Bigger government, higher taxes

The DFL has regained control of the Minnesota House and Senate. Governor Mark Dayton could not be more pleased, and he is looking forward to moving his agenda forward. This means that taxes in Minnesota are going to increase.

Gov. Dayton ran on one main issue: raising taxes on the rich. Dayton defines rich differently than President Obama. Dayton’s definition places the rich at those making over one-hundred fifty thousand dollars. His plan, assuming it’s the same as it was two years ago, is to raise taxes on the top five percent of Minnesotans.

Increasing taxes is one of the worst actions a government can take during a tepid economic recovery. Gov. Dayton more than likely understands this, but he views cutting government as even more detrimental. A slight recession is alright as long as his programs are funded.

Even with these tax increases, do not expect property tax rates to go down. When a local government has the money, they will spend the money. If Governor Dayton increases local government aid, expect more local government projects.

Many agree that the rich should pay higher taxes, and the major question is how much more should the rich pay. As a state, a good measure of this is how high the top marginal income tax rate is. Dayton’s increases would put Minnesota in the top five highest top marginal income tax rates.

Bigger government is not the answer, smarter government is the answer. Smarter government would stop paying flag holders on road construction sites thirty-five dollars an hour. Smarter government would not try to unionize daycare providers.

The next two years in Minnesota will show the difference between smarter government and bigger government. The former is better, yet the latter is much more prevalent.