True Conservative Tax Scheme

[Dismas]

[quote name='dairygirl4u2c' post='1420504' date='Nov 16 2007, 03:59 PM']interesting. good point.
i think some states need to have the freedom to try out various tax schemes. i'm sure there's studies on this in comparative countries.
cause i'm not sure what hte practical effects would be with each system. it's easy to theorize this way and that.[/quote]

Well there are a large number of sound formulas used in economics that have been proven to work in real-world applications. Sadly, politicians in both major parties prefer demagoguery over logic, and short term gains over long term growth.

[dairygirl4u2c]

something tells me they aren't so sound.
i know i don't know for sure. but, i know i've seen formulas that are claimed to be sound. people think, "there's got to be an objective way to do this". yet, there's always claiming the opposite, that A's formula is whack etc. experts disagree all the time.
i wouldn't believe it till i've seen the methodolgy and its critique.
plus there's always risk built in and arbitrarieness of humans and politics. it's all hard to predict. the notorious rational person in economic theory is often wrote about to be not always an accurate indicator.

for example. it seems like it's true taxes would go down by a flat fee. the poorer would have ot pay more, and thereby they wouldnt want higher taxes. and it's true that a more jobs etc would be created and mroe economies when the rich pay less. but, after the economy settles after that change, there's always the poor at the end.
it could very well be the richer tend to think they want more government stuff and don't mind paying half their income, but the poorer do mind. it's a balance between how many of the richer would there be and how many of the poorer. the poorest might be screwed.

of course, your point is that they could be closer to the richer in that they want lowest taxes. and then there'd be very few poor who smell of elderberries it up. and many more people who get to pay less in taxes.

the opposite point would be that many would pay what they pay now. such that taxes would fall for the richer to the point that the median pays in percentage now. then, the poorer would only have their income increase because they are by definition below the median.
maybe more economies, but a worse condition for those who live now.

it's all very speculative.

Edited November 17, 2007 by dairygirl4u2c