{"id":11743,"date":"2010-04-11T14:52:24","date_gmt":"2010-04-11T21:52:24","guid":{"rendered":"http:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/?p=11743"},"modified":"2010-04-11T14:52:24","modified_gmt":"2010-04-11T21:52:24","slug":"define-the-tipping-point","status":"publish","type":"post","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/11743\/define-the-tipping-point\/","title":{"rendered":"Define the Tipping Point"},"content":{"rendered":"

The following began as a comment to a great post put up by Greg Swann<\/a> recently, in which he excerpted a terrific article from Mark Steyn on income taxes and suckers<\/a>:<\/em><\/p>\n

…by 2004, 20% of U.S. households were getting about 75% of their income from the federal government… how receptive would they be to a pitch for lower taxes, which they don\u2019t pay, or lower government spending, of which they are such fortunate beneficiaries? How receptive would another fifth of households, who get about 40% of their income from federal programs, be to such a pitch?<\/p><\/blockquote>\n

I believe My Styne is talking about the “tipping point” here, something I’ve also been talking about since before the election in 2008. Once enough people are dependent on the government, we reach a tipping point from which there is no purposeful return; only failure and rebirth. This is not news.<\/p>\n

What’s interesting (at least to me) is the actual equation marking this tipping point. Obviously if more than 50% of the populace received 100% of their income (or benefits) from the government, we’d be over the tipping point. Not much of a stretch there, but not much of a definition either. I suggest the tipping point is well below the “50% get 100%” threshold.<\/p>\n

So what is the level? This strikes me as a very<\/em> important number – and concept – to know. Where is the line if it’s not “50% getting 100%:”? For argument’s sake, let’s say we have a voting block that will endorse politicians and policies which benefit themselves. Is receiving 75% of their income from entitlements enough to effect that vote? 60%? 45%? I suggest that the block crumbles at 20%, but is monolithic at 75%, so the answer lies somewhere in between. A 30% loss of income would be pretty bad for most people, but may not be bad enough that they would forsake their principles and beliefs. At 40% though… I think we’re dialing in the range.<\/p>\n

On top of this, we should take into account the actual<\/em> voting numbers of the population. How is the tipping point affected if Read more<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

The following began as a comment to a great post put up by Greg Swann recently, in which he excerpted a terrific article from Mark Steyn on income taxes and suckers: …by 2004, 20% of U.S. households were getting about 75% of their income from the federal government… how receptive would they be to a […]<\/p>\n","protected":false},"author":36,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_crdt_document":"","jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[251],"tags":[470],"class_list":{"0":"post-11743","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"hentry","6":"category-big-mother","7":"tag-tipping-point","9":"no-featured-image"},"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"jetpack-related-posts":[{"id":11734,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/11734\/mark-steyn-we-are-now-not-merely-disincentivizing-economic-energy-but-actively-waging-war-on-it\/","url_meta":{"origin":11743,"position":0},"title":"Mark Steyn: “We are now not merely disincentivizing economic energy but actively waging war on it.”","author":"Greg Swann","date":"April 10, 2010","format":false,"excerpt":"Shrug, Atlas, shrug. Mark Steyn from Investors' Business Daily:In less than a quarter-millennium, the American Revolution will have evolved from \"No taxation without representation\" to representation without taxation. We have bigger government, bigger bureaucracy, bigger spending, bigger deficits, bigger debt, and yet an ever smaller proportion of citizens paying for\u2026","rel":"","context":"In "Group Therapy"","block_context":{"text":"Group Therapy","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/group-therapy\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":2668,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/2668\/this-is-not-for-the-contest-just-tipping-my-hat\/","url_meta":{"origin":11743,"position":1},"title":"This is not for the contest — just tipping my hat","author":"Mike Farmer","date":"February 27, 2008","format":false,"excerpt":"The most powerful marketing Idea I\u2019ve heard lately is to create a separate blog for listings. I\u2019m in the process of giving area information, one area at a time on my home buyer\u2019s website\/blog with plenty of links to pertinent information. But the idea of creating a blog for each\u2026","rel":"","context":"In "Marketing"","block_context":{"text":"Marketing","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/marketing\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":15163,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/15163\/the-reason-for-boundless-optimism\/","url_meta":{"origin":11743,"position":2},"title":"The Reason for Boundless Optimism","author":"Sean Purcell","date":"September 27, 2011","format":false,"excerpt":"The space was filled at the moment of the tipping point. It cannot be unfilled and replaced with a lack of knowing. It has happened. The future is very bright indeed.","rel":"","context":"In "Enduring Interest"","block_context":{"text":"Enduring Interest","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/enduring-interest\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":4362,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/4362\/washington-mutual-the-spiral-of-death\/","url_meta":{"origin":11743,"position":3},"title":"Washington Mutual: The Spiral of Death","author":"Cooksquared","date":"September 12, 2008","format":false,"excerpt":"Many people will be surprised to know that \"The Spiral of Death or Death Spiral\" is actually a financial term and not just reserved for the latest sci-fi film.\u00a0 Ok, maybe its not approved by FASB, but most people in the industry have heard the term once or twice.\u00a0 For\u2026","rel":"","context":"In "Lending"","block_context":{"text":"Lending","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/lending\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":17038,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/17038\/overnight-news-redfin-why-isnt-this-historic-sellers-market-holding-back-buyers-ctrl-f-riot-not-found\/","url_meta":{"origin":11743,"position":4},"title":"Overnight News: Redfin: \u201cWhy isn\u2019t this historic seller\u2019s market holding back buyers?\u201d CTRL-F \u2018riot\u2019; not found.","author":"Greg Swann","date":"September 17, 2020","format":false,"excerpt":"Housing Wire: Fed says expect low rates through 2023. Much better crystal ball than the one we have... Forbes: Will The Latest Stimulus Proposal Stop A Potential Housing Crisis In 2021? Redfin: Home Prices Rose 11% in August\u2014Biggest Gain in Over 6 Years. Housing Wire: More young adults live at\u2026","rel":"","context":"In "Group Therapy"","block_context":{"text":"Group Therapy","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/group-therapy\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-content\/uploads\/2020\/08\/BHBNewTopImage-300x225.jpg?resize=350%2C200","width":350,"height":200},"classes":[]},{"id":5203,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/5203\/a-disturbing-new-dynamic\/","url_meta":{"origin":11743,"position":5},"title":"A Disturbing New Dynamic","author":"Sean Purcell","date":"October 26, 2008","format":false,"excerpt":"Although this post discusses the election in general, it is not meant to instigate a general discussion of the election.\u00a0 It is... a non-political post on politics. In talking to various people about the upcoming presidential election and their preferences, I was stuck by an odd response I kept hearing\u2026","rel":"","context":"In "Big Mother"","block_context":{"text":"Big Mother","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/big-mother\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]}],"_links":{"self":[{"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/posts\/11743","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/users\/36"}],"replies":[{"embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/comments?post=11743"}],"version-history":[{"count":4,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/posts\/11743\/revisions"}],"predecessor-version":[{"id":11747,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/posts\/11743\/revisions\/11747"}],"wp:attachment":[{"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/media?parent=11743"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/categories?post=11743"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/tags?post=11743"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}