The topic of the day for conservatives: The ‘2% illusion’

This opinion piece in today’s Wall Street Journal is churning through right-handed web sites today, and providing much fodder for talk radio:

A tax policy that confiscated 100% of the taxable income of everyone in America earning over $500,000 in 2006 would only have given Congress an extra $1.3 trillion in revenue.

That’s less than half the 2006 federal budget of $2.7 trillion and looks tiny compared to the more than $4 trillion Congress will spend in fiscal 2010. Even taking every taxable “dime” of everyone earning more than $75,000 in 2006 would have barely yielded enough to cover that $4 trillion.

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February 27th, 2009
11:40 am

Gosh, only $1.3 trillion? That wouldn’t even be enough to pay for the Iraq Blunder!