The economist for President Kennedy, John Kenneth Galbraith, supported lowering the tax rate on the wealthy from more than 90%. He later rote many books saying that should only seldom be done and that the tax cuts under Reagan should not be done.
The Budget Director for President Reagan who promoted reduced marginal rates on the wealthy , David Stockman, has been on CNN, CBS 60 minutes and other major network interviews recently saying that taxes on wealthy should be increased. By the end of the Reagan administration the tax rates had been raised.
Recent polls report that more than 50% of population do not want to extend the cuts for the wealthy.
Empirical evidence shows that tax cuts on the wealthy do not stimulate the economy but may in fact depress it. See the charts I posted earlier.
Reports are that $ trillions are now available from banks, funds, venture capitalists and the wealthy for good investments. The argument that there is insufficient capital for investment is specious. The problem is lack of demand not lack of supply.
The wealthy do not support reduced taxes on themselves, at least those who are willing to speak about it including Bill Gates, his father and Warren Buffett.
Reported estimates are that only 30% of money from tax cuts to the wealthy actually enter the economy. So they are depressive not expansive. Tax cuts to the lower income segments including unemployment benefits are all spent and are reported to create $2 of activity for $1 spent.
So, who is it that really wants to see the taxes reduced on those making more than $1 million? It seems to only be the Republicans in congress and what James K Galbraith (economist like his father John Kenneth Galbraith) defines as the Predator Class. See his book, "The Predator State." The Congressional Republicans appear to be servants of this Predator Class.
