How Switzerland Compares to Oregon's 4th District
Congressional District 4 in Oregon comprises 17,181 square miles, a little larger than the country of Switzerland, with 15,940 square miles. Moreover, District 4 has more natural resources - farmland, forests, and mineral deposits than does Switzerland.
Switzerland has, however, far more of the ultimate resource - people - with 7.9 million as compared with District 4 at 0.7 million. And, Switzerland's people are far more free of government control, so they are able to produce more per person.
Corporate taxes in Switzerland average about 14%, depending upon the location, since most of these taxes are levied by local government. Oregon corporations labor under a tax burden of 41%, of which 7% is state and 34% is federal (for companies earning about $500,000 and ranging upward to 47% for larger enterprises).
Ah, but DeFazio will say that those taxes are paid by the "rich." Our 13-term professional politician and Congressman Peter DeFazio wants to tax these corporations and those who own them a lot more. They are the evil rich who are not paying their share.
So, in Switzerland where the evil corporations have such low taxes, what is the fate of the ordinary person? The median household income in Switzerland is $100,000. In District 4 the median household income is $35,800 - even including Corvallis and Eugene where the universities receive large amounts of tax funding.
If DeFazio should be reelected and have his way, District 4 taxes will rise even further, and household income will fall lower.
Why should this be? After all, he just taxes the "rich."
First, everyone pays these taxes. Regardless of our individual wealth, whether one is millionaire Peter DeFazio with four homes - two in New Zealand - or just an ordinary Oregonian, every time we buy something we pay the taxes of the supplier, too.
Second, the "rich" do not keep their wealth as piles of cash under their beds. Their wealth is invested mostly in stocks, bonds, land, and other productive assets (along with personal items). If that wealth is taken from the wealthy in taxes, they must sell their investments and give the money to the government. This deprives the economy of needed capital and further decreases the number of jobs available for everyone. Hence, family incomes fall.
Third, as taxes rise the incentive to produce falls. So, entrepreneurs are less motivated to start new businesses or to maintain the ones they have. That also costs Oregon jobs.
DeFazio thinks that he can win reelection with the politics of envy by posing as a champion of the middle class against the "rich." The actual effect of his policies is to impoverish us all - except, apparently, 13-term congressmen.