In reading this article today on how both Romney and Obama are fighting for a core constituency of the upper middle-class who earn less than $250K/year, but are close to that figure, what I wonder is this: even if we combine all of the small business owners and “the rich” as a coalition, that group represents a minority of voters in this country – a small minority. Since most small business owners incorporated as Sub-S corporations, their profits are reported on their personal income tax statements. I promise you, the way the government figures profits and the way the rest of us figure profits are two different things.
Many small business owners will be over the $250K/year income on paper, so they are the evil, rich, oppressive people who are not paying their fair share to support the needs of this great country. But if you tax them enough, they won’t have enough profits to reinvest in plant and equipment or hire additional people.
My question is this: Does anyone really care? I heard Limbaugh say the other day that the economy is not pivotal in the minds of many voters now because even if they are unemployed or underemployed, the government takes care of them, so they don’t feel the same pain they might have felt 20 or 30 years ago. I don’t know if I agree with him to the degree that he presented his idea, but there is something to that.
People are not outraged at the state of our economy. I sense that people are just accepting this structural unemployment, trillion dollar/year deficits and the notion that we’re all going to hell in a handbasket. It pains me to see this.
Does anyone care? If the government sticks “it” to ~4M people in order to make a larger portion of the population feel better, will anyone care other than the 4M people who got shafted? I think my answer is “no”. The class warfare that has existed in this country for my entire life and has been significantly intensified by Obama has divided this country to the point where people honestly don’t care about those deemed evil by the current administration.