MONEY CULTURE

What Are Rich People Thinking?

Why the wealthy voted for Obama and higher taxes.

By Daniel Gross | Newsweek Web Exclusive
Nov 10, 2008 | Updated: 1:20  p.m. ET Nov 10, 2008

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  • Posted By: Comrad_AnchorBaby @ 03/20/2009 7:02:19 AM

    The productive doctors, lawyers, engineers, and research scientists earning the $250k+ are too busy to have babies. Meanwhile, 40% of the ongoing baby boom are unwed mothers, a large amount having "Anchor Babies" to earn citizenship. I witnessed this firsthand living in central Los Angeles 7 years. The parasites are breeding, and slowly killing the host as they continue to make unproductive copies of themselves. As the nation spreads the wealth, "rich" will drop lower and lower.

  • Posted By: nickgr @ 11/15/2008 7:28:05 AM

    Yuppies & dinks split 55-45. That is no "identification ".

  • Posted By: 2gofer @ 11/14/2008 4:14:07 PM

    The "yuppies" and "dinks" identified with Obama, and voting for one of their own was more important to them than tax policies and impact on the economy. .

    • Posted By: Slammer60 @ 11/14/2008 6:37:22 PM

      Your comments make no sense at all. DId you want to continue on the same road we've been on the last 8yrs.? Before long, we'd all be working at McDonald's, if we were lucky. I'm a Republican, but not stupid.
      If you can't see we needed a change, other than McCain and Palin, you must be a farmer with a few thousand acres.

    • Posted By: Slammer60 @ 11/14/2008 6:31:18 PM

      You make absolutely no sense with your comment. Did you want to keep going in the direction the "RP" has sent us these last 8 years?? We won't even be able to get a job a McDonald's before to long. I am a Republican!

  • Posted By: mav333 @ 11/14/2008 2:11:32 PM

    Daniel Gross humors me with his demonization of those making $250k or more. I'm not in that category but I don't begrudge them their right to make or have money. Why does Gross try to make them seem more evil for making "one-quarter of $1 million per year?" If I said someone made one-quarter of $100,000 per year, it's an attempt to inflate their perceived income to proportions that induce disgust. Sad that Obama wants to unite red and blue, black and white, but he's not above exploiting class warfare. Shouldn't Gross by thanking these "evil yuppies" for helping elect Obama and providing the capital for his socialist plans rather than going on a hate-fuelled tirade against them?

  • Posted By: mav333 @ 11/14/2008 2:10:14 PM

    Daniel Gross humors me with his demonization of those making $250k or more. I'm not in that category but I don't begrudge them their right to make or have money. Why does Gross try to make them seem more evil for making "one-quarter of $1 million per year?" If I said someone made one-quarter of $100,000 per year, it's an attempt to inflate their perceived income to proportions that induce disgust. Sad that Obama wants to unite red and blue, black and white, but he's not above exploiting class warfare. Shouldn't Gross by thanking these "evil yuppies" for helping elect Obama and providing the capital for his socialist plans rather than going on a hate-fuelled tirade against them?

  • Posted By: cryiu @ 11/14/2008 11:48:21 AM

    I think the issue isn't about taxes but about building wealth. As my father, said is better to have to worry about paying taxes than to not to at all. At this point, I have lost enough money from the stock market and the real estate area to not worry about paying a lot of taxes, regardless of the guidelines. I think those of us who are relatively well off, understand that we need to worry about raising all boats and not just our individual situations. If everyone is well of, then we all are. The totally unregulated capitalism under Bush does not fall under any fiscal conservatism at all. Free markets are great, but just like politics, greed corrupts and to let it go unfettered is idiotic. Greenspan's comments about a flaw in his theory is correct. Human nature is something that should be controlled. That is why societies have rules and regulations and allows us to work interactively with each other. It is his academic hubris which helped push us into this. I am a fiscally conservative, socially moderate individual who likes small government. However, there is a role for government and the Bush Administration has totally abdicated its responsibilities while focusing on just one area and they have done a poor job in that area and just come up with slogans to appease and lead the masses. It will be an interesting 10 years since anyone who thinks this is going to reverse quickly is fooling themselves. We have structural problems that need to be fixed and it will be terrible to leave our children with this legacy.

  • Posted By: mysticsage921 @ 11/13/2008 3:29:56 PM

    I have to agree with nickgr. Our survival rate of leukemia and many other diseases are much higher. Furthermore, how many Canadians cross the border to get surgery here... their waiting list is too long. Also, I am not paying 50 Grand a year in education to pay the bulk of the taxes in the future. That's ridiculous. We are not socialists.. what ever happened to the invisible hand? By the way, that top 1% already pays almost ALL taxes. It's insane to make them pay more...

  • Posted By: nickgr @ 11/13/2008 2:17:21 AM

    $ 250K is enough for the characterisation " rich "...

    WHO is infested by antiamerican socialist " intellectuals ",USA health care is #1,whoever doesn't like it can go to other countries & taste the medicine...

  • Posted By: Mwalimu @ 11/13/2008 12:35:49 AM

    Maybe some rich folk have actually read Adam Smith. Remember, the God father of capitalism? Surprisingly enough, Smith insisted that every citizen should be proud to pay taxes. They should be glad to pay back something to the society and government that enabled them to prosper. Smith also believed that because richer citizens prospered more, they should be willing to pay higher taxes. (Progressive taxation.) He also did not like poverty very much. It was a drag on prosperity. Therefore, society should try to eliminate poverty.
    Smith's principles apply today. If we spend tax dollars to rehabilitate the homeless (who infest my neighborhood), they can become tax paying citizens. That's much cheaper than the endless cycles of police sweeps, jail and county hospital that is going on now. If we provide children in inner city schools with scholarships, then you'll have fewer felons to lock up. Universal health care is cheaper than the dysfunctional system of medical care we have now. (According to the WHO, we rank number 1 in terms of expense, but # 37 in terms of quality of medical care. Cuba, our arch-enemy ranks 39.They might actually catch up with us!!!)
    I think you get the idea. I favor adding an extra-surcharge to the taxes of the super rich. The top 1%. Those are the people who gave us this economic mess.They should pay the damages. If we treat the rich this way, perhaps they will behave more responsibly.

  • Posted By: vince_90745@yahoo.com @ 11/11/2008 7:40:01 PM

    Well, if we wanted a change & the people voted for it, let's see what happens. I think in the end everyone who is making over $100K will be paying some more tax. In CA we will soon be paying more sales tax. What we need most are jobs. Without people working there is no $$$ going into the economy. We cannot give people money & expect them to spend it. That's one reason we are in trouble, people spending more than they make. I think Obama will create more gov. jobs like FDR. I already see that in CA as bonds pass to bill trains, fix schools, etc.. I don't like that idea because it's something all of us are paying for in taxes.

    • Posted By: olderwiser @ 11/11/2008 8:21:07 PM

      Vince, I may not completely understand. Do you mean that you don't want roads and such because you will have to pay a tax? Corporations don't build those, you know. It's governments that build them and the only source of money to do this is tax.

      • Posted By: vince_90745@yahoo.com @ 11/11/2008 10:57:08 PM

        I don't mind improving our roads and infrastructure. What I'm worried about is that we continue to spend without facing the harsh realities that we must make some cuts. We continue to create more debt for our children. I belong to the middle class & don't mind paying a little more tax to get things done, but we have to look at melting some local and federal government positions that don't require 5 people to do. I'm asking that we need to make some hard decisions that will make us a better country for the future of our kids.

        • Posted By: Kermudge @ 11/12/2008 12:45:50 PM

          There are many hidden benefits that businesses receive in tax breaks for locating in a community, tax increment financing, roads, improvements funded by public coffers, etc. There are many ways to milk the system that are available to those with influence, that are not available to the middle class. Look at what was happening to the incomes of the richest Americans under the Bush administration. It had to callapse because the people paying the bill, the middle class, were tapped out.

          The very rich will lose money, but they will not be distitute. The people who will suffer under the collapse are the people who don't have the large bank accounts to tide them through this period.

          Yes, worry about the "poor rich people" while your neighbor loses his job, can't stay in his house, can't put his kids through school, can't even pay his doctor bill.

          The Republican Party has sold us a bill of goods by insisting that the people who "deserve" the breaks are those who deign to employ the ungrateful workers. Now we're seeing that it's the other way around. The rich need the middle class to do the work and to buy the goods. Without a viable middle class it all comes crashing down. You can try to build a house by putting up the roof first and hope it trickles down to form a foundation, but it makes a whole lot more sense to build the foundation first--protect the middle class.

          • Posted By: tracyruns262@netscape.net @ 11/12/2008 5:24:28 PM

            It is not about the Poor RIch People - It is about anyone making over 90K who- especially if they are single will have the living crap taxed out of them!!!!

            • Posted By: olderwiser @ 11/12/2008 11:00:58 PM

              Hey, good deal. Pay them the "living crap" and keep your money. The IRS is very kind to those with such original ideas about how to pay their due taxes. Good luck. Oh, I would use a baggie before you put it in the envelope.

  • Posted By: awash @ 11/12/2008 10:51:32 PM

    The Dem's put out a highly educated smart strong ticket this time. The GOP???s McCain had no plan and Palin had no clue. The country is in such bad shape financially, morally, and image wise it had to change. The sorry state of this nation???s money has finally hit the burbs and rural America. It's no longer just the poor huddled masses in the urban centers. We have allowed almost the entire manufacturing base to be moved to third world countries, often with accompanying tax breaks to the companies selling out working class America. But now outsourcing is in the process of decimating the American dream for middle and upper-middles class America. It finally got so bad that white America was willing to overcome whatever prejudices and fears they had at least temporarily. When your job has been outsourced, when your car now belongs to the repo man, and you are living with your in-laws because your ARM adjusted up so high that you can't pay. "GREEN TRUMPS BLACK", at least for a while.

  • Posted By: kugelscriber @ 11/12/2008 9:37:38 PM

    Are you so certain that the polling was correct? Were the polled required to submit their tax returns? I have a gut feeling people will lie more about income and job stature than most anything else. One would have to be a fool to practically beg someone to take their money. I would like to keep mine. My wife, daughter, and I have worked VERY hard and sacrificed much. We don't deserve to have our wealth taken and "redistributed".

  • Posted By: nickgr @ 11/12/2008 3:18:14 PM

    Progressive taxation is the symbol of socialism.

    " Fairnesss " is achieved only by a proportionate tax system.

    2X the income,2X the taxes,10X the income,,10X the taxes.

    The disproportionate progressive system is an anti-rich hate scheme.

    • Posted By: awash @ 11/12/2008 7:50:29 PM

      America should lower taxes on people making more than $500K. Eliminate all capital gains, corporate taxes, and estate taxes. We should institute taxes on those making less than $40K to help make up the difference. Regulation of Hedge funds and all other creative forms of investment should cease immediately.

  • Posted By: awash @ 11/12/2008 7:43:54 PM

    The Dem's put out a highly educated smart strong ticket this time. The GOP???s McCain had no plan and Palin had no clue. The country is in such bad shape financially, morally, and image wise it had to change. The sorry state of this nation???s money has finally hit the burbs and rural America. It's no longer just the poor huddled masses in the urban centers. We have allowed almost the entire manufacturing base to be moved to third world countries, often with accompanying tax breaks to the companies selling out working class America. But now outsourcing is in the process of decimating the American dream for middle and upper-middles class America. It finally got so bad that white America was willing to overcome whatever prejudices and fears they had at least temporarily. When your job has been outsourced, when your car now belongs to the repo man, and you are living with your in-laws because your ARM adjusted up so high that you can't pay. "GREEN TRUMPS BLACK", at least for a while.

  • Posted By: ppits @ 11/12/2008 10:14:10 AM

    While "country first" is important in terms of defense and protection against terrorism, I agree that the economy should be our number one issue. I'm sorry to say that I voted for Bush and feel that he neglected the economy in every way. I don't even know that Obama creating jobs is nearly as import as retaining the existing jobs. We are in jeopardy of running to 10 % unemployment rate for those that WANT to work, let alone those that are enjoying the benefits of unemployment and looking forward to extended unemployment benefits through Obama. I'm always in awe at how many economic experts there are in this world. They all seem to surface at election time. Everyone from journalists through housewives know everything there is to know about the economy, and yet it all comes down to ME. What will be the best for ME. I'm confused why people who make more than others are talked about as criminals. The disparity in taxes should be a reason to THANK those instead of criticisizing them. Yet no politician has ever had the courage or humility to thank those for paying more taxes than everyone else. When a governement declares how much money is too much for one individual, and they raise taxes against them, that is the end of democracy. I laugh when I hear people say that America is a Democratic nation. It hasn't been for years. People worry about Obama making this a Socailist society, yet it's been heading in that direction for many years. Everything you read points to those making over $200,00,00.00 as the scum of the earth for doing no more than sacrificing in life to succeed. Shame on them for achieving.. This is the story of the 3 little pigs all over again.

    • Posted By: kas_wolf @ 11/12/2008 6:04:14 PM

      Want more jobs in the US? Take a look at Ireland.

      Cut corporate taxes from the 2nd highest in the world to the 2nd or 3rd lowest and you will see companies flock here like never before.

      Cutting taxes increases jobs. Rasing taxes cuts jobs. simple stuff really.

      • Posted By: ppits @ 11/12/2008 7:14:28 PM

        It is simple stuff. They need to quit blaming big business and the wealthy, and let common sense prevail..

    • Posted By: asdfjkl @ 11/12/2008 10:22:07 AM

      Amen.

  • Posted By: midwest3232 @ 11/12/2008 8:55:11 AM

    Maybe you should consider the fact that people of intelligence in this country are sick and tired of being asked by the republicans to vote for people that are not qualified to run a country and lack the intellectual curiosity to take our country into the future. To have nothing more to say other than less taxes and smaller government is not an inspiring message in these troubled times and really says nothing towards how we (as a country) are going to solve difficult problems. To put it simply - maybe we are refusing to vote for anyone who we believe is stupider than us. Let's call that the acid test for the presidency in this new century.

    • Posted By: kas_wolf @ 11/12/2008 6:05:48 PM

      Hahahahahahahah....so, Obama is more qualified? hahahahahahahh. Stop, you're hurting my stomach with all this laughter....hahahhahahahahahahah

  • Posted By: kas_wolf @ 11/12/2008 6:01:08 PM

    Just FYI - if you are a family of 4, 5, 7 or whatever $250,000 is not rich. It is well-off and you have choices, but you are not rich.

    Rich means you don't have to work and you can do as you like. Rich means you don't have a budget. $250,000 for a family is NOT rich today.

  • Posted By: moderate_observer @ 11/12/2008 12:47:37 PM

    the republicans lost because they were the party that had no idea to campaign on, and everyone who paid careful attention to the campaigns from start to finish realised that. The fact that many republicans voted for obama shows that this is what they were thinking. They were not excited by Obama but they knew that this was an election that republicans did not deserve to win. Losing was for the best interest of the GOP in this cycle.

    as per Posted By: asdfjkl @ 11/12/2008 10:07:54 AM taxes wernt meant to be fair, taxes exist for a reason. to pay for daily operation of the country.

    a person making 18000 a year pays 10% and has 16200 to take home , what can that buy, ? someone who makes 400 000 pays 25% , he pays more but he still has 300 000 and is still doing well and according to Obama, still rich. sure, the person making 400 k a year could pay 10% like the person making 18k but that would mean a significant loss in revenue for the nation. and we all know tax revenues cover a lot more than just welfare for 'lazy people'.


    the fact is, there is a certain amount of revenue that the government needs to make to stay above water, if the burden was split evenly across all pay grades the people making the least would take home nothing. therefore it wouldnt make sense to work unless ur making large sums of money, how would that be good for the economy?

    • Posted By: kas_wolf @ 11/12/2008 5:59:16 PM

      Because fiar is...well....fair - and the guy making $400,000 is employing people making 18K, 25K, ertc. Tax the snot out of them and the guy making $400k will take his jobs and go...elsewhere. It is afterall a "global economy".

      THAT is why taxing the heck out of the well-off is stupid. As was [roven in the 1970's and so it goes....

  • Posted By: ConservativeWoman @ 11/11/2008 5:38:25 PM

    People should be concerned with what they keep in their wallets. Raising taxes on those across the board making $250k or more is simply wealth redistribution and will, for many people mean that their current and future standard of living will be far less than what they have worked towards. How is that fair? Why should I who have planned and been careful with my finances have to subsidize others who haven't. Notice is isn't the very wealthy who are so terribly impacted by rolling back the Bush tax cuts and enacting Obama's proposals. The people who are most impacted are the middle to upper middle class. Obama and his elite supporters would like to take this group and lower the top range to raise up the bottom end. This would leave us in a very European like world - a distinctly lower class and and elite class. I can't wait to watch people go John Galt.

    • Posted By: Jack 8590 @ 11/11/2008 5:47:53 PM

      The tax code isn;t new - and the United States has been redistributing wealth for decades. What, you really think Obama invented this? Go read Wealth of Nations - Adam Smith happens to agree with Mr. Obama that the rich should pay a proportionally larger amount of tax.

      We're talking about the difference between about 35% and 37% - surely those with taxable income over $250,000 can afford that. By the way - that TAXABLE income. Your salary can be $750,000 but if you have tax shelters and mortgage deductions that will bring you to $250,000. Come on you can afford another $5K for the government!

      • Posted By: tracyruns262@netscape.net @ 11/12/2008 5:28:57 PM

        WHY should someone want to give the GOVERNMENT and extra dime.???? THEY WORKED HARD and should enjoy the fruits of their labors... Have you seen how the government has handled Things????

    • Posted By: dor-republican @ 11/11/2008 5:51:08 PM

      GREAT WAY OF EXPLAINING IT THANKS FOR MAKING SENSE

      • Posted By: Kermudge @ 11/12/2008 1:04:12 PM

        The Bush tax cuts created the disparity that we are all suffering from. McCain himself said as much, before he recanted to win right wing favor. It took a balanced, working system and put it out of whack, by shifting the burden to the middle class, which anyone knows is the strength of any economy. Most people, rich and poor, have seen the results and hope a change in direction--with a more equitably shared tax responsibility, will repair the damage.

  • Posted By: logical_thinker_007 @ 11/12/2008 4:29:29 PM

    George Bush and his cronies managed to almost completely destroy the world financial system in 8 years. Granted, it wasn't ALL their fault, but that ideology, continued, would inevitably collapse the US as a country. I think there are two kinds of rich people: those who are smart, care about the country and think long term, and those who profit from wars and corruption. There are also the rich but dumb, like the CEO of GM, who are still denying global warming, and destroying the companies they run. Not all rich people are created equal.

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