Most economists amuse me. They are like Baptists, about whom we say, “where there are 2 or more gathered, there are at least 7 different opinions.” Almost without fail, when the weekly or monthly economic reports are released the first line is usually this: “Economists are surprised by the jobs report…” or “Economists express surprise at the GDP…” Have you noticed that economists paid to understand and predict what’s going to happen are always surprised? It’s like a weatherman who is surprised it’s cold in the winter and hot in the summer. They are the most surprised people on earth! But economics doesn’t have to be that complicated. If you earn money by work, you probably would like to keep as much of it as possible. But the government will take some of it in the form of taxes, even if they call it a fee.

Fair enough for the government to get funding for things we need and want. Most of us want to have fire trucks, police cars, paved roads, and even jails to lock up people who threaten our security and safety. We want there to be schools that will teach kids to read, write, and learn some skills and citizenship. We believe we need a military to keep us from being overrun or attacked. But while we are willing to make contributions to vital services of the government, most Americans don’t believe in the redistribution of their income to those who instead of working, stayed up late playing video games.


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If taxes are high, you have less of the money YOU earned and the government is spending it for you—often for things you don’t want to support. When you have less money, that’s less you can spend in stores for clothing, meals, health care, or even for your church or favorite charity. If taxes are lower, you can use the money you keep to buy a car, a house, send your kids to college or camp, or take a vacation. If you spend that money, people will have jobs making, transporting, or servicing the things you bought. Some people think we ought to cut the taxes of individuals, but hit companies and corporations with higher taxes. But think about that. If you raise taxes on companies and corporations, what do you think those corporations do?

Well, I’ll tell you what they do. They add the costs of the taxes to what they charge you for a pair of pants, a load of bread, or a new car. Corporations don’t really pay taxes—they just collect them for the government. YOU pay those taxes because they are added in to the costs of the products or services you buy. The best corporate tax rate would be zero. If up to me, we would never pay taxes on what we produce—only what we consume. There would be no tax on income, savings, capital gains, or inheritance. We’d pay when we bought something instead of when we created something.


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If there’s something we want more of, reward it; if we want less of, punish it. We want MORE work, more savings, more investment, more responsible stewardship. We shouldn’t punish it by taxing it. And we shouldn’t reward irresponsible behavior because we get more of what we reward. Think about it—if you make a smart investment and make a profit, we punish your profit with a tax. If you work, we punish you with tax on your work; if you save money, we punish you with a tax for having done something we agree is good. But if you make a bad investment, you write it off; if you don’t work, we give you free government benefits; and if you spend all your money, but your neighbor saves his for his children and grandchildren, we punish him by taxing him when he tries to give it to his family. Economists are always surprised. I’m surprised that more people don’t realize how dumb our tax system is!

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Comments 1-50 of 51

  • steve dunklee

    05/01/2018 08:08 PM

    I have always felt we should go back to the old tax system where most of the Federal government got it's money from import taxes, and also only have a sales or use tax like the on on gasoline. I have also felt we should abandon the idea of a fixed minimum wage and do what is done in realty and other sales, and set the minimum wage as a % of sales divided equally , which could be done as an index of the GDP. then the minimum would automatically go up or down with the economy. Right now at McDonalds they pay less than 3% of sales to the hourly workers. They pay more for the package than the workers. while over 20% goes to corporate incomes. Do you think this is fair?

  • Denise Leese

    04/24/2018 11:25 AM

    Love your thinking! Unfortunately there are too many "dependent" people who don't want anything to change except for them to get more of our money! My deceased husband always said the next civil war would be when those of us who work for our money decide to quit supporting those who won't!
    Keep up the good work! Thank you for all you do!
    Denise Leese

  • Diane Melton

    04/23/2018 05:33 PM

    Mike, I agree with you 100%. Surely there is something we can do to destroy this monster! And I would also like to know, why oh why do we pay property taxes year after year after year, etc. etc. I bought my property once, and I should only pay taxes on that purchase once. It's like paying rent, two times a year, on something you already own.

    And, dear Craig Bolton Crocker, THANK YOU for your very funny comment on the bread typo. I chuckled when I read the sentence, then laughed out loud when I read your comment!

  • Eloise Unger

    04/21/2018 10:06 AM

    I think earned income credit is the most ridiculous redistribution of funds to people who are rewarded for working a little but not too much. Education credit i cannot take beacause i earn too much is crazy. I am happy to give my part to have services but not for able bodied young adults to collect a check and have medicare in their 20s. If they are smart enough to drive and have children they can work!

  • Patti Petree

    04/21/2018 09:55 AM

    I was an Econ/math major, and about your age, and as long as I can remember I've always thought a national sales tax made so much more sense than our income tax system. Tax consumption. Not income, etc. Totally agree!

  • Charles M

    04/19/2018 09:20 AM

    Wonder if the donors to McCabe's GoFundMe were aware the poor, dishonest man only had a net worth of $11 million before they hit the "send" button? $570,000 in pity for a rich crook while people with million dollar medical bills, etc. can't attract more than a comparable pittance on that website. Such a world.

  • Samuel Smith

    04/18/2018 10:05 PM

    Mr. Huckbee you are so right! Yet the question that needs to be ask " Why do people let the government hold them in tax system that punish them?" That question has a large answer, the government school system has done a very good job at brain washing, and the people never stop amazing me, how easy they can be lead around on a leash. Plus me need to keep in mind, with this tax system the government has control over people and that is pretty much the bottom line, power and control over the people.

  • Nancy Clark

    04/18/2018 09:58 PM

    Amen! I agree with you whole heartedly. I have said for years that we should only pay taxes on the things we purchase. The rich will buy much more expensive toys, clothes etc. As a result, they would pay a much larger tax than the poor guy who buys less. But, that would take common sense which for some reason has skipped a whole generation.

  • Everett Coates

    04/18/2018 07:41 PM

    A simple national sales tax is the best idea possible. Unfortunately it will Never be realized because there is a huge, multibillion dollar tax return preparation industry that would disappear. Whenever that idea is floated around DC their lobbyists start handing out money to members of Congress like candy to kids.

  • Ron Besse

    04/18/2018 06:42 PM

    I have a minors in economics and business management with my major in accounting. I one thing about economics that I learned is for every action there is a equal and opposite reaction.

  • Craig Bolton Crocker

    04/18/2018 06:12 PM

    I wholeheartedly agree with you ... except for one thing. I only buy my bread a loaf at a time; I don't back an 18-wheeler up to Walmart for a load.

  • Michael Dallas Brecheen

    04/18/2018 04:26 PM

    Well said! The church has proved for millenia that 10% is more than enough on which to operate an organization of any size in any locale.
    Steve Forbes had a great idea when he ran for president a few years ago; he said a flat tax on items purchased would be more than adequate to fund government on all levels. Too bad we can't get a Republican congress to look into that a little more.

  • Theresa Carver

    04/18/2018 04:21 PM

    Mike...you are SO right about the tax system. And why do we hold every taxpayer ransom every April? And if they can't figure out the rules and make a mistake, they penalize you with fees and penalties - all monetary!!!

  • William Burt

    04/18/2018 02:05 PM

    You are absolutely correct in your assessment of our tax system, Mike. We need to stop penalizing people for being productive.

  • Cynthia Schindler

    04/18/2018 01:45 PM

    Truth and wisdom! I guess thats why the world needs common core, to take a simple concept and complicate it to the point of blind compliance.

  • Patti Sharpe

    04/18/2018 01:30 PM

    The problem is not that enough people don't realize how dumb the tax system is, it's that enough politicians don't CARE how dumb the tax system is. They're not in it for efficiency, they're in it for access. It's always easier to get someone's money BEFORE they spend it than BECAUSE they spend it. If people are taxed by what they buy, they might actually practice a little discretionary spending and not buy as much that they don't need. Then the government has less control over what they receive than if they just plunge both hands in the cookie jar before anyone else gets any.

  • James D Marshall

    04/18/2018 01:28 PM

    Sadly, it seems these "economists" serve in our Congress and pass the bills that penalize us for doing prudent things with our money and working hard to earn it. Excellent analysis.

  • Judith Nolte

    04/18/2018 01:03 PM

    I Absolutely 100% agree with this article. Our Country is in Trouble and something drastic needs to be done to fix in NOW before there is no "Turning Back"!!!

  • Kathryn Caputo

    04/18/2018 12:29 PM

    Please continue to educate Americans about the Fair Tax. A country that invests in itself, individually and corporately, is a rich and happy nation. A simple tax on consumption is the way to go. Everyone who purchases any type of item pays his/her/its tax share, via: that purchase, to the government. Simple, easy and fair.

  • Brian Pearce

    04/18/2018 12:19 PM

    Secret societies like the Club of Rome & the Bilderbergs want to bring in the New World Order. Their efforts include bringing down the USA, population control and wealth distribution. All this will usher in the Antichrist (Rev 13, Dan 9-12). Pope Francis has bought into it.
    Even though, we see it as foolish, these are just signs that we are going home soon...so we can have joy.
    As it was in the Days of Noah, so it shall be when the Son of Man returns-Luke 17:26
    https://en.wikipedia.org/wiki/List_of_Bilderberg_participants#United_States

  • Eddie Pruett

    04/18/2018 12:17 PM

    I agree with you Mike and most of the comments here. I'll try and leave a comment without criticizing anyone and attempt to stay on topic. Without a doubt the tax system is broken, I think everyone including anyone working for the government would agree with that statement. In addition to having a tax system that works and we could debate over what that would entail until the second coming of Jesus Christ, we must reduce government spending. No matter who you are if your income is less than your expenditures you go broke. The government spends billions of dollars each year on, for lack of a more politically correct term, WELFARE. I know there is a need for it, but I personally know people that are younger and healthier than I am that do not work, because they can sign up for everything in the world and actually live better than I do working 6 days a week. We need to fix this. Then there is foreign aid, I'm sorry but when did it become our responsibility to support every country in the world. I'm all for helping others, but to give money to my neighbor because they are struggling, when I have past due notices of my own makes no sense what so ever. Once our Nation is stable, we have no national debt, no homeless, no hungry citizens, then we can think about helping others. We need to fix this. GOD's word tells us that we are to help the poor, the needy, the sick, to love thy neighbor. It also says that we are to give Him 10% of what we have. I think that if GOD thought 10% is good enough for his work, then the government should be able to do it's work on the same percentage. If i make $10,000 per year I pay 10 %. If I make $100,000 I pay 10%. If we pay a percentage without any rules or regulations, you know loop holes, then the playing field is level. Well at least I didn't criticize any one! :)

  • Mark Mittelstaedt

    04/18/2018 12:05 PM

    Take a lesson from the hard sciences. In a " perfect " chemical reaction - add an acid to a base and get water and salt, for example, there's no waste. But, in the real world, there are always issues - reactor can't make a consistent particle size, too much heat we can't get rid of, pesky isomers of the desired chemical show up in the reaction...these " issues " are generically referred to as ENTROPY - the measure of disorganization in a system. Now, segue into economics - imagine the conditions for a " perfect " transaction - here are mine: willing buyer / willing seller / fair price.

    Let's say the kid next door wants to mow your lawn for $ 20. He has an electric mower, picks up the clippings, wears safety glasses. It takes him an hour, and you, a rising star in your company, are making well over $ 20 an hour, so you think it's a great deal. However, the landscaper's union gets wind of this kid and sues, requiring him to get a landscaping license. Now the union wants $ 100 to mow your yard, so you're back to doing it yourself.

    EVERY time the government gets involved in a transaction, they add " transactional entropy " in addition to the vig they extract in taxes. Money is not acting as an efficient " store of value " ( Money and Banking 101 ) when that value is diminished by government actions in support of a given group. An efficient tax system - maybe next time ;-} ! would solve a lot of these problems. " Classical " economists are too concerned with the macro to see the micro. A great example is Social Security - gee, we'll need to increase the retirement age - fine for macro - but individuals are micro - how much " fairness " ( a favorite liberal shibboleth ) is there in telling a person whose parents and grandparents died in their late 50's / early 60's...but government just can't imagine their lives when they no longer have control over other people's money, hard-earned or not ;-}

  • Chris Walczak

    04/18/2018 11:33 AM

    I have worked in banking and food stores on the front line. I have seen and heard many things that made me question the government, taxes and entitlements to healthy, young (18-55), and unmotivated people. The abuses of welfare (they give me money so why should I work), food stamps (send the kids in to buy gum and get change back so they can go next door to buy cigarettes and liquor), and workmans comp (they told me they would collect on the maximum number of weeks because of bad back and walk out of the supermarket carrying heavy bags of groceries). Then, the government lumps seniors receiving Social Security and Medicare that they paid for by working since they were 16 into "entitlements". These seniors worked when sick, paid for childcare, worked multiple jobs when times were tough, went without rather than going for handouts, were loyal to employers, respected the law. What the heck happened? Get these people off of the entitlements.

  • Cyndee Pacheco

    04/18/2018 11:23 AM

    You are preaching to the choir. Run for President!

  • Linda Rath

    04/18/2018 11:18 AM

    Well said--I agree whole-heartedly! [Consider taking Ryan's job--you don't have to be in the congress to do so--unless Newt wants to get back in the fray!

  • Kevin Cook

    04/18/2018 11:12 AM

    Mike is a clear voice in the liberal wilderness

  • Jeanette Bowers

    04/18/2018 11:02 AM

    AMEN!! That's about the simplest explanation I've ever heard for why our tax system doesn't work and also why it's wrong to tax the wealthy and corporations for being productive, inventive and profitable. What makes me sad about it is that too many people won't have the first clue what you just said. I think we need to create a second system in this country and then give people a chance to choose which one they want. If they want a free economy, then they agree to work and provide for themselves with no free government ride, only a hand up for a short length of time, if they need it. This would actually reduce the need for taxes because there wouldn't be any freeloaders and many social programs could be eliminated. If they choose socialism, then we'll gather them all in a bunch, give them a State of their own - say, California, for instance - and let them have at it! They can set up their own government and all go to work and split their money equally so everyone has the same. The requirement is that they also have to take ALL the people who want the free ride, all the illegal aliens and most of the criminals because we wouldn't want to discriminate against people who want to take but not give. (Only "most" of the criminals because some of those were created in instances of white collar crimes.) We'll have a prayer, then a blessing and wish them a long life in their new-found Utopia.

  • Tom Blacka

    04/18/2018 10:52 AM

    A wise man once said this about economists: An economist is a man that knows twenty different ways to make love to a woman, but he doesn't know any women!

  • Mary Westcott

    04/18/2018 10:45 AM

    Plenty of common sense here. I couldn't agree more!

  • Norma Solvie

    04/18/2018 10:39 AM

    Mike, you said it so well and so simply. Everyone should read this and maybe we could make some changes.Wehave a nice paved road to nowhere in our little town. I think somebody's relative was a road builder. Meanwhile the alleys are in shambles. Yes Mike you are so right.

  • Jack Willis

    04/18/2018 10:38 AM

    So true

  • Debra Walker

    04/18/2018 10:13 AM

    I agree with everything you wrote here! It's sad that so many people (liberal left) don't see it this way and want to "punish" corporations as if they are evil entities and would rather choose to perpetuate government hand outs that ultimately degrade people and lead to the decline of our economy. The only point you made that I stumble over is citizens paying taxes for government to educate our children. I believe so many educators teach their personal ideology on young impressionable minds to the point it is a real threat to the future of our country. When did it become acceptable for teachers to lead young students (high school and below) in marches of protest against our government or demonstrate hateful displays against our president, no matter which political party you align with? How do we stop this? I didn't sign up for my tax dollars to support this. There is so much frustration and anger of conservatives and since we are generally quiet and peace seeking people by nature, I fear that many independents and middle of the road republicans will vote the republicans out, not that they agree with the left, but to just stop the madness. How do we get the country to turn off all news for a few weeks and cleanse our minds to just focus on our common interests?

  • Sam Sayger

    04/18/2018 10:03 AM

    I truly believe that our President Donald Trump cares about America. It is shown in his every action (those which do truthfully make it to everyday press) that he cares for and loves America. Every economic "indicator" today plainly shows his care -- and his effort. Yet his detractors (read: Haters) condemn him constantly as being delusional and retarded and many other vile things, none of which he shows any evidence of to normal Americans. Since those folks (important pols and media types primarily) are the voices with the cameras and mics, they are the ones with the audience.
    "Old Everyday Joe" does have some voice with such as "Facebook", et al, (even that is damaged for the ordinary) but I'm not too sure that is such a good thing for his defense.
    But, seeing such a great list of accomplishments WITHOUT broad public support (and a confused Congress) I can only dream of what could be accomplished WITH that support.
    My prayer everyday is that he could get a fair shake - and America in the prcess.
    Sam Sayger

  • David Dennis

    04/18/2018 10:02 AM

    Any ideas on how we can get back to a gold standard economy? No matter if there is a tax or not, the money is just fancy paper if there is no gold to back it.

  • Paul Yoder

    04/18/2018 10:02 AM

    I understand now why so many people didn't vote for you. You use entirely too much logic, and propose things that actually make sense! Those people who 'make a living' by accepting the government handouts and bowing to government's paid slavery simply cannot afford to allow us to keep our own money. Surely you realize DC would never allow this?

    I voted for you before, and would vote for you again, given the opportunity.

  • Larry Hoel

    04/18/2018 10:01 AM

    Well put and a system that should be adopted.

  • Arthur Burr

    04/18/2018 10:01 AM

    You are absolutely correct. When Politicians impose taxes, they always ignore the unintended consequences and just assume that nothing changes except that they get more money. This is a monstrous fallacy. You can collect taxes from a business but those taxes are all paid by people. In most cases the taxes are passed through to the business’s customers. When competition prevents that from happening the taxes are paid by the business owners. This frequently leads the business to either bankruptcy, or a move to a lower tax location. This is something that people like Donald Trump understand but is incomprehensible to liberals like Hillary Clinton. As an illustration, consider what would happen If you imposed a 10% tax on all gas sold by your local county gas stations. Gas station owners would all have to increase their pump prices by 11% just to maintain their current profit levels. Of course that assumes no loss in total sales. In reality however, all gas stations would end up losing business because many of their customers would have the option of buying their gas in neighboring counties. Since the gas stations still have the same overhead (employees, real estate taxes, maintenance, etc.), to make up for lost business, they would have to raise their prices even more, say by 20% or even 25% because every incremental increase means fewer sales. Gas stations located near the county borders would lose so much business that many of them would fail. The tax revenue collected by the County would be way less than expected. This same principle applies to international businesses as well. We have had the highest corporate tax rates in the world so it is no wonder that American companies go out of business or move to lower tax locations.

  • Paul L Chase

    04/18/2018 09:55 AM

    I agree with you that we should not tax (punish) income and productivity. I agree that we should abolish the income tax and all other taxes on income, such as taxes on dividends, interest and capital gains. And in doing so we could eliminate the income tax completely that rewards debt by allowing people to deduct interest expenses and so forth. It is a perverse tax system that punishes savings and investment and rewards debt. Also note that a graduated income tax is one of Carl Marx's 10 planks for communizing a nation. I wonder how many people are aware of that.

    But I somewhat disagree with you that the solution is a consumption or sales tax. What I do not like about these taxes, although I think they are preferable to taxes on incomes and investments, is that they are similar to income taxes in as much as people and businesses would have to report to the government all of their financial dealings and sales transactions to enable the government to know how much tax is due to it. I cannot see how in a free society people should have to report all of their financial dealings to the government.

    But government is a necessary evil, although our founding fathers never envisioned the monstrosity that it has become today. So how can the government collect taxes in the least intrusive way? I believe it should be through property taxes. States and local governments already collect property taxes and all real estate property ownership is of necessity a matter of public record anyway. So the federal government could add there tax to the state and local property taxes as a percentage of the overall value of the property, just like the local governments do. No longer would people have to report all of their financial transactions to the government. No longer would billions of man hours and armies of CPA's be required to fill out and file income tax forms every year. No longer would there be a need for an army of IRS bureaucrats. The collection of the tax would be as simple, unobtrusive, and inexpensive to collect as any tax that I can think of. Why have I never heard anyone in the public arena suggest such a thing? It makes perfect sense to me. For the politics of envy people among us, you could even make the property taxes graduated. I do not agree with this but it could be done. Those who own a 25000 square foot mansion could be required to pay a slightly higher property tax percentage than those who own more modest properties. I would not be totally opposed to this because it would tend to discourage those of great means from building such colossal estates. The current income tax system somewhat encourages this because mortgage interest is deductible.

    Revenue could continue to be raised through license fees for things like cars and motorcycles and trucks and planes as well. Once again, since these items make use of public roads their ownership is already a matter of public record so collecting a tax on them through license fees would not be obtrusive. And charging people for the use of other government provided services (such as National Parks visits) could also be done.

    What do you think.

  • Glen Terrell

    04/18/2018 09:48 AM

    What CAN I DO to convince fellow Americans..."The USA needs to REPLACE the income tax with a FAIRtax-like consumption tax?"

  • Roger Day

    04/18/2018 09:44 AM

    Right on Mike .The only way this stupid tax system will be fixed will be when you run & win the White House .
    We can not wait for all those lawyers to fix it .
    Please run again .
    Thank you .
    Roger day

  • Steve McDonnough

    04/18/2018 09:43 AM

    I agree with you. IMHO all taxes should be paid at the cash register.
    Please run for president again!

  • Elizabeth crouse

    04/18/2018 09:40 AM

    People know how to get around rules and get every free benefit and pay no taxes. It irritated me to see what people buy with food stamps that I can’t buy. Soft drinks have no food value but they can be bought with food stamps. They not only don’t pay taxes, they get free things that don’t have any food value. It is wrong to give more to those who do not work than those who do work and can’t afford

  • Todd Dawson

    04/18/2018 09:39 AM

    I'm sick and tired of the politicians saying "we can't afford the tax breaks!" Those people back in the DC bubble have a spending problem. Tax revenues are at an all time high and we're still adding to the debt! No individual person or corporation can last spending more than they earn or produce and survive. WE have to live within our dwindling budgets but those people back there spend like a bunch of drunken sailors. They act like they will never run out of other people's money. But we remember what Margaret Thatcher said....sooner or later you run out of other people's money....But the real headache is these bureaucrats and politicians act like our money is THEIR money and we should feel fortunate they let us have any of what we earned.

    The fiscal irresponsibility of these people for enhancing their chances for reelection and political power is disgusting. Then these bums wonder why the ratings for Congress is so low. It's because they get back there and do nothing for the people. Their primary goal once they get to DC is to get reelected. What a waste...

    I'm a proud American. I worry about my grandchildren's future. I wish there was someplace in the world I could move my family to where they can/could avoid this cesspool but unfortunately, we're still the beacon on the hill....but that light grows dimmer by the day....

  • Arthur Burr

    04/18/2018 09:35 AM

    You are absolutely correct. When Politicians impose taxes, they always ignore the unintended consequences and just assume that nothing changes except that they get more money. This is a monstrous fallacy. You can collect taxes from a business but those taxes are all paid by people. In most cases the taxes are passed through to the business’s customers. When competition prevents that from happening the taxes are paid by the business owners. This frequently leads the business to either bankruptcy, or a move to a lower tax location. This is something that people like Donald Trump understand but is incomprehensible to liberals like Hillary Clinton. As an illustration, consider what would happen If you imposed a 10% tax on all gas sold by your local county gas stations. Gas station owners would all have to increase their pump prices by 11% just to maintain their current profit levels. Of course that assumes no loss in total sales. In reality however, all gas stations would end up losing business because many of their customers would have the option of buying their gas in neighboring counties. Since the gas stations still have the same overhead (employees, real estate taxes, maintenance, etc.), to make up for lost business, they would have to raise their prices even more, say by 20% or even 25% because every incremental increase means fewer sales. Gas stations located near the county borders would lose so much business that many of them would fail. The tax revenue collected by the County would be way less than expected. This same principle applies to international businesses as well. We have had the highest corporate tax rates in the world so it is no wonder that American companies go out of business or move to lower tax locations.

  • David Colonna

    04/18/2018 09:32 AM

    Mike, Since your talking about dumbness or pure stupidity. I am so surprised by some family and friends who keep supporting the Democrats, especially the liberal Democrats. They basically lie, cheat, and want more power to ruin our lives. Take for instance the many Democrats demanding Comey's firing just a few months back and now they think his new book is the best thing since sliced bread. Look at all if the Democratic Govenors in Illinois in prison, Mayor Kaseem Reed major liberal Democrat being investigated by FBI. They are all crooked and cannot imagine how people dont see how bad they are compared to Republicans. Yes we have some bad apples but not as many on the left.

  • Tom Stillings

    04/18/2018 09:30 AM

    Totally agree. That’s why Fairtax is such a great idea federally.

  • James R. (Jimmy) Walker, Sr.

    04/18/2018 09:22 AM

    I personally believe that we should adopt a constitutional amendment limiting Senate terms to 1 six year term. Representatives to two 2 year terms. I think their pay should be only $75,000.00 a year while in office. Also they must be covered by Social Security and like all other citizens they must reach 67 before getting it. This would help the people of the United States.

  • Arthur Burr

    04/18/2018 09:14 AM

    You are absolutely correct. When Politicians impose taxes, they always ignore the unintended consequences and just assume that nothing changes except that they get more money. This is a monstrous fallacy. You can collect taxes from a business but those taxes are all paid by people. In most cases the taxes are passed through to the business’s customers. When competition prevents that from happening the taxes are paid by the business owners. This frequently leads the business to either bankruptcy, or a move to a lower tax location. This is something that people like Donald Trump understand but is incomprehensible to liberals like Hillary Clinton. As an illustration, consider what would happen If you imposed a 10% tax on all gas sold by your local county gas stations. Gas station owners would all have to increase their pump prices by 11% just to maintain their current profit levels. Of course that assumes no loss in total sales. In reality however, all gas stations would end up losing business because many of their customers would have the option of buying their gas in neighboring counties. Since the gas stations still have the same overhead (employees, real estate taxes, maintenance, etc.), to make up for lost business, they would have to raise their prices even more, say by 20% or even 25% because every incremental increase means fewer sales. Gas stations located near the county borders would lose so much business that many of them would fail. The tax revenue collected by the County would be way less than expected. This same principle applies to international businesses as well. We have had the highest corporate tax rates in the world so it is no wonder that American companies go out of business or move to lower tax locations.

  • Fred Bryn

    04/18/2018 09:14 AM

    I totally agree with the tax on consumption, as it's a tax everyone will pay equally. However there would/should be exemptions on some items such as staple foods which does NOT include 'junk food' (ie: chips, dips, candy, cookies, sodas and some other 'luxury' foods), and medicines and medical items necessary for treatment of conditions.

    As for economists not being able to predict the future... NOBODY can predict the future. Some try, some get lucky sometimes. It's like a farmer predicting a bumper crop with high prices before planting a seed in the ground.

    I truly enjoy reading your views each day, and get a chuckle that makes my day at the humor without vile comments. Keep up the good work.

  • Jack Willis

    04/18/2018 09:10 AM

    Not sure who but one of the presidential candidates a few elections ago wanted to do away with the IRS and go to a federal government sales type tax on everything anyone bought and then do away with the income tax. This sounds good until you think of who is going to make sure that business' pay this tax that they collect? A new IRS! Surprised? don't be. I could imagine it being bigger and even worse than it is now. Have a great day and God Bless you.