The Golden Rule

This past weekend, I listened to a discussion on politics...and managed to refrain from joining the discussion. I did so mostly because the discussion was started by a woman I had just met (a friend of a friend) and I didn't want to start an argument with someone I just met or alienate the other people present, and also because I've learned that the older we get, the more futile it is to discuss politics. Because as we get older, we only get more and more set in our ways. So a political discussion between two people whose politics differ can really only lead to raised voices and increased blood pressures, and really, who wants that these days? Especially in HK, where loud voices and increased blood pressure are just a part of daily life, most of the time, I just want a little bit of peace and quiet.

Anyway, this woman was a super-conservative, super-white woman from middle America (I forget where, because other than NY and CA, all of the rest of America is just middle America to me) who thought Obama was the devil and also thought (and said out loud) that a Christian (which she is) can only be a Republican.

Anyway, so while this woman went on and on about how she can't be friends with democrats or anyone who God-forbid voted for Obama, I sat quietly. (I think I deserve a pat on the back)

Later in the conversation, someone asked what our political parties were, which brings me to the main point of this blog entry. For the last year and a half or so (ever since the financial crisis and its repercussions on people like me: fiscally responsible young professionals who pay some of the highest taxes in the US and yet get absolutely no help from the government when the shit hits the fan), I've identified as a libertarian.

There are left-wing libertarians and right-wing libertarians and to be honest, I'm not really sure what ideals are upheld by either. But the reason I identify as a libertarian is that I believe in individual rights and freedoms (generally a liberal concept), but also in a free economy (generally a more conservative concept).

My political views generally mirror my religious views: do unto others as you would have done unto you. AKA the Golden Rule.

- Would you like to have people tell you who you can or can't marry, or where you can or can't live or work? Of course not, so don't impose such rules on others.

- Would you like to be required to fork over half your paycheck so some person can sit on their ass and do nothing and be supported by you? Of course not, so don't expect me to do it.

- Do I believe in working hard and earning my own keep? Yes, which is why I expect others to do the same. If, despite my attempts to work hard and earn my own keep, something happens where I need some help from the government, would I like my government to help me out until I can get back on my feet? Of course, which is why I do believe in social welfare BUT ONLY for those who normally work hard, earn their own keep and don't abuse the system.

One of the reasons I love Hong Kong is that of all the places I've been to in the world, no place embraces my particular views on libertarianism as well as Hong Kong. In Hong Kong, I generally have all the individual liberties and freedoms that I am used to in California. I can do what I want and say what I want and live how I want. And, Hong Kong is one of the freest economies in the world. In fact, for 15 years running, it's been ranked THE freest economy by the U.S. Heritage Foundation. On a macro-level, it means there are fewer restrictions and regulations on trade and investment than almost any other country. But on a personal level, Hong Kong offers one of the greatest degrees of financial freedom in the world by its extremely low flat-tax system. In Hong Kong, income tax is maxed out at 15% and most people fall within the flat tax bracket. The more I learn about Hong Kong's tax system, the more I am convinced that the flat tax WORKS.

First, flat tax makes tax reporting extremely easy. Literally, you add up your income, make a few deductions (HK only allows for a few - mainly mortgage interest and charitable contributions), then calculate 15% of the taxable amount and send a check to the government. Second, there is no withholding system in HK, which means you get ALL your money upfront every month, which you can then invest and make more money off until tax time arrives. But the MAIN reason that the flat tax works? Because when the government takes only a little bit of your money, that means you get to keep more of your money, which makes you feel richer, which makes you more willing to go out there and spend more, which in turn helps the economy grow.

Too bad that as a US citizen, I am subject to an onerous world-wide tax and end up having to pay US taxes even though I get absolutely NO benefit from the US government. Did you know that Australians and Canadians are NOT subject to a world-wide taxation system? Down with the US world-wide tax system, down with the US tax system in general. Sorry, a digression.

I don't remember what the main point of this blog entry was, but basically: the US should learn some lessons from HK with respect to a flat tax, the US system is utterly broken because it continues to reward and bail out irresponsible companies and individuals and I'm tired of my hard-earned money being taken by the US government to help out those irresponsible companies and individuals when it does absolutely nothing for me, SO I'd really like to figure out a way to give up my US citizenship and become Canadian. The end.