Wow, I thought the debate had progressed a little further along than should tax be paid at all. How can you prop up govts abroad like Afghanistan, Israel, etc, etc without US taxpayer dollars, what about your nukes, they cost, having armies living abroad in various countries (UK, Germany et al) I'm sure costs a small fortune. What about infrastructure like roads, etc. They get paid for by taxes.
OK so we accept taxes are needed, surely any system of taxation should be based on the ability to pay, are we good with that i.e. if you have more money you can afford to pay more tax, this is simple shit at the moment guys, nothing nuts here.
OK so now we move to the perpetuation of a market 'capitalist' economy whos success is highly dependent on consumer purchasing power. If we break down consumers into groups and then work out what % of money received (not necessarily earned) those groups spend purchasing, we can then model the likely effects of a change in cash received by various groups to consumer spending and the change in economic growth as a result. If you want to grow your economy give more money to poor people.
Of course a market economy can exist without growth but who wants`that, we want the economy to grow constantly, our house prices to only increase in value, our stock investments to rise, our wages to rise, our taxes to fall ...... this is bullshit and completely unsustainable. If we consider a model of no GDP growth then we have to take what we have now and use it more effectively. To increase consumer spending we make slight changes to tax spending patterns, the same for increases in Capital spending, infrastructure/roads/housing/energy, etc.
If you move to a very low or no growth economic model you don't have to give more to consumers who don't contribute to taxation (i.e. state handouts).
It's the desire/push to keep the current continual growth (inflationary) model that is driving the need to give more to the poor as they are your best consumers.
Sustainability should be the key driver for both private and public economic strategy and decision making, failing to plan long term means you are planning to fail long term, the sooner long-term sustainable thinking replaces short-term unsustainable greed the sooner you can heal your economy and maybe even your society.
This is not exclusively an American issue but a problem the world over. When China goes ex-growth that could be messy but that could be years before we see that.