Playing The Percentages

I read an article recently which, in defense of extending the Bush-era tax cuts to the wealthy, claimed that those in the upper-incomes pay seventy-something percent of all taxes. For the sake of argument, let's say that they pay 75%.

I'm reminded of my college sociology class where the professor said that despite stereotypes, people would be "shocked" to hear that white people actually make up the majority of prisoners in the penal system.  My first thought was, "That's because there's more white people in the country. Duh!"

By the same token, it would make sense to me that the wealthy pay 75% of the country's taxes as they bring in (at least) 75% of the country's revenue. "Duh!" We're not even accounting for international tax shelters and other options to which the lower and middle classes don't have access.

At best, fiscal conservatives may say that the lack of upper-income tax cuts on financial and employment recovery was due to concern about fighting two wars during the first six years and insecurity about presumably "anti-business" Democratic goals during the last four years.

At worst, I believe that the wealthy, just like most everyone else in these economic times, simply held onto their money to preserve their standard of living.

In the end, it would appear that Democratic Congress members from moderate-to-conservative states who, fearing a later Tea Party-fueled backlash, will not cap an extension of the Bush-era tax cuts during the upcoming lame duck session. Given that the Bush/Obama stimulus packages have had all of two years to work, it will be interesting to see how rapidly the extended tax cuts "trickle down" for the greater good over the next two years.