In the simplest terms if we imagine that the US. Government needs $10 to run the country. $7 would provide health care, education and social security among other government funded services. $3 would be set aside to pay for defense and eliminate the national debt.
Consider this scenario:
Exon charges $4 for fuel, which forces people to become more conservative in travel. The reduction in travel provides fewer opportunities for consumer spending and forces businesses to cut back on jobs. The government can’t tell the oil company how much it can charge for oil so it combats this by asking Exon to give back $1 of the $4, then returns it to the people as an incentive to travel some more. This reverses the loss of jobs and the spiraling decline. Here we see the difference between a Romney approach and the approach of the president. A Mitt Romney America promotes a universal tax system, this means that Exon would pay the same rate as the people that they are ripping off. This does not provide any incentive to regulate the prices of fuel and cuts out of the $10 the government needs even more. This means that the $7 of services must be cut or the $3 in debt and defense spending slashed to balance the scales. If everyone gets a tax cut then no one gets a tax cut. The wealthy are notoriously frugal stashing their billions into solid assets, hedge funds and other investments with predictable returns or foreign bank accounts to hide them from the government. Their increased revenue does not help the economy because it leaves circulation and drives the economy into a deeper recession.
Obama’s America would promote tiers of rates, here the greater the revenue earned the greater the responsibility to pay back to run the country. Exon now pays a $1.25 and the additional quarter reduces the taxes of the middle class. More money in their pocket actually does get circulated into home repairs, new cars, paying for college or taking a vacation; and the whole world starts to run again. In Obama’s America, Exon would now be forced to invest more of their earnings on job creation or other areas which would reduce their tax liability. This not only increases revenue to government but it also creates jobs, which in turn add taxable revenue to the total needed by the government there by returning the US to the surplus it enjoyed under President Clinton.
We finally freed ourselves from the grip of a system where politicians spend millions to buy a seat, lace their pockets and the pockets of their friends with government contracts and tax cuts at the expense of everyone else. Why would we run back to lies, and uneven scales and balances.
17 And it came to pass, when Pharaoh had let the people go, that (18) God led the people about, through the way of the wilderness of the Red sea
21 And the LORD went before them by day in a pillar of a cloud, to lead them the way; and by night in a pillar of fire, to give them light; to go by day and night:
22 He took not away the pillar of the cloud by day, nor the pillar of fire by night, from before the people.
In Exodus 14 the Israelites begin to grumble for fear of the journey and wished to go back.
12 we did tell thee in Egypt, Leave us alone, that we may serve the Egyptians? For it had been better for us to serve the Egyptians, than that we should die in the wilderness.
13 And Moses said unto the people, Fear ye not, stand still, and see the salvation of the LORD, which he will shew to you to day.
14 The LORD shall fight for you, and ye shall hold your peace.
15 And the LORD said unto Moses, Wherefore criest thou unto me? speak unto the children of Israel, that they go forward:
When they took the step forward the path opened up through the Red sea.
19 And the angel of God, which went before the camp of Israel, removed and went behind them; and the pillar of the cloud went from before their face, and stood behind them:
2 And the whole congregation of the children of Israel murmured against Moses and Aaron in the wilderness:
3 And the children of Israel said unto them, Would to God we had died by the hand of the LORD in the land of Egypt, when we sat by the flesh pots, and when we did eat bread to the full; for ye have brought us forth into this wilderness, to kill this whole assembly with hunger.
They could not handle the journey through the wilderness. It was too long, they missed their meat and bread, they grumbled for comfort. Almost there, just a little further to the land of milk and honey. We’ve been on this journey for a very long time, we can’t turn back now.