AOC and Other Progressives Hurt the Poor Every Day: Here’s How

I am an innovationist. Any policy that encourages more innovation in society will lead to greater prosperity, more jobs, higher incomes, more money given to the government through taxes, and the cycle will repeat. 

I don’t care which political party is an office. But I do wish there were a basic understanding of financial policies, so that people who are the most progressive — people who want as many benefits as possible for the bottom third of society — will stop creating policies that hurt these people. 

First off, who is below the  poverty line? The example most used is people who live in poor neighborhoods or mandated low income housing. But also, young people burdened with student loan debt or middle class people who have lost their jobs, etc. are also affected by bad financial policies. 

“Progressives” always talk about “taxing the rich.” But taxing the rich is not the same as collecting money from the rich. 

People like Warren Buffett and Bill Gates don’t generate wealth through income. So income taxes do not affect them. Nor does increasing capital gains taxes. Buffett is a great example of someone who almost never sells shares, so has no gains. 

Nor does Elizabeth Warren’s proposal of a “wealth tax.” Technically, Warren Buffett and Bill Gates are BROKE because their money has been stashed away in charitable foundations that can’t be taxed. 

Warren Buffett always complains he pays less taxes than his secretary. But nothing is stopping him from writing a check to the government. 

The bottom line is: Nobody will willingly pay more taxes and they will use every strategy at their disposal to pay less taxes. The higher taxes are raised, the more wealthy people use strategies to avoid taxes. This has been seen in almost every decade of U.S. history. 

Here are a few of the policies that have been around for decades that are harmful to the non-wealthy. These are all taxes that supposedly help society and have been part of progressive platforms but are, in fact, deeply regressive — the poorer someone is, the more these policies hurt them. 

SALES TAXES: A greater percent of income from low-wage earners goes towards basic goods. So a greater percent of income goes towards sales taxes. As opposed to wealthy earners, who spend more income on savings. 

BLUE COLLAR LICENSES: These make it expensive for people living below the poverty line to get jobs. For instance, why does a manicurist in Georgia need to pay AGAIN for a manicurist license if they move to Florida? 

ZONING: This reduces the supply of housing in low-income areas, forcing prices up. 

SOCIAL SECURITY TAXES: 6.2% regardless of income level. 

RENT CONTROL: Due to frozen rent prices for a select few, supply shrinks and rent for everyone else goes up.

VICE TAXES: Lower-income earners are twice as likely to smoke and the tax is the same regardless of income level. 

STUDENT LOAN AND MORTGAGE DEDUCTIONS: The top portions of society benefit from these deductions. 

TAX-FREE MUNICIPAL BONDS: The wealthy buy these bonds and earn tax-free interest. The bonds are paid back by the municipality increasing sales and income taxes.

BORROWING FROM FOREIGN LENDERS: This is 40% of federal debt. Future generations of earners in the U.S. will pay their income to future generations of foreign lenders. 

Possible innovationist solutions: 

• Negative income taxes: Similar to a universal basic income. Both Andrew Yang AND Milton Friedman suggested this).
• Negative sales taxes on local goods: Give incentives for shopping local as opposed to online. This would be complicated to implement. One solution would be to form a local cryptocurrency — i.e., “NYCBucks.” A consumer “mines” more NYCBucks by spending locally. The consumer can then spend those bucks, but only locally. Ten years after issuance, NYCBucks can be redeemed 1:1 for dollars. This is a form of stablecoin but would encourage an increase in the velocity of money locally. 
• Get rid of many of the regressive policies mentioned above: Zoning, blue collar licensing, sales taxes, FICA taxes, even tariffs hurt the non-wealthy in the U.S. 

But how should the government raise money? 

If policies are adjusted to unburden larger percentages of society, there will be more incentives for people to create innovations, companies, hire people, and increase prosperity. 

The more prosperity is created, the more taxes are generated, even if taxes are lower. The higher the taxes, the less that is spent on private industry, the more tax loopholes are used (see Bill Gates and Warren Buffett example above), and less money is collected. 

Innovationism is not Democrat or Republican. It’s the right way to run a country.

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13 Things Mentally Strong People Do When Their Candidate Loses

I’m scared. 80,000,000 people are going to be upset tonight no matter who wins the election.

Buildings are boarded up in every major city. Riot gear is being handed out. Security companies are being hired to add protection. Celebrities are “going to move to Canada” for the 20th election in a row. 

The No. 1 stress being discussed in psychologist’s offices is “political stress.” You cannot help solve the problems we are in if you are anxious or stressed. You cannot be rational if you are not taking care of yourself physically, emotionally, creatively. You cannot enhance the lives of your family, your friends, your community if you are arguing on social media.

This is your choice.

The U.S. has survived depressions, World Wars, (“two-time world champs,” as comedian Chris Distefano puts it), we’ve survived horrific natural disasters, terrorist, attacks, censorship (if you think social media is bad, check out the Alien & Sedition Acts), pandemics, etc. It’s going to be OK.

Over $10 BILLION was spent on this election. More than ever. What was it spent on? Scaring you. Stressing you out. Dividing us.

And after this election, our goal is to repair rather than compare. To sympathize rather than polarize. To strengthen each other rather than pull each other down. A true leader is not who is elected but those of us who take action to help others. This is our responsibility.

I called Amy Morin, author of the bestselling book, “13 Things Mentally Strong People Don’t Do.”

She wrote that book after she went through a horrific year at the age of 26. Her young husband passed away, only a few short years after her mother had passed away. As a therapist, she had to apply her own ideas to herself and it was almost impossible. But she did it and I’m happy she wrote about it. Her ideas have helped me and can help all of us on a day like today.

She sent me her list of “13 Things Mentally Strong People Do When Their Candidate Loses.” Then she went on my podcast and we talked about each one. 

1) They Accept the Outcome

No matter who wins, a mentally strong person will accept the outcome and move on with their lives.

You can throw a pity party and wish things were different, but that’s a waste of time and doesn’t do you any good.

2) They Name Their Feelings

Many studies have shown that if you label your feelings, it takes the sting out of them:

“Just putting a label to those emotions reduces the intensity of them; you start to feel better almost instantly” – Amy Morin

3) They Look at the Facts

Take a step back to look at what’s true.

Trust me when I say: Whatever your critical issue, it’s not as bad as you think. [If you ask about issues in the comments I will write another article after this election about what the reality is for each issue.]

4) They Argue the Opposite When Thinking of Doom And Gloom 

If you think the economy will crash if your presidential candidate doesn’t win, argue the opposite. Just because things will be different, it doesn’t mean things will be worse.

5) They Limit Their Media

No one, not even the media, knows exactly what the future holds. Studies show that watching the evening news can elevate your stress levels. Limit your media time to 30 minutes.

6) They Stop Commiserating

Commiserating, or complaining to others, makes you feel worse and makes the world seem more gloomy. There’s a big difference between emotional support and commiserating.

“It’s not really all that healthy for us to just sit around and talk about how horrible life is.” – Amy Morin

7) They Focus on What They Can Control

You can’t control the outcome of the election but you can control your diet, who you spend time with, how much sleep you get, etc. The more we worry about things we can’t control, the more anxious we become.

8) They Resist the Urge to Argue on Social Media

People aren’t going to change who they’re going to vote for over a stranger’s opinion on social media.“You’re not changing anyone’s opinion. You’re just wasting your time and your energy.” – Amy Morin

9) They Reach for Healthy Coping Skills

Have a strategy to handle anxiety, fear, etc. Avoid reaching for alcohol or sweets. Try doing yoga, spending time with loved ones, or other healthy ways of coping.

10) They Take Care of Themselves

Get 8 hours of sleep, exercise daily, and eat healthy.

11) They Change the Channel in Their Brain

Recognize when you’re dwelling on the negative or ruminating on a problem instead of trying to solve it. If you find yourself focusing on something negative, get up and go do something different (cleaning your room, go for a walk, call a friend to catch up, etc.).

12) They Schedule Time to Worry

Give yourself 15 minutes to worry every day. With practice, people can contain their worrying to just 15 minutes a day. It’s OK to spend time worrying; the key, however, is to be able to contain it.

13) They Take Positive Action

Do something kind and positive for someone. Be kind to your neighbor. Send a thank you letter to a friend. Do some community service. Make your partner laugh.

I’ve been scared these past few weeks. That’s why I called Amy. It’s like we’re lonely boats trying to find shore on a foggy night. Become a beacon of light to those around you, and then when the night is gray, all of the boats will move toward you, bringing their bountiful riches.

Please share this with anyone you think it can help. Our goals are to come out of this better than we were. With a stronger Union. With more compassion for others. With our loving relationships still intact. With the strength to handle tomorrow’s issues. Good luck.

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