- But who pays taxes? – I always think it is funny that whenever people about taxes being too high for the rich in America, no one ever talks about how low-income people pay much higher rates of taxes at the state and local level. In this report, this website decodes how sales and property taxes take a higher percentage of income out of the middle and working class than the upper class leading to most tax systems actually being regressive and anti-poor. In “low tax Texas”, people making less than $18,000 pay 12.2% in state and local taxes while millionaires pay only 3.0%. Shh! It’s a secret!
- First Ever Defeat of the Fed – Congressman Ron Paul may (R-TX) have pulled off what critics of the Federal Reserve have longed for forever: an audit of the Federal Reserve. Today, the House Banking Committee added his audit bill to a bigger banking reform bill, a must-pass bill. This victory is amazing when you consider the fact that Banking Chairman Wright Patman (D-TX) for decades tried to bring under democratic control the opaque and secretive institution that can veto the will of the President and Congress while refusing to divulge its activities and trillion dollar balance sheets. In fact the institution is more secretive than the CIA which complies with the Freedom of Information Act, while the Fed simply stopped taking notes during its meetings once the law started in the 1970s (see William Greider’s magestic Secrets of the Temple for more). Ron Paul arranged a left-right alliance of conservatives and populist Democrats to fight for the measure against the corporate centrists in both parties. Socialist Senator Bernie Sanders is supporting the bill in the Senate, which only makes it that much more interesting.
- One more nail in the California dream – The University of California has decided to jack tuition up 32% to over $10,000 a year (three times more expensive than a decade ago) as the flagship campus, Berkeley, goes on strike. Chancellor Mark Yudof, who fought for tuition deregulation in Texas as head of the University of Texas, has been putting workers and professors on unpaid furloughs, cut janitor services, stopped hiring, and canceled classes. Yet somehow he managed to give bonuses and pay raises to executives in the system making over $250,000 to $1,000,000. Funny how budget cuts work, huh? I wonder how many janitors could have kept their jobs with that money. Take that Wall Street! Check out this interview quote:
What do you think of the idea that no administrator at a state university needs to earn more than the president of the United States, $400,000?
Will you throw in Air Force One and the White House?