Via International Liberty:  Studies indicate that higher taxes lead to less economic growth.  As Dan Mitchell puts it, the Tax Foundation

reviews the academic research on taxes and growth and doesn’t find a single study supporting the notion that higher tax rates are good for prosperity.

. . .

Twenty-three studies found a negative relationship between taxes and growth, by contrast, while three studies didn’t find any relationship.

For those keeping score at home, that’s a score of 0-23-3 . . . .

Read the rest of this entry »

Advertisements

(Come for the pretty graphs; stay for the mounting sense of terror!)

I thought it would be useful to have all these data together in one place for easy reference, illustrated with easy-to-understand graphs, with links to solid sources.  I’ve even added a convenient hyperlinked table of contents:

Read the rest of this entry »

deduction

National Review’s editors explain a creative potential solution to the “fiscal cliff” impasse:  Eliminate the federal deduction for state and local taxes.  Currently people can deduct, on their federal income taxes, the money they pay in state and local taxes; in effect, this forces taxpayers in small-government states to subsidize the big-government schemes of other states.  National Review:

Read the rest of this entry »

Via Wintery Knight, Professor Mark J. Perry gives us another graph of how skewed our tax system is against the rich (contrary to a certain liberal narrative):

Read the rest of this entry »

Via Hot Air and the Washington Times, a new report from the government’s own Congressional Budget Office shows that (as of 2008 and 2009) the top 20% of the population earn 50.8% of the income in the country, but pay 67.9% of the taxes.

Read the rest of this entry »

Acting Against Interest

February 28, 2012

I was reading a piece by a certain liberal columnist recently, and it struck me that the author, and other liberals I’ve heard, have two very different ways of thinking about voters’ acting against their (presumed, by liberalism) self-interest:

  • If they’re poor or middle-class, and they support lower taxes and less spending on “entitlement” programs (i.e., they want to seize less of the property of the wealthy for themselves), it’s treated as some kind of bizarre anomaly that cries out for explanation (possibly involving staggering stupidity), even a moral failing (e.g., by Paul Krugman or blog commenter Snoodickle). Read the rest of this entry »

Far-flung Fancies is talking about something I had never heard of until recently: “Hauser’s Law”.

As Mr. Hauser explains,

Over the past six decades, tax revenues as a percentage of GDP have averaged just under 19% regardless of the top marginal personal income tax rate. The top marginal rate has been as high as 92% (1952-53) and as low as 28% (1988-90). . . .

Read the rest of this entry »