Written and Published by Han Institute, June 26, 2013
My Proposal to Enrich USA Revenue
Why is it so important to legalize illegal immigrants in order "to raise revenue" (by taxing them), without being concerned that furloughing existing US workers will decrease revenue (less salary to tax)?
The statement "4 months after sequester & the economy continues to improve" is being made, but is ridiculous on many counts: The worst part of sequestration hasn't really started yet. Cutting the pay of 800,000 people by 20% will not improve the economy; you don't need a PhD in Economics to figure that out. Most serious economists say that sequestration has already slowed economic growth, from about 3% down to 1.9%.
They might as well say "2 1/2 months after the Boston marathon bombing and the economy continues to improve."
Sequestration cuts $85 billion out of FY2013 budget This is the same amount for Sandy Relief Fund. New York Wall Street politics trump the entire well being of the government staff. The smear campaign has done a great job in undercutting government civilians' image and rights. You rarely hear the good works for satellite images provided by federal workers for flooded zones. It is a concerted effort of many, not a whimsical, strike gold gadgets. No one is becoming a billionaire by being a US DoD civilian, although they work just as hard to ensure the networks and systems run smoothly from end to end.
The data is that 2/3 of the economy is consumer driven, so policy should focus on putting more money back in the consumers hands, rather than taking it away.
1) Increase DoD Defense civilian pay by 10%. This is because they have been suppressed by a pay freeze since January 2010. This will give middle class consumers the power to spend, putting money back into the economy.
2) Take top civilians in high technology field to convert them to private industry, this will increase these people's pay significantly, which will be taxed and increase tax revenue.
3) Congress needs to reform the tax code to eliminate loopholes and repatriate offshore corporation taxes, such as Apple using Ireland as a tax haven. Implement the Buffett rule, so that the wealthy cannot avoid paying taxes. This will decrease the deficit so that the current extreme disorderly across-the-board cuts can be avoided.
4) Make illegal immigrants with degrees pay a fair fee to become citizens, this will raise revenues. This will increase the ratio of busy workers to those retired consuming government benefits.
We can't afford to only take care of illegal immigrants while turning a blind eye on the mainstream Americans.
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