Good government is inefficient government in the realm of tax collection.
THE LAFFER CURVE
Arthur Laffer recently wrote a defense of the corporate VAT tax substitution being proposed by Rand Paul and Ted Cruz.
Dr. Laffer understands that there are conservative opponents of his flat VAT tax plan. He doesn't seem to know why. I know why. The reason is expressed by Dr. Laffer.
The U.S. government should collect taxes in the most efficient way possible so as to do the least damage to the economy.
This sounds good. In fact, it is conceptually inaccurate and highly misleading. The opponents of Dr. Laffer's famous curve -- I am among them -- line up against "the most efficient way possible" for the government to collect taxes. Why? Because we do not want efficient tax collection. We want inefficient tax collection. Why? Because we want the least damage done to personal liberty. (The economy can look out for itself.)
Good government is inefficient government in the realm of tax collection. Here, waste is good -- morally and technically.
Arthur Laffer recently wrote a defense of the corporate VAT tax substitution being proposed by Rand Paul and Ted Cruz.
Dr. Laffer understands that there are conservative opponents of his flat VAT tax plan. He doesn't seem to know why. I know why. The reason is expressed by Dr. Laffer.
The U.S. government should collect taxes in the most efficient way possible so as to do the least damage to the economy.
This sounds good. In fact, it is conceptually inaccurate and highly misleading. The opponents of Dr. Laffer's famous curve -- I am among them -- line up against "the most efficient way possible" for the government to collect taxes. Why? Because we do not want efficient tax collection. We want inefficient tax collection. Why? Because we want the least damage done to personal liberty. (The economy can look out for itself.)
Good government is inefficient government in the realm of tax collection. Here, waste is good -- morally and technically.
SOURCE URL: http://www.garynorth.com/public/14547.cfm
Just asking, I myself have no answer except perhaps adding that small figure to an account until it makes sense...still the question of: where is the cutoff point.
The purpose of income tax is not to collect funds as much as to exert control over the population in which case seventy six cents serves as a reminder there is not amount too small to stop the Terminators. They will hunt you down and they will absolutely never ever stop until you are destitute and then jail you.
I wish that they were so inefficient that they would stay at home
and collect no taxes at all, some days. . most of the stuff which
the government does with my bucks is illegitimate! -- j
.
The more inefficient the better? I like it. Wish I had thought of it. However, since I fear the government (they have more guns than me) Inefficiency also means mistakes, and mistakes made on citizens in a negative way can irrevocably damage them. The IRS is a lumbering monster but also a quick draw artist who shoots first and asks questions later. It has been used by the powers-that-be in Washington to scare, intimidate and destroy perceived enemies.
"there's a helluva good universe next door -- let's go." -- e. e. cummings
http://www.cato.org/publications/comm...
Note that he presents the theory of the Laffer Curve, but he emphasizes that it isn't actually the revenue-maximizing point of the Curve we should focus on, but the economically-maximizing point.
He also makes a great argument for the flat tax here: http://www.unitedliberty.org/articles...
Short story about Ashland, Oregon home of Sock or Southern Oregon State College which is now a University. For a town with that much brain power one wonders about the following.
City fathers decided to have a sales tax and used restaurants or prepared foods as the camel's nose. One of the provisions was 1% but with 90 days notice the city council could raise it to 5%. After all only the tourists will pay it. It was narrowly defeated. Next up was an unfunded mandate from the feds for new city and water systems., Complete everything. City couldn't afford it in the time allowed. Think of the fines and besides we'll get almost automatic grants to help pay the bill but it's ...not ...quite...enough. But if we had that 1% tax then all is golden. This time it narrowly passed, The next day the 90 day notice was filed and three months later the locals began going to the next town to dine out the word got around and he tourist trade slacked. Eventually it recovered and last I heard the first sales tax in Oregon was widened to include other forms of business.
For a college town they sure had a lot of dumb asses.
That's income tax., Slice it. dice it, remix it, repackage it redefine it. It is still a gun to your head and so is this new version VAT on business only.
Are you from a college town?
??? I'd appreciate a little more into your thought process here. The problem with raising taxes is that the more you raise them, the larger the costs on the economy as compared to the payback up to the point where all future increases actually begin damaging the economy. I don't really see that as a sliding scale subject to manipulation by politicians, but maybe that's just because I'm an idealist.
And trust me, we've been dealing with a Democratic Mayor for quite some time now who tries to keep insisting that the city needs to raise taxes and impact fees and all kinds of things in order to facilitate a larger budget for social services, so your analogy isn't lost on me. We do have a major university here, but most of our business is high-tech.
With a consumption tax, as explained elsewhere, the citizen controls taxes and therefore government expenditures by spending decisions.
One is fascist smal 'f' in that it is useful for those who want government over citizens and choose the method that says any means and completely - control.
One is the opposite and lives up to the principles of freedom for those who choose citizens over government.
Nothing more than that.
Point is with the flat tax, the enhanced tax, the diverted through business tax government controls you. with the end user consumption tax you control that Mayor without resorting to buying the election results.
Do I favor the idea of zero federal income taxes? Absolutely. I'm not really sure about the State side, however. I've lived in a state which had no income tax (as does my brother right now), and all that it does is shift taxation to property taxes. One can argue that one can have more local effect on property taxes because of representative government, but I'd be curious to see if that premise really holds, as in my experience, I find that assertion of extremely dubious credentials.
Is there anyone, anyone out there stupid enough to think VAT which is a tax on an host of imbedded taxes will be paid by anyone except the consumer look in the mirror and say now I have seen the face of stupid.
For the last time get real get a life and pay attention businesses DO NOT PAY taxes they collect taxes for the government and ldeduct the cost of collection in the Cost of Government column which comes right after the legitimate costs of doing business column and immediately precedes Profit.
What a bunch of air head morons and you wanted these two as alternates to Hillary? Why? The left is going to get what they want either way but these to sneaks shouldn't be part of it.
Rand Paul and Cruz are NOT Republicans nor do I think they are Republicans in Name Only they are just garden variety run of the mill left wing socialists. and with the use of that idiotic plan are not in the right wing of the left nor even the center.
RANT RANT RANT....OK I'm done....
Who does that leave ...Rubio and they haven't even used the Bimbo Brigade yet. that ought to prove interesting? Seven million in debt whose going pay for the hookers this time?
Ediit they aren't Value Added they add nothing to the value of a product or service instead they are Value Subtracted. Thank God for Walmart and the Dollar stores or you would all be eating Chinese at French Restaurant prices.
I wish I had a stuffed full size doll of him so whenever I feel frustrated by someone using his tactics, I'd take a bataka and beat the living crap out of him.
Give me back Vincent Price!
By the way, if you are a movie buff, go see "Victor Frankenstein." It's filled with subtle references to past Frankenstein movies. Which reminds me of, the horror senator from Minnesota, Al Franken(stein).
Or do you think we could crowd fund everything by those self interested?
http://quotationsbook.com/quote/38275...
Why are you so eager to fund America's destruction?
But as a community in consensus, (ideally) the only valid purpose of government is for protection of our nation, our property and our creator intended rights as Conscious Human Beings...(some of us anyway). We also need infrastructure inwhich we all use. We also need a better free market system to develop what we need and want as a community.
That will remain true until each man can create everything he needs or wants, until we can travel through air and create our own power...only then can we eliminate infrastructure.
Yes Carl I believe that Galt and the other gulchers would have gladly volunteered and crowd-sourced to defend their way of life should it have threatened with invasion.
So would many, if not most Americans, do the same to protect ourselves, our families, and our property.
You old codgers suffer from too much cynicism.
Guerrilla warfare and a counter revolution all wrapped up in one package. Then make sure if you don't have it get recall on the ballot and in between the two year elections start recalls which wastes a lot of the two big partys time, effort and money.
There's more but that gives you the idea. For sure go after the winner take all vote stealing.
I'm engaged with the Twelve Visions Party, They advocate for the Prime Law of protection only budget as well as the Prime Law itself. I found in further study that the Prime law idea underlies the intentions of our constitution. tvpnc.com
Guerrilla warfare and a counter revolution all wrapped up in one package. Then make sure if you don't have it get recall on the ballot and in between the two year elections start recalls which wastes a lot of the two big partys time, effort and money.
There's more but that gives you the idea. For sure go after the winner take all vote stealing.
That worked out in a time where federal funding for protection only was derived from tariffs.
Obviously that wasn't enough for teddy and woodie, (our first admitted progressives) so they taxed everyone while creating money from nothing by the creatures at Jeckel Island.