Wednesday, August 17, 2011

TechCrunch should stay out of economics

I was startled when I read Warren Buffet's Op-Ed piece in the NYT.. He basically burned down the GOP/Fox News "Job-creators can't be taxed" house of cards narrative. Buffet definitely has the cred to state how investors and businesses have been operating over the years. Investment during times with higher taxes like the 80s and 90s led to a Lot of people getting rich, people created jobs and grew businesses. There are some of the lowest taxes on the wealthy right now, and there definitely aren't a lot of jobs being created. Sounded like straight talk. Then a ridiculous piece by Michael Arrington of TechCrunch nearly dropped me out of my seat. One of those pieces where you're waiting for the sarcastic punch-line only to find out that the writer was serious.

Arrington states that Buffet's true motive is to keep others from getting rich. He don't like the "New Money". Otherwise he would've proposed a different tax which would hit him harder.Therefore it must be to prevent other people from getting rich. Does Buffet worry that he won't get a good parking spot at the country club? The man volunteers to pay more taxes and yet he says "no thanks, we don't think your motives are pure enough". There's nothing to state that Buffet is against a wealth tax. He simply refuted the current narrative that taxing the rich I mean "job-creators" will hurt the economy's growth.

What's more fair a wealth tax or increased taxes on dividends and capital gains? I don't know. But just because you disagree doesn't give you the right to fabricate a motive.