15 October 2012

Bar Stool Economics

BAR STOOL ECONOMICS Suppose that every day, ten men go out for beer and the bill for all ten comes to $100 and they paid the 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. "Since you are all such good customers," he said, "I'm going to reduce the cost of your daily beer by $20." So drinks for the ten now cost just $80. The group still wanted to pay their bill the way we pay our taxes so the first four men were unaffected. They would still drink for free...but what about the other six men - the paying customers? How could they divide the $20 windfall so that everyone would get his 'fair share?'. They realized that $20 divided by six is $3.33. But if they subtracted that from everybody's share, then the fifth man and the sixth man would each end up being paid to drink his beer. So, the bar owner suggested that it would be fair to reduce each man's bill by roughly the same amount, and he proceeded to work out the amounts each should pay. And so: The fifth man, like the first four, now paid nothing (100% savings). The sixth now paid $2 instead of $3 (33%savings). The seventh now pay $5 instead of $7 (28%savings). The eighth now paid $9 instead of $12 (25% savings). The ninth now paid $14 instead of $18 (22% savings). The tenth now paid $49 instead of $59 (16% savings). Each of the six was better off than before...and the first four continued to drink for free. But once outside the restaurant, the men began to compare their savings. "I only got a dollar out of the $20,"declared the sixth man. He pointed to the tenth man," but he got $10!" "Yeah, that's right," exclaimed the fifth man. "I only saved a dollar, too. It's unfair that he got ten times more than I!" "That's true!!" shouted the seventh man. "Why should he get $10 back when I got only two? The wealthy get all the breaks!" "Wait a minute," yelled the first four men in unison. "We didn't get anything at all. The system exploits the poor!" The nine men surrounded the tenth and beat him up.
The next night the tenth man didn't show up for drinks, so the nine sat down and had beers without him. But when it came time to pay the bill, they discovered something important. They didn't have enough money between all of them for even half of the bill! And that, ladies and gentlemen, journalists and college professors, is how our tax system works. The people who pay the highest taxes get the most benefit from a tax reduction. Tax them too much, attack them for being wealthy, and they just may not show up anymore. In fact, they might start drinking overseas where the atmosphere is somewhat friendlier. David R. Kamerschen, Ph.D. Professor of Economics University of Georgia For those who understand, no explanation is needed.. For those who do not understand, no explanation is possible.

07 October 2012

Social Climate Change: Save the country by cooling it back off

Cool and comfortable conservative America has been polluted with the hot CO2 of liberalism...choking on the stinking exhaust of the whining voices of takers based mainly NOT in the plains.
Americans must right away stop doing all the things that make our country less habitable for humans...I mean we are all happier in successful family units, with the structure of law, with the nobility of leadership who know humility and honor... We must make sure not to crap where we eat...so listen up libs: You've must not drive your SUV's anti-American eco-agenda out in public. You must include gay lifestyle, white privilege, and the Koran respect for others, Constitutional study, and American heritage in public schools. You must accept an egomaniac in the White House, a corrupted federal justice, and inherently incomprehensibly disabling foreign policy a good guy in the White House, founding principles, and leadership through strength in our world. So no more polluting the airwaves and society at large with your hairy-pit-chick putrid garbage-stink. Pick it up don't pass it up. Expect to put in an honest day's work for an honest day's pay. And plan to take responsibility for yourself and your own decisions...that's only fair (and kinda like survival of the fittest which is natural!) Time to clean up, work hard, and set things Right.