Sen. Barack Obama has aired a commercial promising to tax oil companies on windfall profits, and also invest in alternative energy.

I was taught that all taxes are paid by individuals. Corporations never pay taxes, they simply raise prices when their taxes are increased. Corporations' taxes are paid by individuals in the form of higher prices. Therefore, Sen. Obama is promising even higher fuel prices when he talks about a windfall profits tax on oil companies.

Payroll taxes used to finance Social Security and Medicare are paid totally by individuals. Corporations, we are told, pay half of the Social Security tax, but what they actually do is reduce wages to pay for Social Security. If corporations did not pay for it, they could increase wages or lower prices.

In a free market, supply and demand set prices. When government mandates that we need alternative sources of energy, farmers reduce supply from the production of food and toward the production of ethanol. This creates food price inflation, and it has led to food riots in several underdeveloped countries.

Sen. Obama wants to invest more in alternative energy, creating more food inflation.

In the Democrats' battle for the gubernatoarial nomination, Bev Perdue is endorsed by all the employees paid through taxes. Do these endorsements indicate Bev may raise their wages if elected?

I am suspicious. In order to raise these workers' wages, Perdue would have to raise taxes.

Poor people, we are told, pay no taxes. This is incorrect. Every time they purchase any item, their income is taxed by the higher prices corporations charge to pass on their taxes, or tariffs on imported products, or sales taxes.

I am living on a fixed income and cannot afford electing politicians that promise to raise my taxes or cause inflation.

Martin Samchalk

Pinehurst