11 Ways the Government is Making you Poorer
Wage Supports- While the idea of subsidizing wages is rather unpopular in the United States, the fact is the federal government already does it through its convoluted tax code. The Earned Income Tax Credit, for example, is basically a tax subsidy for middle class Americans. The problem with this and all wealth redistribution schemes is that you are removing money from a productive sector of the economy and using it to subsidize a less productive sector. Taking too much money from top earning brackets will lead to less jobs for middle class Americans in the aggregate. Less jobs means less income, and less income leads to more Americans requiring wage support or federal assistance. While it may put money in their hands in the short term, it makes the economy less productive in the long run.
