2010 05 06 - Saint Thomas Aquinas High School

2The ShieldAround the Globe May 6, 2010A Minority of TaxpayersMeans Major Problemsthe BUSINESS CORNERIn 2009, 47 percent of householdsdidn’t owe a dime in federal income taxes.The figure, estimated by the non-partisanTax Policy Center, shows 71 millionhouseholds did not owe any federal incometax in 2009. Of that 71 million, morethan 63 millionmake under $50kper year, and almost6 millionmake between$50k and $100kper year.Some inthose groups willget additionalmonetary relief because they may qualifyfor government tax breaks. And thenthere are six thousand people who makeover $1 million who did not pay federal incometaxes. Clearly, figuring out who paysincome taxes and how much they pay issomething of a convoluted and confusingprocess.But the overall problem with the taxsystem couldn’t be muchmore obvious.47 percent: that’s fourpercentage points away fromreaching a majority of nonfederalincome taxpayers. Ifa non-taxpaying majority isreached in the U.S., this majoritycan easily vote itselffreebies and government lollipops.And it’s not difficult toguess where the country will go fromthere: as Alexis de Tocqueville, a famousFrench author, once said, "A democracycannot exist as a permanent form of government.It can only exist until the votersdiscover they can vote themselves largessout of the public treasury."It is somewhat extremeto say the U.S. governmentSTEPHEN BRANDAround the Globe EditorA democracy cannot exist as apermanent form of government.It can only exist until the votersdiscover they can vote themselveslargess out of the public treasury.- Alexis de Tocquevillewill collapse, but it isn’t completely out ofthe question at some point in the reasonablefuture.Especially when this problem is comingat a time in which the government facesan even bigger financial issue: a nationaldebt of nearly $13 trillion.According to the 2008film “I.O.U.S.A.”, if onewere to add up all of thegovernment’s unfundedMedicare and Social Securitypromises, the $13trillion figure is expectedto rise to $53 trillion. If anon-taxpaying majoritywere to be reached, the majority wouldonly increase this expected debt, as theywould pay in less to the system and takeout more. This type of spending can besustained for only so long.The current presidential administration’sintent as shown through the AmericanRecovery and Reinvestment Act isclear: they want to make the tax system fairand supportiveof themiddle class;47%The percentage ofhouseholds that did notowe federal income taxesfor 2009and theymay thinkthey are doingso. Thefairness ofpenalizingAmericansmore simplybecausethey have financially done well, however,is questionable. Because of this policy, thegovernment is taking away the incentivefor Americans to work harder or achievemore.For a country founded on classicalrepublicanism, where all citizens did theirpart because it was in the best interest ofthe greater community, that’s a shame.NUMBERS6Reasons whyAdobe’s Flash softwareshouldn’t be used formobile devices, accordingto a letter written byApple CEO Steve Jobs.29Paragraphs writtenby Jobs in the lettercriticizing Flash.$6.8 billionThe combined value ofUnited and Continentalon April 30, the lastclose before themerger.110 billionThe three-year valuein euros of Greece’sbailout deal.Business BriefsAIRLINESBIG OLD JET AIRLINERUnited Airlines and ContinentalAirlines merge, passingup Delta as the world’slargest passenger airline. UALCorp., the parent companyof United, and ContinentalAirlines Inc., swappedstock valued at more than $3million in order to completethe deal. Contintental CEOJeff Smisek, 55, will be thenew company’s CEO, butUnited will keep its nameand Chicago headquarters.The deal also gives the newcompany access to hubs inthe four biggest US cities.(Businessweek)EXPENSIVE BAGGAGEA government report showsthat the airline industrybrought in nearly $8 billionin fees. The figure, whichrose from $5.5 billion theprevious year, a 40 percentgain, includes fees for checkingbaggage and pet transportation,as well as curbsidecheck-in and orderingtickets on the internet. Deltabrought in $1.6 billion infee revenue, making it theindustry leader in fee revenues.21 percent of SpiritAirlines’ total fourth quarterrevenue came from fees.(CNNMoney)SOFTWAREAPPLE ATTACKS ADOBEApple CEO Steve Jobs,who has banned the use ofAdobe System’s Flash softwarefrom the iPhone andiPad, wrote a 29-paragraphletter on Apr. 29 criticizingthe software.Jobs, who posted the letteron Apple’s website, listed sixreasons why Flash shouldn’tbe used for mobile devices.Microsoft, ironically, joinedin on the fun, as an executivesaid that Flash has issues with“reliability, security, and performance.”Both tech giantsare backing HMTL5 insteadof Flash.(Investors Business Daily,Businessweek)WORLDGIFT FROM THE GODSIt’s not quite Zeus’ lightningbolt, but Greece is hoping itsnew bailout deal will shockstartits economy. The deal,worth 110 billion euro($146 billion) over threeyears, was negotiated by theEuropean Central Bank,European Commission andthe International MonetaryFund. In exchange,Greece must reduce its deficitto three percent of GDPby 2014.(CNNMoney)F R O M T H E A R C H I V EO c t . 1 1 9 9 8“He goes ‘I’m a really big fan’,” said Love. “And I was like ‘Yeah, right. Name a song, Al’.”The answer came limply back: “I can’t name a song, I’m just a really big fan.”Courtney Love speakingwith Al Gore