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Americans, Wealth Distribution, and Income Taxes

Last week, in Wealth Redistribution, Socialism, and the Tax Law, I wrote:
The notion that believing in taking from the haves and giving to the have nots makes a person a socialist means that almost every President elected since 1913, and almost every member of Congress elected since that time, is or was a socialist. How do I develop that reading of the GetLiberty assertion? The federal income tax usually takes something from the haves and redistributes it to the have nots, though in recent years it also has taken from the have less and provided more to the already haves. Since 1913, the executive and legislative branch of the federal government has enacted, amended, and administered a progressive federal income tax. Seen in this light, the notion that Obama, or anyone else supporting the progressive federal income tax, is a socialist, is a total canard, a misleading sound-bite designed to mislead those who are emotionally predisposed to dislike taxation.
From what one hears from those trying to equate wealth redistribution through a progressive income tax with socialism, it might appear that wealth distribution through progressive income taxation is some un-American plot by a small group intent on accomplishing something to which most Americans are opposed.

Perhaps to the surprise of some, but surely not to the shock of many others, a recent Gallup poll tells us that 58% of respondents concluded that the current distribution of money and wealth in the United States is not fair and that money and wealth should be more evenly distributed among a larger percentage of the people. Gallup has been asking this question for two decades, though surely its appearance as a hot button topic in the current election prompted Gallup to ask it again. Whenever it has been asked, a majority of those asked the question reached the same conclusion as did the majority of respondents during the most recent questioning. Gallup also asked if wealth should be redistributed through "heavy taxes on the rich," but only 46% of those responding to the poll agreed. Precisely one-half disagreed. These numbers do not differ significantly from the results when Gallup has asked the question in the past, though earlier this year 51 percent agreed.

Unfortunately, at a time when the country needs to be unified, Gallup's follow-up questions demonstrate the depth of the chasm that divides the populace. Among Republicans, roughly two-thirds think that the current distribution of wealth and money is fair, whereas only one-third of independents and 13 percent of Democrats agree with that conclusion. Among Republicans, only 17 percent agree with the proposition that wealth should be redistributed through heavy taxes on the rich, whereas 47 percent of independents and 75 percent of Democrats agree.

Gallup managed to combine the answers to these questions to determine that 41 percent of Americans are what it calls "strong redistributionists," namely, "those who say money and wealth should be more evenly distributed and that the government should do so with heavy taxes on the rich." Another 15 pecent are "non-government redistributionists," namely, "those who say money and wealth should be more evenly distributed but that the government should not attempt to do so with heavy taxes on the rich." That leaves 32 percent who are "anti-distributionists," namely, "those who say the current distribution of money and wealth is fair and who oppose heavy taxes on the rich." Four percent replied that current distribution is fair but that the government should heavily tax the rich. The others replied "don't know" to one or more of the questions.

What this poll tells me is that if opposition to the current distribution of wealth, agreement with the proposition that the tax cuts for the wealthy should be repealed, or both, makes a person a socialist, the majority of Americans are socialists and have been so for many decades. It ought not be surprising that a majority of Americans look at what tax cuts for the wealthy have accomplished and conclude that it isn't something beneficial for the nation. This issue may not be the sole factor in tomorrow's vote, but it certainly appears to be the principal issue. We'll know late tomorrow evening the extent to which saving the wealthy from the proposed repeal of their tax cut mattered to the electorate.
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