Herman Cain: The Wealthiest Mugger Ever

A lot of people seem to be drawn to Herman Cain's 9-9-9 tax plan.  I have some real problems with it and nearly everyone else should as well. Allow me to offer a couple:

1) It is inflationary and could contribute to another recession.  It would automatically increase the price of most goods by nine percent.  That is a huge increase in prices at a time when the consumer is barely contributing anything at all to economic growth.  In order to keep our country on the right path economically, we have to provide the consumer with the ability to participate.  An automatic nine percent increase in prices will only decrease consumer buying and put pressure on employers to reduce overhead in the form of lay-offs. 

2) It benefits the rich and increases the taxes on the poor. The top income tax rate, when they actually pay it, is 35 percent. This would slash that rate to nine percent. 

On the other hand, according to ABC news:

"If you have a family of four with an income of just under $50,000, they could end up paying more under the Cain plan. Currently, they are taxed around $3,850 in income tax. Under Cain’s plan, they would be taxed at 9 percent or pay $4,500.

That’s $650 more.

Although the family would save almost $4,000 in Social Security taxes, it would have to give up the child tax credit worth the same amount. Furthermore, it would pay an additional national sales tax of 9 percent on everything purchased, including groceries and clothes, which totals about $2,000.

That means under the Cain plan that family could end up paying $2,725 more."  ABC News: What Could Cain's 9-9-9 Plan Mean To You

Just so we are clear, what he is proposing is a massive redistribution of wealth. He wants to take the precious few dollars that the poor have left and he wants to use the Federal Government's tax code to do it.  At the same time, he wants to reduce the tax burden of the rich.  We all might as well be writing checks directly to the richest among  us.  Under Cain's plan, the result would be the same.

UPDATE: As if we didn't already know that he was a shill for the rich, but it seems that the infamous Koch brothers are big backers and influencers on Mr. Cain.  Long ties to Koch brothers key to Cain's campaign - Associated Press