Brien 1

Connor Brien

Mrs. Cramer

Comp Pd. 2

9/27/2018

Unfair and Outdated: The Issues with Modern Day Taxation

Most people would be shocked to find out that the majority of the US debt is currently

being paid by the lowest of all earners. The citizens with the least amount of income are being

held with a responsibility some are incapable of fulfilling for reasons beyond any control. If the

US allows the upper class of the country to avoid reparations that are more than doable,

America will surely return to a series of economic hagiarchies ruling both the economy and

daily life of all Americans. The rich should most definitely be paying more tax in order to fix the

debt issues, allow for equal economic opportunity, and make up for inflation issues brought on

in the past.

As mentioned, the majority of the US debt is being paid off by the citizens with the

lowest income of all. This slows the process of our country becoming debt free. The bottom

95% of earners are currently responsible for paying one trillion of the American debt, however

the remaining top 5% of earners are only paying off about 630 billion (Lazear, 1). That is a three

hundred seventy billion difference. This gives the upper class an advantage that the rich truly

do not need. The national debt is an issue all Americans must face, meaning those who can

help more than others should. It is absurd that a loop hole like this even exists for the upper
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class to get out of responsibilities meant to repair a damaged economy. Being that all

Americans function together as a nation and share the same economy, this change would likely

benefit all citizens in the long run. America should be taking the steps to ensure equal economic

opportunity for all Americans, and this is just one of countless possible steps.

Furthermore, true economic equality can be accomplished through a number of ways.

The GDP claims that one of the simple steps would be giving the bottom 95% less economic

responsibility (Quartz, 1). This does not mean the amount of tax being paid by the lower class

would have to be lowered, but rather higher amounts of taxation of the upper class. This would

allow for leeway for the less economically fortunate. A vast majority of Americans are in a poor

economic position simply due to taxation issues. The reliance on the lower class effectively

halts people from being able to improve a less prosperous financial situations. Some would ask

why it is important that they improve their economic situation. Aside from empathetic reasons,

the main reason would be that it is one step closer to a better economy for all classes. If more

citizens are making more money and are financially stable, the less everyone has to pay in order

to aid the national debt crisis. It only makes sense that the government should be aiming to

help those if it helps everyone in the long run. The GDP even claims that this would drastically

move our economy forward a step towards a brighter future for all Americans (Quartz, 1). It is

easy to see that low earners are stuck in a loop in which as soon as money is earned to improve

a financial situation, it is taken away due to taxation. The growth of low earners is inarguably in

need of a drastic change, while the upper class is well off in growth despite actually needing it.

The data even supports this. Between 2009 and 2012 the bottom percentage of earners only

grew 2.5% (Lazear, 1). By slowing the growth of a vast amount of Americans, the US is
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effectively slowing the growth of all Americans and in the long run harming its economy as well

as itself.

Additionally, it is not difficult to see why economic slowness is a reoccurring issue,

hence why the country has its strong history of inflation. This is not taken into consideration

within taxation policies. It may be true that the US has not seen any intense amounts of

inflation since the late 1960s, but it is also true that this has never been taken into account

(Chicago Journals, 2). It is also true that cost of living and wage amounts are not taken into

account. With these some variables, one would think that it is only reasonable for taxation to

be subjective. Rather than having one objective tax amount, it should be objective, and take the

financial variables of each individual to ensure the most fair, and overall most beneficial tax

policy. Federal Tax has always been based on nominal incomes, meaning that some high cost

areas with low income citizens fall short of receiving benefits that high income citizens receive

(Chicago Journals, 2). This is a variable that differs the lives of some American citizens and

should not be simply ignored and disregarded. The economy has clearly changed enough that it

would only be sensible to alter the current tax laws.

It is hard to look past the simplified answers within tax laws, however once further

examined, it is easy to see that the upper class should most definitely have to pay more taxes in

order for all Americans to work towards solving the debt issues, provide equal economic

opportunities, and repair the inequality brought on by past inflation issues. Our current

taxation is undoubtedly damaging our economy while simultaneously harming those will less

economic fortune. The national debt is surely to never be paid off with the current method of

taxation, and the rate that comes along with it. The rich are currently receiving benefits they
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simply do not need, while those who do need it are stuck losing money as soon as they earn it.

A loop hole like this is no doubt unconstitutional. Factors like inflation and local taxes are also

never taken into account or even considered when taxing. It only takes simple common sense

to realize that two people with drastically different incomes should not have to pay the same

amount of tax.
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Connor Brien

Mrs. Cramer

English Comp 1 Pd. 3

21 Sept. 2018

Working Bibliography

Albouy, David. "The Unequal Geographic Burden of Federal Taxation." Chicago Journals,

Chicago UP, 2009, pp. 1-5.

Alvin Warren, Would a Consumption Tax Be Fairer Than an Income Tax?, 89 Yale L.J. (1980).

Hatgioannides, J., Karanassou, M. & Sala, H. (2017). Should the Rich be Taxed More? The

Fiscal Inequality Coefficient. Review of Income and Wealth,

Kopf, Dan. "Economists aren’t usually political—rising inequality is changing that." Quartz, 11

Sept. 2017, qz.com/1072089/economists-arent-usually-political-rising-inequality-is-

changing-that/. Accessed 20 Sept. 2018.

Lazear, Edward Paul. "The bills come due: a tax-season reminder: who's paying for big

government? Inevitably, the middle class." Hoover Digest, vol. 2, Hoover Digest, pp. 1-2.

Opposing Viewpoints in Context,

go.galegroup.com/ps/retrieve.do?tabID=Journals&resultListType=RESULT_LIST&searc

hResultsType=SingleTab&searchType=AdvancedSearchForm&currentPosition=1&docI

d=GALE%7CA350978551&docType=Reprint&sort=Relevance&contentSegment=&pro

dId=OVIC&contentSet=GALE%7CA350978551&searchId=R1&userGroupName=pl194

9&inPS=true. Accessed 17 Sept. 2018.

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Reich, Robert. "Why the Rich and Corporations Should Pay More Taxes." News Week, 25 Sept.

2017, Economists aren’t usually political—rising inequality is changing that.