"The Price of Democracy"
By Gerald Scorse
Now comes a groundbreaking book that looks back not just
decades but centuries. It’s Vanessa A. Williamson’s The Price of Democracy: The
Revolutionary Power of Taxation in American History. The surprises never stop
coming.
Surprise No. 1, the Boston Tea Party. We’ve been brainwashed
into believing that taxes were the cause. Not so; the Sons of Liberty were
actually opposing the bailout of the “too big to fail” East India Company. As
Samuel Adams warned, the bailout was “introductive to Monopolies.”
Williamson says the colonists never objected to paying
taxes. “To the extent the American Revolution was about taxation,” she writes,
“it was about the desire of Americans to tax themselves…"
Come 1787, the new America had to decide what its own tax
policies would be. Next surprise, the framers of the Constitution agreed that
the wealthy few had to be protected from the masses. Listen to this from
Alexander Hamilton:
“All communities divide themselves into the few and the
many. The first are the rich and well-born, the other the mass of the people.”
As Hamilton saw it, the people “seldom judge or determine right.”
Thomas Paine saw things the other way around.
Everybody knows that Paine helped ignite the American
Revolution. Not many know that he wanted a tax revolution as well. Paine
worried about the “overgrown influence” of wealth, calling it “one of the
principal sources of corruption at elections.” He wanted marginal income tax
rates, topping out at 100%. Echoing Paine, an early New York newspaper
proposed that “men should by every fair means be legally prevented from
becoming exorbitantly rich”.













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