (NPS). The National Parks are truly a great American resource, showing us nature in a near-pristine form, much as it might have been thousands of years ago. The parks also give us insight into places that are an important part of our national heritage, such as battlefields, or landmarks, like the Statue of Liberty.

There was a time in America when protecting our heritage through preserving open space was thought to be a civic duty. Alas, that is no longer considered a responsibility by recent Congresses. Obama has used the Antiquities Act as a way around the stasis in Washington, creating several national monuments.

The most recent is the Katahdin Woods and Waters National Monument in northern Maine. There have been calls for a national park in northern Maine for a very long time, but the lack of federally controlled land and the hostility of local residents who believe the timber industry is going to make a comeback, made it impossible to get a park designation. But Roxane Quimby, founder of Burt’s Bees, gave almost 90,000 acres of pristine land to the government to help make something happen.

Opinions in Maine were mixed. There are more than a few folks who want the land to remain available to the paper mills, should the paper industry ever return to Maine. Republican Gov. Paul LePage denounced Quimby’s donation:

That’s one way to get out of paying taxes to the state of Maine…It’s also an ego play for Roxanne Quimby and Senator Angus King. It’s sad that rich, out-of-state liberals can team up with President Obama to force a national monument on rural Mainers who do not want it.

Last time we checked Quimby and King were in-state liberals, and the land was given to America, not to Mr. Obama.

Of course, the NPS faces major problems on its 100th birthday. An NPR report indicated that the service is facing challenges like climate change, overcrowding, underfunding and relevancy. Regarding climate change, the parks are having to adapt to rapid changes as we saw in Glacier National Park, where most glaciers could be gone by 2030. The parks are trying to educate the public about climate change, despite continued hostility from Republicans who refuse to fund it.

Relevance is a big issue. Surveys show that the average park visitor is 41 years old and white, not the future of a young, diverse majority America that will be here about the same time as the glaciers disappear.

Finally, the number of sites managed by the NPS has grown from 35 in 1916 to 400 sites today. That has led to substantial deferred maintenance, and given that Congress is unlikely to come up with additional funding, the NPS is seeking corporate funding, and possibly sponsorship.

Imagine Yellowstone: brought to you by Coca-Cola…

This brings into question of the very meaning of the commons: If we sell sponsorships, who owns the Grand Canyon? Who decides how Glacier National Park should be managed?

But, in a world where the GOP won’t agree to fund the parks, that’s what you should expect.

On a happier note, here are photos taken on our final days in Banff National Park in Alberta, Canada. Here is Moraine Lake, a small, jewel-like glacier-fed lake, created by gigantic rock slide:

DSCN5657

The distinctive color is from the sunlight reflecting off of dissolved particles of finely ground rock called “glacial flour”. And here is a photo of Lake Louise in Banff:

DSCN5694

Lake Louise was named after Princess Louise Caroline Alberta (1848–1939), the fourth daughter of Queen Victoria. Apparently, the Province of Alberta is named after her as well. She never visited.

Here is a close-up of the Louise Glacier above the lake:

DSCN5676

The glacier is 300’ thick at the edge of the cliff wall.

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Sunday Cartoon Blogging – August 21, 2016

Although the Wrongologist cannot get newspapers, and only has occasional wifi, the news does not seem to have changed much in the past week. So, here are a few cartoons curated from the wilderness:

Aetna pulled out of Obamacare. Why are you surprised?

COW Aetna

Trump accused Democrats of exploiting Blacks at Minnesota Rally:

Clay Bennett, Chattanooga Times Free Press

Trump told CBS News:

I have seen them marching down the street essentially calling death to the police and I think we’re going to have to look into that…When you see something like that taking place – that’s really a threat, if you think about it. And when you see something like that taking place, we are going to have to perhaps talk with the Attorney General about it or do something.

He also painted the entire African American community as living in poverty with no jobs. Doesn’t that show he’s completely out of touch?

The Clinton Foundation’s practices continue to puzzle Clinton supporters:

COW Zip Line

Ryan Lochte and teammates entered the wrong event:

COW Lochte

Bonus cartoonage from Australia. They cover Trumpology:

Trumpology

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Final Day in Glacier Park

Today we begin at the end of the day’s journey. We left St. Mary for Many Glacier, and after a nice hike around Swiftcurrent Lake, we had lunch and drove into Canada. Our destination was Waterton Lake Park, one of the earliest Canadian National Parks. It is adjacent to and really, part of Glacier Park.

In fact, in 1932, the US and Canada created the world’s first International Peace Park: joining together Glacier National Park and Waterton Lakes National Park as the Waterton-Glacier International Peace Park. It was the first Peace Park, and today there are 170 of them. UNESCO designated the Waterton-Glacier International Peace Park as a World Heritage Site in 1995.

Waterton lives for the summer season. Its population is less than 90 people, and in the winter, the full-time population drops below 48 people.

We are staying at the Prince of Wales (POW) hotel. It was built in 1927. It is another of the Great Northern Railway hotels, a chalet-style place, without air conditioning, and which only recently added wifi. There are no TVs in the room. OTOH, you stay at the POW for the view, and here is the view from our room:

DSCN5516

Wrongo is looking out the window at that spectacular scene right now, and it is a fitting capstone to our time in Glacier. The day started in St. Mary, Montana. It rained quite hard yesterday, and while the temperature in town was in the mid-50s, down from the low 80s the day before, snow fell on the mountains around St. Mary. Here is a photo taken at twilight last night:

DSCN5460

We spent the morning at Many Glacier, an area within Glacier National Park located north of the Going-to-the-Sun Road, on the east side of the park. The Many Glacier Hotel, was also built by the Great Northern Railroad in 1915, and it fronts on Swiftcurrent Lake. The hotel sits in a bowl of mountains, the most significant of which is Mount Grinnell. Back in the day, people hiked the 12 mile round trip to view Grinnell Glacier, one of the most frequently photographed glaciers in the park. This means that there is a very well documented historical record of Grinnell’s glacier shrinking over the 176 years since the end of the little ice age in 1850. Grinnell is one of the many in Glacier NP that are likely to be gone by 2030.

Here are a few photos of the Swiftcurrent Lake area that were shot this morning. Here is the Lake with Mount Grinnell on the right:

DSCN5464

Finally, here is a shot across Swiftcurrent Lake. Mount Grinnell is to the left in this picture, and we are looking at a part of the Garden Wall that makes up the Continental Divide as we discussed yesterday:

DSCN5504

There was wildlife in abundance at Many Glacier. We saw bear scat while hiking around the lake, and later a couple traveling with us, saw a Grizzly Bear in the lake. There were Mountain Goats and Bighorn Sheep visible grazing on the slopes above us, and on the drive from Many Glacier to Waterton, we stopped to watch a Black Bear devouring berries, and for the ten minutes or so that we watched, the bear was totally oblivious to humans at the side of the road.

Tip: If you plan to cross into Canada, take Route 17 (Chief Mountain Highway). It is only open from May to September, at Chief Mountain Crossing. It had no traffic when we passed through.

Sources:

http://www.pc.gc.ca/eng/pn-np/ab/waterton/natcul/inter.aspx

http://www.glacierparkinc.com/lodging/prince-of-wales-hotel/information-and-policies/

http://www.albertasouthwest.com/waterton_lakes_national_park_community

https://en.wikipedia.org/wiki/Grinnell_Glacier

https://en.wikipedia.org/wiki/Little_Ice_Age

https://en.wikipedia.org/wiki/Chief_Mountain_Border_Crossing

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Glacier NP Musings

We stayed in Whitefish Montana for the first two days of the trip. It would be difficult to come up with a town that feels so welcoming and comfortable for tourists. It is a small place, with about 7,500 residents.

The town lives on tourists, with some 800,000 visiting this year in July alone. Anyway, notably nice people, and great food is on offer in the restaurants. We ate at the Tupelo Grille, and at 48° Latitude, both were fabulous. We spent today in the Lake McDonald area of the Park. We took a few pics.

First, on a hike on Beehive Mountain, we walked through an area that had burned in 2003, when 57,000+ acres went up after high school kids failed to put out their campfire. After the fire, plants and flowers grew in profusion. Here is a photo of fireweed, which only grows after the fire is out:

DSCN5149

We moved on to Lake McDonald. There is a fire near Missoula, some 137 miles away that had smoke drifting over the lake. So our photos were hazy, but here is a photo Wrongo took from a small boat:

DSCN5185Finally, we spent time at the Lake McDonald Lodge. It is run by Xanterra, who also have properties at the Grand Canyon, Zion, Yellowstone, Crater Lake and many other National Parks. The Lodge is an old property, built in 1913, and it’s located in a wonderful spot. We were struck by the huge chandelier in the lobby:

DSCN5205

The chandelier was designed by members of the Blackfeet Indian tribe almost 100 years ago. Here is a detail photo Wrongo took on Tuesday:

DSCN5201

You know Wrongo has to close with a political comment. Montana was the first state to send a woman to Congress. Jeannette Rankin was elected to the House in 1916, four years before women won the right to vote after the ratification of the 19th Amendment in 1920. She was a Republican and the only Congressperson to vote against the US entering both WWI and WWII.

Glacier Park had its 100th Anniversary in 2010. Visit it soon if you expect to see glaciers. They are forecasted to be gone by 2030.

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Trump’s Same ‘Ol GOP Tax Plan

Neil Irwin at the NYT compared the Clinton and Trump tax plans. Hillary’s raises taxes on the rich, and adds ~$1.1 Trillion to federal tax revenues over the next 10 years. The Pant Load’s plan is under revision (again), but, his old plan reduced revenues by ~$9.5 Trillion over the same period, and while his new plan will probably cost less, it will still create red ink.

Jared Bernstein had a few points which you might not have picked up on:

…the plan is pure, old-fashioned, supply-side, trickle-down orthodoxy. How that squares with Trump’s play for disaffected working class voters hurt by globalization is left as an exercise for the reader.

Bernstein’s best point is about the “pass-through” income loophole Trump creates. His new plan sets the top income tax rate at 33% but creates “a much lower rate than 33% for a substantial number of very-high-income households by allowing people to pay a new low rate of 15 percent on “pass-through” income (business income claimed on individual tax returns). According to the Tax Foundation, pass-through businesses now earn more net income than traditional “C” corporations (like GE or Ford). So of course, Republicans want to lower their tax rates. More from Bernstein:

More than two-thirds of all pass-through business income flows to the top 1 percent of tax filers.

And it will probably get worse: When you can pay a lower rate on a particular type of income, you will visit with a tax lawyer and set up a Limited Liability Corporation (LLC). Then off you go to the boss and say, as Bernstein points out:

“I’m no longer Joe Paycheck, I’m Joe Paycheck, LLC. Pay me the same salary but call it a consultant’s fee for services provided by my limited liability corporation”. Joe then passes that income through from the business to the personal side of the tax code and pays 15% on it.

Where Joe might have formerly paid as much as 39.5%. This will allow the hedge fund and private equity guys to move from paying a mere 24% that they pay on earnings today to 15%, if Trump gets the GOP-led Congress to go along.

Trump also wants to repeal the estate tax. Like the prior “improvement”, this one will benefit the Donald personally. The estate size that must pay estate taxes today is $10.9 million. So if a couple has an estate smaller than that, they pay no estate tax. How many are paying it? Only 0.2% of estates (that’s 2 in a 1,000) pay it today.

So none of these are the “small family businesses” and “family farms” that Republicans whine about. If you have the better part of $11 million in assets, you ain’t that small.

A minute more on the LLC: LLCs were created by Congress to give owners of businesses the ability to avoid “double taxation” on taxable income they receive from their businesses. The theory is, business income from a C corporation is taxed twice: once at the corporate level and again at the personal level when dividends are paid to owners. Businessmen could have avoided double taxation by simply operating their businesses as proprietorships or general partnerships. But then they would lose the limited liability protection from creditors that C corporations and limited partnerships provide.

So Congress created the LLC hybrid to enable businessmen to have their limited liability cake and eat it too. But you don’t get the same deal: Wrongo and Ms. Right have paid into Social Security for over a combined one hundred years. Along the way, we could not deduct our yearly SS contributions, which means we paid income taxes on the income that we used to make our contributions. Now that we are receiving Social Security payments, we pay federal and state income taxes again on the payments we receive.

If we use some of our Social Security income to buy gas, we are taxed again in federal and state motor fuel taxes. Same when we buy goods and services, and pay state sales taxes.

Double, triple and quadruple taxation are pervasive throughout our economy, but it’s only the average Joes that pay them. So no tears for Mr. Trump, the Kochs and “job creators” who say they need a break from double taxation.

Or maybe ask your Congressperson for a similar break for you.

Trump is cutting taxes for the rich. If you think he is gonna help the middle class, he is hoodwinking you. You may see a few pennies in tax cuts while the rich take in extra millions to buy bigger, better penthouse apartments.

Meanwhile, the roads and bridges that you use to get to work will crumble even further, because he’s planning to give away the store. Paying your taxes is extremely important and new rules will mean a new way of getting this done, so before you worry, take a look at a tax planning Winnipeg lawyer or one in your state to discuss on how you can plan out your taxes better and keep up to date with any changes.

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