From Drudge, so have your salt shakers handy:
Assuming the Republicans really are planning such an attempt, how would the economy as well as the middle and lower classes be affected respectively by either a flat tax or a national sales tax?
It seems to me that a flat tax would necessarily increase taxes on the middle class while a National Sales Tax just doesn’t seem like it could possibly generate enough revenue.
IANA Econonomist. I admit that understanding this stuff is a weak point for me, so I’m not going to take a strong position yet except to state that I have an instinctive suspicion of anything that helps rich people or the GOP.
I also doubt that such a proposal would have much chance of passing. I suspect it’s merely an election year stunt on the part of congressional Pubs. Promising to get rid of the IRS sounds good to voters even if it may not be politically feasible or practical.
Anyway, I think it’s worthy of a debate. So tell me what’s right or wrong with this idea. Is my knee jerking too wildly? Is it not jerking enough? I want to hear from the people who are better informed about this kind of thing than me and can understand the math.