Many
people may wonder how a nation founded on liberty, and
with a government whose purpose was
to preserve that liberty,
could turn into the socialist-democracy
we have today. The
onslaught of socialist programs and
huge government bureaucracy is
enabled by and intertwined with our
current system of taxation.
As
originally adopted, the U.S. Constitution allowed for
three ways in which the federal government
could fund itself:
Tariffs, Duties, and Excise (sales)
taxes. However, in 1913 the
16th amendment to the constitution allowed
the federal government
to tax INCOMES, both individual and
corporate. It was this one act
which opened up the floodgates for socialism
and huge government
bureaucracy.
Prior to this amendment, the permissible forms of taxation
bore the same burden on everyone. Tariffs
and sales taxes affected
everyone equally. However, the income
tax allowed the government
to tax people differently, affecting
some more than others.
During the depression, politicians realized they could win
elections by promising entitlements.
How would these programs be
paid for? By taxing the higher-income
minority of the country at
very high rates while simultaneously
taxing the lower-to-middle
income majority little or nothing at
all. Since those who pay the
tab are in the minority, it is safe
to say that they will be
unable to stop the process. With this
method, the government
became a tool of wealth redistribution,
taking from those who have
to give to those who have not.
This type of system has continued to
this day. Tax the high
income minority 70% while taxing yourself
little or nothing at
all. Elect someone who will tax someone
else while promising you,
or some deserving soul, something "free"
from the government: free
healthcare, free daycare, and various
other entitlements.
Socialism works in America and elsewhere
simply because those who
supposedly "benefit" outweigh those
that have to pay for it.
Shortly
after the American Revolution, Alexander Tytler
warned that "A democracy can not exist
as a permanent form of
government. It can only exist until
the voters discover that they
can vote themselves largesse from the
Public Treasury . . . with
the result that a democracy always collapses
over loose fiscal
policy."
The
founders warned us against this inevitability. That is
why they prevented direct forms of taxation,
such as the income
tax, which enable wealth distribution
by taxing people at
different rates.
A
complimentary fact, and one that many Americans marvel at,
is that the ownership of property (real
estate) was originally a
requirement for voting in elections.
While I am not necessarily
advocating this position, the reasoning
behind this can be found
by looking at the writings of the time.
One of the main justifications given by the Founders for
property requirements in voting was
that propertyless people would
tend to vote to violate the natural
rights, and particularly the
property rights, of others. Thus the
Massachusetts Convention
explained the property requirements
in that state's1780
Constitution in terms of suspending
the right to vote of those who
will pay less regard to the rights of
property because they have
nothing to lose. Those who accept government's
free offers have
nothing to lose and everything to gain.
And, in a bit of prophesy,
John Dickinson stated bluntly at the
Constitutional Convention,
"Property requirements are a necessary
defense against the
dangerous influence of those multitudes
without property and
without principle, with which our country
will in time abound."
Can
anything be done to reverse the current path of
escalating socialism? Unfortunately
I am not optimistic. The key
is to get the public to recognize the
concept that people who Earn
an income should be allowed to Keep
that income. That to take what
is earned is to act unjustly. People
will also have to realize
that this theft will not be a panacea
for all of society's
problems, but instead serve only to
burden the society and empower
the state.
Many people may point to the legend of Robin Hood as a model
of the socialist cause, with his credo
"Take from the rich and
give to the poor". However, it is interesting
to note that the
rich targeted by Robin hood were the
rich of the government who
had earned their wealth unjustly; who
took the money earned by the
people through unjust taxation. In fact,
Robin Hood took the
unearned wealth and returned it to those
who had earned it. In
fact, Robin Hood is a model for the
justice of letting those who
Earn wealth Keep it, and fighting against
the unjust taking of
wealth by corrupt governments.
The
difficulty of combating the politics of wealth
distribution has been recognized for
centuries. Before the time of
Christ, Socrates recognized "You must
redistribute wealth and
power and privileges, taking from some
individuals and groups and
giving to others. If you follow this
policy you will always have
many allies and few enemies". (Plato's
"Republic", Book IV).
Fortunately though, Athenians realized the wrongs of a
"parent-state". Socrates : "...would
you not agree that a man
shows himself to be base and ill educated
if he feels compelled to
surrender the care and custody of his
own body and soul to others,
who then become his masters and judges
because he is unable to
master and judge himself?" Glaucon:
"I agree. That is the most
shameful thing of all." (Plato's "Republic",
Book III).
Can
the tide of socialism in the world be turned? Whatever
the outcome, it is sure to be a long
and uphill battle. I am
convinced that the surest course is
the creation of a new
libertarian state, whereby there might
be at least one nation on
earth free from the spectre and injustice
of socialism and
excessive taxation.