Roll back Reagan tax cuts.

[mrstickball]

Soleron said:

mrstickball said:

...

That, and the fact that labor mobility and rights are far more lax in Denmark.

Like I've been saying: You can raise taxes back to 1960, if you roll regulations back to 1960. Otherwise, if you simply raise taxes, our economy is going to collapse, because there'll be no incentive for local production.

Maybe it should be? If America doesn't produce anything, and all the raw materials and labour actually come from abroad, America shouldn't BE the richest country. I feel the same about the UK, we don't actually DO anything so why do we have developed status?

America should be rich -> therefore we'll spend like we're rich is never going to permanently fix the economy. After all, economy has to be grounded in real numbers and not spreadsheets.

Raising taxes would be the correction US society needs to realise they are living beyond their means. And yes people are going to get hurt; anyone who's made the decision to be in a fluff job instead of something needed.

The problem with raising taxes is that the entire system is so littered with red tape and barriers, the hope of such an increase resulting in a positive result is unlikely. Revenues for taxation as a % of GDP is low, and needs corrected. I do not disagree with that (we're at about 15-16% of GDP, with the historical average being between 18-19%).

However, part of the culprit is the tax system itself. There are virtually thousands of pages of codes and laws for our tax system, which is fraught with deductions, loopholes, and special interests. Go after those first. Take out the deductions and other things that people use to game the system.. Simply raising taxes will, in the case of America, just add to the insane regulatory and compliance costs associated with the system.

That is why I want a flat tax - even if it was a higher overall rate. It'd get rid of the cronyism that is endemic with the American system of taxation.