Two days ago, I explained that tax increases are bad policy. More specifically, I warned that giving more money to government exacerbates fiscal problems because politicians respond to the expectation of more revenue by spending more than otherwise would be the case. And since they usually over-estimate how much revenue a tax hike will generate, [...]
Archive for January 21st, 2012
Illinois Leftist Does a Facepalm, Confirming that Higher Taxes Enable Higher Spending While Trying to Make the Opposite Point
Posted in Fiscal Policy, Government Spending, Illinois, Laffer Curve, States, Tax Increase, Taxation, tagged Fiscal Policy, Government Spending, Illinois, Laffer Curve, State Government, Tax Increase, Taxation on January 21, 2012 | 9 Comments »
Making Obama Seem Reasonable by Comparison, Merkel and Sarkozy Propose Higher Taxes to “Strengthen Growth Now”
Posted in Big Government, Economics, Europe, France, Germany, Government Spending, Higher Taxes, Tax Increase, Taxation, tagged Big Government, Economics, Europe, France, Germany, Government Spending, Higher Taxes, Merkel, Merkozy, Sarkozy, Tax Increases, Taxation on January 21, 2012 | 8 Comments »
The German Chancellor and French President have put together a plan to boost growth. Sounds like a good goal, but what specifically are they proposing? Some of the obvious ideas include: Lowering tax rates to boost incentives for productive behavior. Reducing the burden of government spending to allow more efficient allocation of labor and capital. [...]
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