LTLFTcomposite wrote:Looks like somebody's been studying zero sum equations.
Try this little experiment some time: Make a water balloon with a latex glove and squeeze one of the fingers. Then go back and think harder about things that *sound* good, like $15 minimum wage and the third highest corporate tax rate in the world.
My concern about sharp increases in the minimum wage is that they may make job creation more difficult, though this may be less of a concern when the unemployment rate is low (and there would tend to be wage inflation anyway). At least for the US, I'm not sure how much of a problem high corporate tax rates actually are. If companies are growing and investing their profits in R&D, expansion, and in their workers, then they shouldn't owe a great deal in taxes. That said, exceptionally high tax rates will tend to discourage free enterprise; people and companies need to feel that success will be rewarded.
In general, putting more money in the pockets of low and middle income earners has the greatest stimulatory effect on the economy because those individuals are most likely to spend the money and thus circulate it back into the economy. Yes, it's true that high income earners generally pay a lot more in taxes, but their success depends on a functioning economy. Payroll taxes are quite regressive, so I think it would make sense to reduce the payroll tax rate and simultaneously increase or eliminate the income cap.
While I think the EV tax credit needs to remain in place for now, I do like the idea of eliminating a number of deductions while increasing the standard deduction. This should tend to make federal taxes simpler and more fair. Why should taxpayers be forced to subsidize mortgages on expensive homes, for example?