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Trying to figure out what to make of the horrendous “fiscal cliff” deal.   A few news outlets are reporting that for every $41 in tax increases, there was $1 in spending cuts.  The bulk of those tax increases hit the middle class directly.  The Federal government just got a bit fatter, while most of the rest of us just got a bit poorer.

The idea that the Federal government redistributes wealth from the rich to the poor is the most brazenly stupid idea of our time.  All empirical evidence in the world suggests that a larger, more centralized government results in more corruption, more cronyism, a weaker middle class, weaker economic growth, and wider disparities in wealth.   The Constitution was written to deter centralized power for this very reason.

A bigger Federal government means that power is taken away from middle class consumers and put into the hands of a small cadre of Federal politicians and their big-money backers. It means that entrepreneurs and small business owners have less capital to expand their businesses, and hire more people.  Meanwhile, halfway across the globe, more innocent people will have their communities destroyed by more drone strikes and military invasions.

It’s really time we start to realize that the Federal government can not play Robin Hood.  The Federal government redistributes money from the small business owner and middle income consumer and gives it to the ultra-wealthy monopolist, while throwing a few scraps out arbitrarily to least productive members of society, under the guise of “helping the poor.”  That’s why the disparity between the rich and the poor is at an all-time high.  Higher taxes only exacerbate the issue.

What we really need is a movement to decentralize power again — to take power out of the hands of the Federal government and shift it back to private individuals, as well as state and local governments. The more decentralized power becomes, the more likely that all of us can meet our own needs.  The US Federal government is not in the business of helping out the middle class.

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