ECONOMICS ANALYSIS ESSAY
The “party platform” of the Democratic Party
For this assignment, you will write a 2�3-page paper (double-spaced, 1-inch margins) providing
at least 1 example of how government has overstepped biblical principles in some form of economic
policy.
Options include the following topics:
� A specific piece of legislation relating to business regulation or taxation.
� The �party platform� of either the Republican Party or the Democratic Party (or both).
� The role of the Federal Reserve.
� The budget process.
Date Due: 25 Sep 2014
ECONOMICS ANALYSIS ESSAY 2
Introduction
Taxes in the US are levied depending on the state one is living or working in. The federal and,
local governments impose taxes on income, payroll, property, sales, imports, gifts as well as
estates. Taxation system in the US is one of the most progressive globally.
Lately there have been calls by the democrats to introduce a legislation that will allow a 5% tax
deduction on all the millionaires and the super rich Americans. (Pear, 2011) The democratic
position has received some backing from some republicans including the Tea party. The
proposed surtax on all incomes above $1 million per annum would subsidize the measures taken
by the government towards job creation. Most of the republicans are expected to opposed the
proposals as there has always been a confrontation between the democrats and the republicans on
how much the affluent and well off Americans should pay to assist others cope with the
constantly struggling American economy. The proposals that had been backed by Harry Reid,
the democratic senator from Nevada and also the majority leader is expected to face a spirited
challenge from the republicans who are against any form of tax increases. (Pear, 2011) Mr. Reid
has asserted that the surtax would increase the average collection of taxes by $445 billion dollars
in the next ten years. Funding job creation would spur more economic growth and it will also
jump start the stagnant economy.
However, the majority of the republicans who are opposed to the tax increments cite the hard
economic conditions that the country is facing and also that most of the millionaires are actually
small businessmen who are still struggling to grow their businesses. Taxing them would be
tantamount to discouraging them from investing in their businesses for future expansion which
would have contributed positively to their goal of job creation. . (Sullivan and Sheffrin, 2003)
The proposals are have generated heated debates on the presidents motive of supporting the
ECONOMICS ANALYSIS ESSAY 3
creation of the job market at the expense of the rich Americans some who have struggled and
sacrificed a lot for their families to live well. They claim that the proposals would discourage
more investment in the country as currently the $1 million per annum cannot guarantee a
comfortable home throughout the year plus additional vacations that are generally associated
with such kind of wealth.
Most governments tax the rich to benefit the poor and also support the welfare systems. It’s
written in the Bible that whoever does not work should not eat. Most people who are on welfare
are actually jobless and they depend on the state for their upkeep. The government through the
welfare system feeds millions of Americans majority of whom have no other dependents but
most of them are able bodied and can perform meaningful jobs however they are reluctant to take
over menial jobs that are low paying or jobs that they are not trained in as they will be
compensated as unskilled employees.
The government policies on employment generally provide for five working days in a week
which is against the Bible teaching that all human beings should work six days a week and only
rest on the seventh day or the Sabbath which falls on a Sunday for most religious denominations.
The government is not following some doctrines of the Bible especially when formulating its
economic or financial planning. However, the issues on taxation and the welfare system are
genuinely for the good of the society despite their short comings.
ECONOMICS ANALYSIS ESSAY 4
References
Pear, R. (2011) Democrats Seek Tax on “Richest,” Aiming Gauntlet at G.O.P., The New York
Times,
