The Blind Leading the Blind

One nice thing about California, by the time I get up Morning Joe is history. But I'm back in Chicago now, and Joe is pissing me off again. The other day he and Peggy Noonan were moaning about the effect Obama's policies will have on the poor, struggling families making over $250,000 per year. As Joe mentions, those in New York or California are hit with large state and local burdens, and if they have a couple of kids, any additional taxes would be an undue burden.

Joe, and Ms. Noonan, here's a tip. When you don't know what the hell you're talking about, shut up. Especially when you're in the media and many people take your words as truth.

I'm an MBA/CPA. I don't talk a lot about rocket science. But I can talk your ear off about tax policy. I would venture to guess that neither of you have ever picked up an economics textbook, or an accounting book, or the US Tax Code. Yet you go on and on about it.

It's like the miserable Chicago Tribune. Today they had another editorial bemoaning the fact that Wal-Mart is having difficulties getting another toehold in Chicago. The mention 200 construction jobs, and 500 new jobs once the store is open.

The Trib is bankrupt. And they went out of their way to do some stupid things to become bankrupt, eg, buying the LA Times without checking on the half a billion tax lien they had. They have absolutely no business lecturing on anything involving a dollar sign, they don't have the competence.

By the way Trib Editorial Board, the 200 construction jobs are very temporary. And there will be no new net jobs. Do you really think there are people with piles of money just waiting to spend it at a closer Wal-Mart? No, the jobs gained at Wal-Mart will be offset by jobs lost at smaller retailers. No net jobs. Read an economics book.

Back to Joe and Peggy. Tax policy is made at the taxable income level, not the gross income level. So the higher income people affected by new tax policies do not make $250,000, they make considerably more. The "poor" family that Ms. Noonan was talking about making $251,000, probably gross in the $300 to $350 K area. After their state and local income tax deductions, and their mortgage and real estate tax deductions and the personal exemptions for themselves and their kids, they have $251,000 left. They are not poor, they are not struggling. And I'll bet they have some pretty damned good health insurance.

But, Joe and Peggy may already know that, and they are purposely misleading their listeners. I wouldn't put it past them to be feckless lying whores.