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Joined
4/17/2008
Location
Seattle, WA
US
Edited Date/Time
1/20/2012 2:37pm
Yeah, it's from Huffpo but it is an interesting perspective on all this "wealth redistribution" nonsense:
A few days ago (which is to say, prior to the Wednesday night presidential debate), I met Sam. Joe the Plumber should really meet Sam, too.
I was jogging away on the treadmill at my local gym when the guy next to me--who turned out to be Sam--introduced himself. He seemed to want to talk, which was fine by me. He asked what I did. I told him. He immediately replied, "Oh, I've never met a professor before. I never went to college. Seriously, in my entire life I've never read a book all the way through. Please, Professor, don't make fun of me."
Of course I wouldn't. Besides, I found Sam's humility, curiosity, and affability endearing. As Sam talked, I became only more enthralled in what he had to say. He told me his life story. He grew up in Yonkers, New York and came out to California in his early twenties. At 22 he found himself working as an entry-level cashier at a gas station. Eventually he cobbled together loans and a payment schedule and bought the station.
Cut to the future: Now 38 years old, Sam owns more than 100 gas stations in southern California and 25 restaurant franchises. He has over 800 employees working for him. He has four kids in a happy marriage. He's a devout churchgoer. He's a proud American and lets you know that.
We started talking politics. "You know what," he said, "I'd really like some reporter to come and ask me my views on the election. Why don't they ever seek out guys like me? I got something to tell them. Professor, why isn't the LA Times or somebody asking me for my opinion?"
I probed a bit. "So what is it you want to say to them?"
Sam opened the verbal floodgates. "Hey, I've always voted Republican. For the first time in my life I'm going to vote for a Democrat. I'm voting for Obama."
"Why's that?"
"My gas station businesses are hurting. I make the same profit margin--5 to 8 cents per gallon--no matter whether the price of gas is $1.99 per gallon or $4.99. The big oil companies are the ones raking in the profits when prices go up, not me. I can make money on gas only through volume sales--and if people are hurting, I make less on gas. Or I start to lose money, like now. Where I make money, though, is when they come inside and buy discretionary items--food, drinks, lottery tickets. Right now, people aren't buying. I know 20 of my gas station colleagues are about to declare bankruptcy. It's bad."
"So I'm fed up with the Republicans. Tax cuts for the rich, the war--all that stuff. The middle class needs help. I'm finally convinced. I'm going for Obama. First time in my life, I tell you."
I asked him about paying higher taxes.
"I don't care about that. If I'm making money, I don't care. I'll pay my taxes. But I'm not going to make any money if the middle-class guy doesn't have money in his pocket to buy my gas or my food. I don't need the big tax cut right now. That's not going to bring the customers into my gas stations."
Joe versus Sam. You could line up economists spouting elegant theories for each side, but the basic arguments can probably be reduced to Joe's and Sam's respective positions on very gut levels. Joe's never made $250,000, but he feels that if he ever reaches that threshold, he shouldn't be "penalized" for his success. He seems to believe that cutting taxes for wealthy individuals somehow serves his current financial interests and his aspirations for the future. Sam's already lived those trickle-down and dream-up Republican talking points but now rejects them with hard-won conviction.
Were the two of them to meet and strike up a conversation, side by side on adjacent treadmills, I dare say that Sam would be giving Joe an earful, not the other way around.
Think about it, all you rich guys, who buys your stuff? Whose money is it you covet? Where does it come from? You aren't selling to only the rich and if the middle class doesn't have the cash, who do you sell to? This isn't about class warfare or wealth distribution. This is about making sure your customers have the money to pay for your goods and services. Makes sense to me.
A few days ago (which is to say, prior to the Wednesday night presidential debate), I met Sam. Joe the Plumber should really meet Sam, too.
I was jogging away on the treadmill at my local gym when the guy next to me--who turned out to be Sam--introduced himself. He seemed to want to talk, which was fine by me. He asked what I did. I told him. He immediately replied, "Oh, I've never met a professor before. I never went to college. Seriously, in my entire life I've never read a book all the way through. Please, Professor, don't make fun of me."
Of course I wouldn't. Besides, I found Sam's humility, curiosity, and affability endearing. As Sam talked, I became only more enthralled in what he had to say. He told me his life story. He grew up in Yonkers, New York and came out to California in his early twenties. At 22 he found himself working as an entry-level cashier at a gas station. Eventually he cobbled together loans and a payment schedule and bought the station.
Cut to the future: Now 38 years old, Sam owns more than 100 gas stations in southern California and 25 restaurant franchises. He has over 800 employees working for him. He has four kids in a happy marriage. He's a devout churchgoer. He's a proud American and lets you know that.
We started talking politics. "You know what," he said, "I'd really like some reporter to come and ask me my views on the election. Why don't they ever seek out guys like me? I got something to tell them. Professor, why isn't the LA Times or somebody asking me for my opinion?"
I probed a bit. "So what is it you want to say to them?"
Sam opened the verbal floodgates. "Hey, I've always voted Republican. For the first time in my life I'm going to vote for a Democrat. I'm voting for Obama."
"Why's that?"
"My gas station businesses are hurting. I make the same profit margin--5 to 8 cents per gallon--no matter whether the price of gas is $1.99 per gallon or $4.99. The big oil companies are the ones raking in the profits when prices go up, not me. I can make money on gas only through volume sales--and if people are hurting, I make less on gas. Or I start to lose money, like now. Where I make money, though, is when they come inside and buy discretionary items--food, drinks, lottery tickets. Right now, people aren't buying. I know 20 of my gas station colleagues are about to declare bankruptcy. It's bad."
"So I'm fed up with the Republicans. Tax cuts for the rich, the war--all that stuff. The middle class needs help. I'm finally convinced. I'm going for Obama. First time in my life, I tell you."
I asked him about paying higher taxes.
"I don't care about that. If I'm making money, I don't care. I'll pay my taxes. But I'm not going to make any money if the middle-class guy doesn't have money in his pocket to buy my gas or my food. I don't need the big tax cut right now. That's not going to bring the customers into my gas stations."
Joe versus Sam. You could line up economists spouting elegant theories for each side, but the basic arguments can probably be reduced to Joe's and Sam's respective positions on very gut levels. Joe's never made $250,000, but he feels that if he ever reaches that threshold, he shouldn't be "penalized" for his success. He seems to believe that cutting taxes for wealthy individuals somehow serves his current financial interests and his aspirations for the future. Sam's already lived those trickle-down and dream-up Republican talking points but now rejects them with hard-won conviction.
Were the two of them to meet and strike up a conversation, side by side on adjacent treadmills, I dare say that Sam would be giving Joe an earful, not the other way around.
Think about it, all you rich guys, who buys your stuff? Whose money is it you covet? Where does it come from? You aren't selling to only the rich and if the middle class doesn't have the cash, who do you sell to? This isn't about class warfare or wealth distribution. This is about making sure your customers have the money to pay for your goods and services. Makes sense to me.
Seriously? No response? You don't think it is wise to protect your customers? Dave, I know you and I argue a lot on the same side in these political threads. Do you think it best to protect your customers? More money in their pocket means more in yours? Or am I just way off with this?
Sums it all up very nicely.
The flea needs to keep the dog healthy if he wants to keep eating.
It's probably also why you never really hear people with money whining about taxes. It's always the guy who thinks one day he'll hit the lotto and his interest will put him in the upper tax bracket.
The Shop
All these people seem to think there is something wrong with the middle class having more money. Of course they always go into talking about welfare and the sort but that's not who we are talking about. I don't like handouts any more than anyone else and it pisses me off to know that some of my money is going to people that are simply too lazy to work. But again, this isn't about that.
Seriously, its not like if the middle class had any extra money that they would just save it. They will spend it freely which only benefits everyone.
But that piece does make a legitimate point, if my customers are broke, they cannot buy my product. If they buy my product and I make more, I pay more taxes.
I'm OK with that because it's better than selling less and earning less
Post a reply to: Interesting read...