BlueBliss
New member
Sorry this is so long, I though I had a shorter version of this somewhere that even better fits our scenario, but the point has to be made with all the "tax cuts for the rich" complaints!
Ten men meet for an evening dinner. Because of their diverse occupations and differences in incomes, they decide to pay their bill the same way they pay their taxes.
The bill for all ten comes to $100.
From the poorest to the richest, it was arranged like this:
The first four men (the poorest) would pay nothing.
The fifth pays $1.
The sixth pays $3.
The seventh pays $7.
The eighth pays $12.
The ninth pays $18.
The tenth man (the richest) pays $59.
The food was great, and so, content with the arrangement, the ten men decide to meet every day.
After a couple of weeks, in an attempt to secure their business, the owner of the diner offers a deal.
"Since you have all become regular customers," he said, "I'm going to reduce the cost of your total daily bill by $20."
Meals for all ten now total just $80.
To pay the bill, the group again agrees to use the tax formula.
So the first four men are unaffected, they still eat for free.
But the other six men - the paying customers – how do they divide the $20 windfall?
Well, $20 divided by the six who pay comes to $3.33.
But if they were to subtract that from everybody's share, the fifth and the sixth men would each end up being paid for their food.
So they decided to reduce each man's bill in much the same way our tax system allows for a deduction. Here is how it worked out:
The fifth man, like the first four, now pays nothing instead of $1 (100% savings).
The sixth now pays $2 instead of $3 (33%savings).
The seventh now pays $5 instead of $7 (28%savings).
The eighth now pays $9 instead of $12 (25% savings).
The ninth now pays $14 instead of $18 (22% savings).
The tenth now pays $50 instead of $59 (15% savings).
As you can see, even though there was disproportionate difference, each of the six was better off than before. And the owner was still making money.
Even though the richest man pays over half the bill while half of the group eats for free, he doesn’t complain.
Enter a shrewd politician who studies their arrangement.
“What a lop-sided and unfair arrangement!” he says.
Then pointing to the sixth man, he says, “You only get a dollar out of the deal…"
And then pointing to the tenth man, "…while he gets almost $10!" (Politicians love to exaggerate.)
"Heeey, that's right!!!" exclaims the fifth man. "I only saved a dollar, too. It's unfair that he gets almost ten times more than I do!"
"That's true!" shouted the seventh man. "Why should he get $10 back when I get only two? That’s more than three times as much! I tell you the rich get all the breaks!"
"And we didn't get anything at all!” complained the first four men.
“That’s right,” said the politician. “The rich exploit the poor!"
The richest man attempts to explain the faulty reasoning, but the nine angry men shout him man down and drive him away.
The next night the nine men meet at the diner without the “rich” man.
But now they realize something. They don't have enough money between all of them for even half of the bill!
So the owner withdraws the deal and charges them each the full price. Those who can’t pay don’t eat.
Re-enter the politician.
“You good taxpayers should not be cheated out of what was once rightfully yours,” he said. “You deserve better. Vote for me, and I will the fix the price and will force the rich to pay – even if he doesn’t eat.”
Ten men meet for an evening dinner. Because of their diverse occupations and differences in incomes, they decide to pay their bill the same way they pay their taxes.
The bill for all ten comes to $100.
From the poorest to the richest, it was arranged like this:
The first four men (the poorest) would pay nothing.
The fifth pays $1.
The sixth pays $3.
The seventh pays $7.
The eighth pays $12.
The ninth pays $18.
The tenth man (the richest) pays $59.
The food was great, and so, content with the arrangement, the ten men decide to meet every day.
After a couple of weeks, in an attempt to secure their business, the owner of the diner offers a deal.
"Since you have all become regular customers," he said, "I'm going to reduce the cost of your total daily bill by $20."
Meals for all ten now total just $80.
To pay the bill, the group again agrees to use the tax formula.
So the first four men are unaffected, they still eat for free.
But the other six men - the paying customers – how do they divide the $20 windfall?
Well, $20 divided by the six who pay comes to $3.33.
But if they were to subtract that from everybody's share, the fifth and the sixth men would each end up being paid for their food.
So they decided to reduce each man's bill in much the same way our tax system allows for a deduction. Here is how it worked out:
The fifth man, like the first four, now pays nothing instead of $1 (100% savings).
The sixth now pays $2 instead of $3 (33%savings).
The seventh now pays $5 instead of $7 (28%savings).
The eighth now pays $9 instead of $12 (25% savings).
The ninth now pays $14 instead of $18 (22% savings).
The tenth now pays $50 instead of $59 (15% savings).
As you can see, even though there was disproportionate difference, each of the six was better off than before. And the owner was still making money.
Even though the richest man pays over half the bill while half of the group eats for free, he doesn’t complain.
Enter a shrewd politician who studies their arrangement.
“What a lop-sided and unfair arrangement!” he says.
Then pointing to the sixth man, he says, “You only get a dollar out of the deal…"
And then pointing to the tenth man, "…while he gets almost $10!" (Politicians love to exaggerate.)
"Heeey, that's right!!!" exclaims the fifth man. "I only saved a dollar, too. It's unfair that he gets almost ten times more than I do!"
"That's true!" shouted the seventh man. "Why should he get $10 back when I get only two? That’s more than three times as much! I tell you the rich get all the breaks!"
"And we didn't get anything at all!” complained the first four men.
“That’s right,” said the politician. “The rich exploit the poor!"
The richest man attempts to explain the faulty reasoning, but the nine angry men shout him man down and drive him away.
The next night the nine men meet at the diner without the “rich” man.
But now they realize something. They don't have enough money between all of them for even half of the bill!
So the owner withdraws the deal and charges them each the full price. Those who can’t pay don’t eat.
Re-enter the politician.
“You good taxpayers should not be cheated out of what was once rightfully yours,” he said. “You deserve better. Vote for me, and I will the fix the price and will force the rich to pay – even if he doesn’t eat.”
