The First Foot Drops

To pay for his expansive social engineering, President Obama is planning a $1,000,000,000,000 (that's 1 trillion) worth of tax increases.

Now, I'm not an economist, but it strikes me as an appallingly bad idea. If taxes increase, people have less money. Thus, people spend less money. Thus, the economy shrinks more. Call me crazy, but in order to stimulate an economy to grow I think you need money to be changing hands. No matter how much imaginary money the government tosses at infrastructure changes and those pork projects that don't exist in the stimulus bill will make people spend money.

One thing that this economic theory ignores is the simple fact that people with money hire people. If the people who have the money stop wanting to pay for such services, they will not hire people. The government does not have a method of creating wealth and cannot pay for services unless money is taken from people. By taking excess amounts from the "rich," the government harms everyone who works for the "rich." The engine for wealth generation will stall just like it did in the 1930s.