The problems in the Republican Party ostensibly are claimed to be the clash of moderates against the Tea Party and other extreme conservatives. In a recent radio broadcast Rush Limbaugh suggested a deeper fissure that I have been thinking about for some time--in Rushbo's terminology, the conflicting interests of the "income rich" versus the "asset rich."
My early terms for this dichotomy were the would-be Nouveau Riche vs the Old Rich. To the Old Rich, income taxes are irrelevant since they have little or no income earned by some hands-on profession or activity. Their wealth sustains itself and grows through the machinations of laws concerning capital gains and investment strategies--fortunes being made often because of a single line hidden deep in the plethora of tax codes.
The Democrats and Obama congratulate themselves fulsomely for increasing taxes on those unwashed bastards, "the rich," but the cruel joke is that they are only and merely taxing upper middle class people (classically styled as the bourgeoisie) who are trying to work their way up the ladder the old fashioned way to become rich.
During the campaign of 2012 Joe Biden mocked the Republicans for insisting that couples who made $250 K per year in growing a small business were still doing small business. Joe said that 99% of American small businesses have much lower profits than that.
Yes, Joe, but the point is that under the traditional American dream formula every small business wants to have such profits--they want to be able to hire and grow and expand--they want to do the very things that Microsoft and Apple did back under lower taxes and easier regulations.
The limousine liberals are Old Rich who are happy to push over the ladder of success so that no one can climb up it and join their exclusive club. They do this by supporting politicians with lavish contributions who basically want to freeze the free enterprise system in a congealed state in which social and economic justice will allegedly be obtained by omniscient and wise government policies leveling every playing field and rigging every score, adjusting all final outcomes, picking winners and losers. Some businesses will be subsidized and saved with public money, many more won't be, and the American public is fine with that. Election 2012 proved all, justifies all.
The net result in the shallowest interpretation is that America by a single electoral coup has become a Keynesian socialist society in which an enormous government bureaucracy commanded by a celebrity autocrat who can promise endless impossible and contradictory things without criticism or correction and who can scapegoat and blame with blistering fury all those backwards conservatives and Tea Party members who still cling to outmoded accounting methods (overly restricting models fixated on the silly notion that budgets really do have to bebalanced by the end of the day.)
The over-paid and over-pensioned New Elites in government and the permanent Old Rich politically-protected aristocracy not only sneer at overly moralistic bookkeeping principles, their haughty disdain targets as well the tragically flawed and over-rated obsolete cultural relics like the Bible and the U.S. Constitution.
In Germany, or Italy, or France today it is virtually unheard of for a small business to blossom into a vigorous giant. It just can not happen. In the USA such miracles once did happen, but the triumph of "progressive" European economic thinking insures that the pedal-to-the-metal free enterprise boisterous, unruly economic era (and the tolerant regimes that promoted it) are vanquished to the dust bins of history.