Is It Your Money?

Sometimes the simple questions are the most powerful. So for today, lets start with a simple but powerful question.

When you earn money...
who's money is it?

This is not a trick question. You see, under liberal thinking, it is the federal government's money. They have the "first call" on as much of it as they "need." Their "first call" comes before your family's and before God's. In theological language, the Federal Government believes that it has the moral right to take the "first fruits." You get to keep the rest.... not because it is yours... but because they allow you to keep it. (For today, we'll limit our discussion to the Federal Government. The rights of State and Local Governments are different and demand a separate discussion.)

HOW MUCH?
How do we determine the correct amount the government has a "right" to take. I am not asking how much they want. I am asking where the government's rights start and stop. It is clear by the way the federal government operates, politicians believe that they have a "right" to whatever they want. Of course they will use the word need, not want.

First, we must define the word "right."

       right - noun
       - a just claim or title
       - a moral, legal or ethical principle

       - an underlying cause of justice

Starting Point
First we have to agree to the necessary, non-optional, functions of national government. Clearly, there are necessary functions defined in the Constitution.

• Defense of the nation
• Codifying and supporting the Rule of Law
• Limited infrastructure programs

No one will argue that these must be funded for our nation to survive and prosper. Government has "a just right and title" to the resources necessary to accomplish these literal and specific functions. But these things represent less than 1/3 of the total federal budget! Defense represents about 20-25%. Funding limited legal and physical infrastructure could easily be accomplished with 10% of the total budget. This is where the "rights" of the federal government end! All the rest are government "wants"... not needs... and certainly not "rights." But politicians have convinced themselves, and us, that all the other operations of the government are on the same moral footing as the 3 I mention above. They are not!

Remember, we didn't even have an income tax as we know it until the Civil War (1862). Wars always result in higher taxes. It wasn't until 1913 and the passage of the 16th Amendment that Congress received the actual authority to tax income on individuals and corporations.

Here Is Your Allowance
Where does the word allowance come from? It comes from the word allow. The Federal Government allows us to keep some of the money we earn. Today's politicians, in both major parties, act as if what is left after taxes is your allowance. It is given to you by the Nanny State. They can raise or lower it at will. My favorite example...

• Tax Holidays: Tennessee, like many other states, declares a "Tax Holiday" a few weeks before Back-to-School. (While this isn't a Federal program, it is too good of an illustration to pass up.) Think about it! If the State Government does not "need" the revenue, why not lower the overall tax rate. The reason is simple. Legislators get to pass popular legislation, at least with the unthinking majority, thereby gaining political brownie points and securing power. It is horrible policy and trains us to appreciate government allowing us to keep more of our money.  We are grateful that our allowance is increased for one weekend.

Where Do You Go For Real Change?
There are several terrific places to go for information, to influence policy makers and to sharpen your thinking on important issues like these.

For Action...
- The Club for Growth
- National Taxpayers Union
- Ron Paul's Campaign for Liberty
- The Cato Institute

For Learning...
- The Ludwig von Mises Institute
- Cafe Hayek (a terrific blog from George Mason University's Econ Dept.)

After you are armed with a little information, call your Congressman and Senators. Write letters to the editor. Engage your friends. Don't be silent. Do something! Start with this...

Pick One Organization On My List...
Support It Today!

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