THE LEFT SAYS "TAXES DON'T MATTER" HERE'S THE REAL STORY ON EQUITY-CAPITAL FORMATION & FIXING PUBLIC SECTOR BALANCE SHEETS
Chart Of The Day: The Inverse Relationship Between The Top Marginal Income Tax Rate And The Tax Burden On 'The Rich'
with Thomas Sowell via Hoover Daily ReportNow that Rep. Ocasio-Cortez wants to raise the top personal income tax rate to 70% and Rep. Ilhan Omar thinks 90% would be even better, it might be a good time to review the history over time from 1960 to 2013 of: a) the top marginal tax rate in every year and b) the share of total income taxes collected from the top one-half percent of taxpayers.
CBO As Agenda Setter On Tax Policy
by David R. Henderson via EconLog
In December 2018, the Congressional Budget Office published a 316-page report titled Options for Reducing the Deficit: 2019 to 2028. Those reports are often useful because they can tell you the implications for the deficit of various changes in government spending and in tax law. This report is relatively comprehensive. It examines dozens of ways in which the U.S. government could cut spending and dozens of ways in which it could increase taxes.
Taxes, incorporation, and productivity
Robert J. Barro and Brian Wheaton | AEI Economics Working Paper Series
Long-difference regressions for 1968–2013 show that a higher tax wedge reduces the C-corporate share of net capital stocks, equity (book value), gross assets, and positive net income, as well as the corporate share of gross investment.
America Off Balance: One Nation Under Debt
with Hoover Institution via PolicyEdScroll through America Off Balance, the Hoover Institution’s new web platform that guides users through the tough choices that must be made to avert looming fiscal disaster and fix the federal budget. The platform hosts three major digital products: an interactive tour of the federal budget (The Balancing Act), a comprehensive state-of-the-art Budget Calculator to identify and test new reform proposals, and Budget Matters, which offers analysis and commentary on policy options.
New Hoover Institution Digital Products Highlight Fiscal Challenges And The Need To Fix America's Chronic Debt Problem
via Hoover Daily ReportScholars at the Hoover Institution have created a new web platform, America Off Balance, that hosts digital products highlighting the looming fiscal disaster that the country will face—unless tough choices are made, and made soon.
MASTER KEY TO THE SHUTDOWN: THE US SENATE, THE POVERTY OF LIBERALISM & HOW THE DEEP STATE CAME TO AMERICA
How the Deep State Came to America: A History by Ryan Gingeras
Chart of the day . . . or century?
Mark J. Perry | AEIdeas
Success is not a sequence
Brent Orrell | AEIdeas
The “success sequence” — the argument that avoiding poverty depends on graduating from high school, getting a full-time job, and marrying before having children — is enjoying a minor resurgence in policy circles of late.
Why 70 Percent Tax Rates Cannot Finance Socialism
Brian Riedl, National Review
Representative Alexandria Ocasio-Cortez’s call for a 70 percent income-tax rate to finance green-energy initiatives has energized the Left. Yet this is completely destructive proposal. A 70 percent tax bracket would raise very little (if any) revenue, while damaging the economy and sending income and jobs overseas. While details of Ocasio-Cortez’s energy proposal are unavailable, former Green-party presidential candidate Jill Stein has proposed a “Green New Deal” costing between $700 billion and $1 trillion per year for public jobs and clean energy initiatives. That is roughly 4 percent of GDP. Read more here....
GUNS 'N BIBLES: THE FRUSTRATION OF TRUMP'S DEPLORABLES?? & PAYING BROKEN PENSIONS, FIXING SOCIAL SECURITY; IDENTITY POLITICS EXHAUSTS AMERICA
Economic shocks and clinging
Michael R. Strain and Stan Veuger | AEI Economics Working Paper Series
During his first campaign for president, Barack Obama was criticized when he argued that residents of towns with poor local labor markets “cling to guns or religion or antipathy to people who aren't like them or anti-immigrant sentiment or anti-trade sentiment as a way to explain their frustration.” Michael Strain and Stan Veuger test empirically whether this is the case.
Policy Briefs: Josh Rauh Warns Why Taxpayers Will Have To Bail Out Public Pensions
by Joshua D. Rauh via PolicyEd
State and local governments are claiming that they’re running balanced budgets, when in reality they’re relying on future investment returns to pay for pension benefits to retirees.
Increased Workforce Participation Alone Won’t Fix Social Security Finances
Charles Blahous, E21
Last month, Morgan Stanley published a research report projecting that US labor force growth will exceed Congressional Budget Office (CBO) projections starting in the 2020s, and also asserting that this faster growth “should” delay Social Security’s insolvency, “perhaps by decades.” Specifically, the report stated that “a faster increase in the pool of covered workers is an important factor in the Social Security Trustees’ ‘low cost’ scenario, which would delay the date at which the Social Security trust fund reserves could become depleted from 2034 to 2062.” Read more here....