Let's Talk About the Other Issues Concerning Roy Moore

Roy Moore’s campaign  for U.S. has become enveloped in a scandal involving his sexual misconduct with teenage girls, which occurred about 35 to 40 years ago.  What is lost in this discussion is Moore’s unfitness for office on a raft of other issues, including judicial misconduct, financial corruption, opposition to the separation of Church and State, LGBT intolerance, opposition to civil rights, Islamophobia, climate-change denial, opposition to science, birtherism, support for neo-Confederates, and irrational religious views. 

It concerns me that the pedophilia issue is the only issue in front of the electorate.  It is disturbing to me that other issues are not judged to be significant, and that the pedophilia charge is the only one to arouse serious opposition among mainstream Republicans.

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Roy Stewart Moore is a Republican candidate for the United States Senate.  Moore will compete in a special election to be held December 12, 2017, being held to fill the seat formerly held by Jeff Sessions, who was chosen to be U.S. Attorney General.

Roy Moore’s campaign has been subject to nation-wide criticism over allegations that he pursued sexual encounters with a number of teenage girls while in his 30s.  The allegations are supported by multiple accusations and credible circumstantial evidence.  Moore is now 70 years old.  Polling data shows that Moore has lost about 9% of his support due to the scandal, and that the election is now a toss-up between Moore and his Democratic opponent, Doug Jones.  The pedophilia scandal has dominated national discussion. 

What is lost in the discussion about Roy Moore is the rest of story.  Yes, many believe he is clearly unqualified for office, because of his behavior 35 years ago.  But why is no one talking about the other reasons that Roy Moore is unqualified to be a U.S. Senator?

Judicial Misconduct

Moore was twice removed from office as the Chief Justice of the Supreme Court of Alabama.  The first event occurred in 2003, after Moore had placed a monument to the Ten Commandments in the state judicial building.  Moore defied a Federal court order to remove the monument, and was removed from office by a state judicial council.  The second event occurred in 2016, after Moore rejected the authority of the U.S. Supreme Court ruling legalizing same-sex marriage, and ordered probate judges and state employees to disregard the ruling.   Again, the state judicial council removed Moore from office.

Financial Corruption

Moore is the founder of a charitable foundation, The Foundation for Moral Law.  Between 2007 and 2012, Moore collected over $1,000,000 in compensation from the group, which he did not publicly disclose.  The compensation was also in excess of what the foundation revealed in its tax filings, but was documented in internal documents.  Moore also accepted a promissory note from the foundation for an additional $540,000, or an equal stake in the foundation’s most valuable real-estate asset.  The foundation further provided Moore health-care benefits, travel expenses and a personal bodyguard.  Moore’s two children and wife were also on the payroll of the foundation.  These payments appear to be in violation of IRS regulations prohibiting the use of a charity for the private benefit or enrichment of an individual, but have not been challenged in court.

Religious Intolerance

Moore is most widely known for advocating the placement of the Ten Commandments in courtrooms, which is generally regarded as violating the Constitution’s ban on the establishment of a state religion.  Consider – could a Hindu woman expect a fair trial in a courtroom which declares “You shall have no other God before me?”  Perhaps that is the point.

Moore is also on record as saying that Muslims should be banned from serving in Congress, and voiced nonsensical opposition to non-existent Sharia law in the United States.

LGBT Intolerance

Moore supports laws to make homosexuality illegal, and has issued rulings denying rights to homosexuals.  As mentioned above, Moore defied Supreme Court and Federal Court rulings legalizing same-sex marriage.  Moore holds the view that transgender people have no rights.    

Other Issues

Roy Moore has a history of extreme statements and actions.  At one time or another, Moore indicated his position on the following list of issues.

• Opposes civil rights and the 1965 voting rights act.
• Rejects the separation of Church and State.
• Opposes pre-school education on the grounds that it teaches liberalism.
• Believes that the 2001 terrorist attacks were divine punishment for accepting gays in society.
• Denies human-caused climate change.
• Leading figure in the “birther” controversy.
• Denies evolution.
• Hosted Neo-Confederate events at Moore’s foundation.
• Spoke of the United States as an evil empire.

Conclusion

Moore is clearly unfit for office, especially for the U.S. Senate.  It seems to me that the public discussion of his candidacy should include all of the issues, as well as the charge of pedophilia.   

I believe that mainstream Republicans are deeply divided on Moore’s candidacy.  They recognize Moore’s absolute unfitness for office, and in many ways would prefer that the Democrat win this election.  On the other hand, Republicans realize that the election of the Democrat will endanger the mainstream Republican agenda.  And for that, they will put up with anything.

References

https://en.wikipedia.org/wiki/Roy_Moore

https://www.washingtonpost.com/investigations/undisclosed-deal-guaranteed-roy-moore-180000-a-year-for-part-time-work-at-charity/2017/10/11/5f56679e-a9de-11e7-850e-2bdd1236be5d_story.html

https://www.mediamatters.org/blog/2017/11/01/Media-ignore-Alabama-Senate-candidate-Roy-Moores-other-extremist-belief-climate-change-den/218399

https://www.huffingtonpost.com/entry/roy-moore-climate-change_us_59ea7afce4b00f08619ef072

https://fivethirtyeight.com/features/is-roy-moore-losing/

Tax Reform

Once again, I have written to a staffer for Senator Dan Sullivan, Alaska Republican.  This month's epistle was regarding tax policy, and the ongoing Republican effort to enact tax reform.

Tax reform is deeply needed in the United States, but the direction of Republican reform seems entirely driven by the desire of wealthy political donors for lower taxes.  Representative Chris Collins of New York commented, "My donors are basically saying, 'Get it done or don’t ever call me again."

I believe that the process of reform should be an open process, subject to hearings, testimony, consideration of evidence, and compromise, but the Republican party is pursuing a closed process, without bipartisan input or debate.

And so I wrote to my Senator's staffer again with a sense of futility, despairing of receiving responsible government from Republicans.  But for the reader's consideration, here's my letter, and my priorities for tax reform.  For brevity, I placed my highest priorities in bullet points at the beginning.
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1)       Fully fund the federal government now.  Stop stealing from our children.

2)      Drastically simplify the tax system.

3)      Make everyone pay something.  Make rich people pay more.

4)      Tax unearned income higher than earned income. 

5)      Treat all capital earnings the same.  Eliminate special rules for trusts, S corporations, REITs, limited partnerships, hedge funds.   Treat personal capital earnings (short-term gains, long-term gains and dividends) the same.

6)      Tax foreign business profits in the same year that they are earned.

7)      Eliminate corporate tax loopholes.

8)      Tax unrealized capital gains on financial assets at death.  Keep the estate tax at 40% for estates larger than $10 million per couple.

9)      Place Social Security and Medicare taxes on unearned income at the same rate as wage income.  Eliminate the earning caps on Social Security and Medicare taxes.

10)  Stop lying about how American taxes are higher than other countries.  Correct lies when other people say them. 

Deficit Spending

I ask that you fully fund the Federal Government now.

During Senator Sullivan’s town hall meeting, the Senator expressed serious anxiety regarding the size of the US government debt.  I agree with the Senator on this point.  Debt held by the public is now about $14 trillion, or 76% of GDP.  Gross National Debt is about $20 trillion, or 106% of GDP.  Debt levels over 100% of GDP have been implicated in a number of foreign financial crises, such as Greece, Italy, Portugal, Argentina, and others.  Interest payments are rising as a percentage of the Federal budget, leaving less money for actual beneficial spending. 

Deficit spending is sometimes necessary to stimulate the economy.  But a balance sheet overloaded by debt allows policy makers no flexibility to deal with future crises.  Economic theory says that deficit spending is needed in an economy with high unemployment; an economy at full employment has no need for stimulus.  Deficit spending in an economy at full employment will simply result in inflation.

We’ve been systematically underfunding the Federal government for 40 years.  If this deficit spending was going to produce an economic miracle, it would have happened already.  We should raise taxes to run a surplus until our debt is under control.

Deficit spending, when it is not required for economic stimulus, is immoral.  Like all borrowing, it is taking benefits today, which must be paid for in the future.  The difference with Federal borrowing is that the people who enjoy the benefits of today’s spending will not pay those debts.  These debts will be paid by our children.  By deficit spending, we are literally stealing from our children. 

Any tax plan approved by the Senate should decrease the Federal debt.

Tax Simplification

I agree with Republicans that taxes are too complicated.  I support any reasonable effort to reduce the complexity of taxes, and to ease filing.  It is important that we improve the public perception that our taxes are fair.  I would recommend that the 40% of the population currently not paying income tax pay something, but with corresponding cuts in payroll taxes to mitigate the impact of these taxes on working families.  I would support the phased elimination of many deductions, including the home mortgage interest deduction.  In general, I support changes to reduce the use of the tax code for social engineering, and more to simply fund the government.

Trusts, S Corporations, REITS, limited partnerships and other special kinds of capital ownership should be eliminated, as far as tax law is concerned.  All capital should be treated the same for tax simplification.

I see no reason why unearned income should be exempted from the Social Security and Medicare taxes. 

Earned Income vs. Unearned Income

Work is an American virtue.  Physical productivity is the necessary foundation of our economy and earned wages support American families.  But those wages have decreased for the past two decades, in real terms and as a percentage of the economy (Federal Reserve database, https://fred.stlouisfed.org/ ).  Difficulties faced by young wage-earners are reflected in later marriage ages, later first children, more prevalent emotional difficulties, despair, drug addiction and deaths. 

I would note that any cut in the corporate business tax is implicitly a tax cut on unearned income, as profits pass through to shareholders. 

Changes in our tax law should reduce taxes on wages and increase the taxes on unearned income. 

Estate Tax

Eliminating the estate tax would leave a gaping hole in the taxation of unrealized capital gains.  All unrealized capital gains on financial assets should be taxed at the time of death, and the cost basis re-set for the heirs.  Retain the estate tax for financial assets on estates worth over $10 million per couple.  

Business Taxes

As I document below, American business taxes are already lower than 2/3 of the countries in the OECD.  I have no strong objection to lowering business taxes, but ask that those taxes be replaced by other revenue, so as not to increase the Federal debt.

Corporate tax loopholes (or incentives) should be eliminated, to bring the actual tax paid in line with the nominal tax rate.

I think that foreign business profits should be taxed in the year that they are earned, and not deferred until repatriation. 

I recommend a carbon tax scaled to volume of carbon emitted by each carbon fuel, and acknowledgement that climate change is a major hazard for the United States, and caused primarily by human CO2 emissions.  I would be happy to talk about that in person, to anyone who is not convinced of this point.  A carbon tax should provide additional revenue to allow some of the tax reductions desired by Republicans.

Social Security and Medicare

Tax unearned income at the same rate as earned income.  Remove the earnings caps on Social Security and Medicare taxes.  [Given the opportunity, I would restructure Social Security.  But that is a topic for another post.]

Truth -- American Taxes Compared to Other Countries

I would conclude by noting that the Republican justification for tax reform is based upon outright lies. 

In Donald Trump’s acceptance speech for the Republican nomination, he stated that America is among the most highly taxed countries in the world.  This is the complete opposite of truth.  Anyone with an Internet connection can look at the OECD statistical page (https://data.oecd.org/), and see that the US has almost the lowest Federal tax burden of the industrialized world, and is in the lowest third in terms of total tax burden.   Similarly, you can go to the World Bank database and see that the US Federal tax burden is lower than over 100 countries, and higher than only a handful of third-world countries (http://data.worldbank.org/indicator/GC.TAX.TOTL.GD.ZS).

In Senator Sullivan’s town hall meeting, the Senator said that the US business tax was the highest in the world.  This is deceptive, and since the Senator is a knowledgeable person, I have to conclude that his statement is deliberately deceptive.  It is true that the nominal US business tax rate is higher than other nations, but it is easy enough to check the revenue collected from businesses, and compare to total domestic business profits.  The actual tax paid is far lower than the nominal rate.  Further, you can go again to the OECD database.  The countries with lower business taxes than the United States are Slovenia, Latvia, Turkey, Greece, Germany, Poland, Hungary, Italy, Estonia, France and Finland (2014 & 2015).  The remaining 21 countries – two-thirds of the OECD – have higher business taxes than the United States. https://data.oecd.org/tax/tax-on-corporate-profits.htm

I will judge the Senator’s honor by how well he speaks the truth, and how he speaks out to correct falsehoods when they are used to justify government policies. *

*  You might think me presumptuous to judge the Senator.  I write another blog with the theme that God should be judged according to the standards of reason and justice.  It is not that I have the right to judge.  It is rather that all figures of authority are subject to judgment according to truth, reason and justice.  I think that was the basis of the American Declaration of Independence.  

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The section on Estate Taxes was revised 12/2/2017, returning the proposed estate tax to something similar to current law, but reducing the tax from 55% to 40% of assets over $10 million per couple.