Fetterman's observations should be a wakeup call for a number of rhetorically amped-up House and Senate progressives these days; such as AOC, Bernie, E-War, and Dallas's own Jasmine Crockett.
In a similar vein, former congresswoman Abigail Spanberger (now a Virginia gubernatorial candidate) unloaded a few years ago on fellow Democrats who indicated that they were perfectly okay with being referred to as "democratic socialists", saying that if they let themselves get tagged with the "democratic socialist" label, Democrats were likely to get "fucking torn apart" in the 2022 midterms.
Yes, the term "socialism" is bandied about quite promiscuously these days, and often in contexts where "social democracy," or some measure of it, is a more apt term. Still, "social democracy" can be quite expensive, to say the least. The pertinent question is: Who is going to pay for it? Particularly, how much "social democracy" is America's working class and middle class willing to pay for?
(Because you can't get remotely close to paying for this stuff by raising taxes to the stratosphere only on high income-earners and wealthy taxpayers.)
Here's a thread from a decade ago titled "Who Pays for Big Government?"
https://eccie.net/showthread.php?t=1325605
I posted at the time that this was likely to be a real eye-opener for progressives.
They can’t, unless they’re rich or poor. It’s why the middle class has been fleeing the state for decades. They lost a million middle class citizens in the 2010s and are on track to double or triple that in the 2020s.
Originally Posted by Jacuzzme
Indeed. A friend of one of my nieces recently decided to move from Dallas back to the LA area where she grew up. She was apparently delighted to find out that U-Haul was eager to let her rent a moving truck or trailer for a fraction of the usual rate, as they needed to get as many of them as possible back to CA to accommodate the next wave of migrants to lower-tax, lower-cost states.
In 1989-1990, when Democratic majorities in the House and Senate were pushing for tax increases, GHW "Poppy" Bush advised that when liberals started talking about raising taxes on the "rich," it might be a good idea for middle-class Americans to be sure to keep a tight grip on their wallets. (Anyone remember what a fiasco the so-called "luxury tax" of 1990 was?)
It's the top marginal rate - all-in including state, local and federal taxes. It means you only get to keep 46 cents out of every marginal dollar you earn.
When Government starts confiscating 54 cents of every dollar - why work? At that point, the most productive and hard-working wealth creators in our society start saying - fuck it, I'm quitting! I didn’t sign up for forking over more than half of every dollar I earn to these shiftless greedy guvmint fucks who waste every dollar they seize!
Originally Posted by lustylad
Yes, the top marginal tax rate matters -- big time!
By and large, big, economy-transforming decisions are made "at the margin," so to speak.
If Mamdani is able to push through most of his tax-and-spend fantasies in NY, a lot of people there are likely to learn a painful lesson about what fully torqued-up progressivism is and what it does. Especially if this encourages even larger swaths of the financial services industry to decamp to states like Texas and Florida, which have no state income tax. (Note that Mamdani wants to push through even more tax increases on high income earners, even though New York City imposes its own
city income tax, making the combined city-state income tax even higher than on most high-income Californians.)
One of the premier office locations for wealth management firms these days is Old Parkland near downtown Dallas. I understand that leasing there is going spectacularly well. And for good reason!
Bottom line: Attempts to turn the US into something resembling California writ large are not likely to turn out well for the politicians pursuing such adventures; let alone for the American public.