Voting Ourselves Rich

The New York Times' front page on Monday, July 16 featured a story entitled "A New Populism Spurs Democrats on the Economy." The article explains how growing income inequality between the rich and middle class, along with decreasing job security as a result of off-shoring, are pushing Democrats toward more protectionist and populist trade policies. Problem is, raising taxes and keeping foreigners out will only further encourage businesses to go overseas, not only for cheaper labor but lower taxes as well. And the rock-bottom interest rates we've enjoyed, courtesy of foreigners' willingness to inject money into the safe and stable American economy, will be no more. Sorry Joe Sixpack, kiss your house goodbye.

Unfortunately, the NY Times maxes letters to the editor at 150 words, so here are the ones I chose:

I was disappointed to read that Democrats in Congress are turning their backs on Bill Clinton’s economic legacy, opting instead to build straw men out of long-debunked economic myths about income inequality and the middle class’s economic stagnation.

While increasing taxes may have an emotional appeal, it will do little to help the middle class who, as Democrats admit, are not floundering but rather becoming wealthy at a slower rate than some others. Instead, such policies will inhibit growth and drive away investment – and jobs – especially as the rest of the OECD nations continue to lower taxes. After proving their inability to constructively address the nation’s most pressing issues, including our Iraq policy, the expansion of the Executive’s power, and the potentially-crippling government budget deficit, one must wonder whose job security the Democrats are really concerned about: the middle class’s or their own.