Senator Sherrod Brown (D-OH) has a Progressive’s grasp of economics: corporations are evil, and bureaucrats could micromanage the world to perfection with just a little more money. Though Sherrod – like President Obama – isn’t specific about his approach to sustainable big government, what if we used the class-warrior’s dream scenario of doubled corporate income taxes and fully “reclaimed” CEO pay? Starting with just the 2011 deficit of $1.62 trillion, how fast could we balance the budget with a little extra from the kings of the S&P 500 index?
Shown below: the 2011 federal budget deficit, and the 5.894% slice that would result from dramatically increasing taxes on twenty-six of America’s largest employers (view source workbook). That’s a reduction from $1,620,000,000,000 to $1,524,512,443,940.
Even if soaking a few hundred more corporations could cover the remaining 94.106% of the 2011 deficit, would it be worth it?
Of course it would! As any Progressive will tell you, raising taxes on The Rich has no negative effects. Among the things that won’t happen if Sherrod Brown and President Obama tax their way to the chart above:
- None of the corporations’ 5,241,561 employees will lose their jobs.
- None of the corporations’ products or services – health insurance, prescription drugs, medical devices, food at supermarkets & restaurants, gasoline, business & consumer lending, construction equipment, air travel, shipping, national defense, cell phone service, broadband access, fast food, the thousands of items available at Amazon.com & Wal-Mart, toothpaste, diapers, detergent, baby soap, Band-Aids, movies, television, newspapers, computer software, iPods, laptops, servers, networking equipment, etc. – will get more expensive.
- None of the funds or individuals holding the corporations’ 64,042,800,000 shares of stock will be ruined… unless they deserve it!
- None of the world’s entrepreneurs or executives will stop investing in American businesses.
It’s a good thing raising taxes is an all-around win... otherwise, Ohioans would need to start looking for a senator with more sense than Sherrod Brown!
Cross-posted at that hero.