Dear benny:

Taxing is not legalized theft any more than elections are legalized stealing of power from the president. Both elections and taxations are ways to force the rich/powerful from misusing their wealth/powerful by returning it to the common people. Some don't like this and would prefer monarchy/dictatorship/communist party rule. In democracy, we choose methods to prevent the powerful/rich from using their extra power/money from becoming monarchs/dictators.

There is a real problem you bring up however. In economics, under a free market, there is the "rule of one price". In a perfectly free market there would be only one price for human labor. In China the current wage is a somewhat more than $1/hour, while in the US it is maybe $15/hour. In a completely free market, Chinese wages would increase and US wages would decrease until they were equal, and that wage would be between $1 and $15. Actually closer to $1 since there are more Chinese workers than American. So, free trade really doesn't work if we want to keep US wages higher. We need government regulations to protect American wages, by not allowing transfer of jobs to China. Germany has these and has not lost nearly as much as its manufacturing to China, etc.

In a democracy, the government is the only force under our control that is powerful enough to stand up to the wealthy/powerful in their attempt to become monarchs/dictators. Government isn't the problem; it's the solution. We just need more democratic control over it.