In an interview with Fox News’s Neil Cavuto on Monday, Home Depot co-founder Bernie Marcus said that while it is understandably tempting to think that we can transform America by simply taxing the hell out of billionaires, the idea wasn’t as financially sound as people like Bernie Sanders and Elizabeth Warren make it seem.
“A lot of people are okay with taxing people like you, as long as it’s not them,” Cavuto noted.
“No, Neil,” said Marcus. “There aren’t enough people like me to pay for it. Let’s face it: if they took away all the money I have, of all the money of all the billionaires in America, and all the wealthy people, they still wouldn’t have enough money to pay for all the that they want to do. It’s insanity.”
Marcus said that the plans offered up by Sanders and other progressives were not supported by basic math.
“This is called not being able to add one and one,” Marcus explained. “They come up with seven while everyone else comes up with two. I don’t know how they justify what they talk about.
“Bernie Sanders is at least honest about it and said, ‘Oh, we’re gonna have to tax everybody,’” Marcus continued. “Well, that means middle-class America. You gotta pay for it. You think you’re gonna get it for nothing. You gotta pay for it. And if he thinks he’s going to tax every rich person in America, yeah, go ahead and do it. And who’s going to invest money in jobs? Who’s going to invest money in creating new things and new treatments for everybody else? It’s the philanthropists, it’s the wealthy people that do it.”
Well, exactly. The Sanders message only works if you know very little about taxes, the economy, or, really, anything else. What would raising the marginal income tax rate to 70% – or even 90% – do in a country where the majority of a millionaire/billionaire’s wealth doesn’t even come from income? When was the last time Sanders even mentioned the capital gains tax? When was the last time he admitted that raising the marginal income tax rate would hit businesses far harder than, say, Jeff Bezos? It’s all a pack of lies, shrouded in catchphrases that only sound good if you don’t know what you’re talking about.
The sad truth is that rich people will find a way to minimize their tax burden. But whether they did or they didn’t, their contribution would be a drop in the bucket compared to what the leftist Democrats want to do to the economy. This burden will fall on the middle class, because there’s nowhere else for it to fall. It will stifle innovation, shrink the economy, and deaden the entrepreneurial spirit that fuels America.
Given history’s lessons, we really shouldn’t need to play this experiment out again.