patrick.net

There is no income inequality.
There is only talent inequality.

CL says

Is it only through taxing the wealthy that we can achieve a more stable distribution of income and wealth?

http://www.youtube.com/embed/rc-bELgAowU

Higher tax rates (symbolism) or higher tax revenue (substance)?

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http://www.nytimes.com/2006/07/09/washington/09econ.html?pagewanted=print&_r=0

July 9, 2006
Surprising Jump in Tax Revenues Is Curbing Deficit

By EDMUND L. ANDREWS
WASHINGTON, July 8 — An unexpectedly steep rise in tax revenues from corporations and the wealthy is driving down the projected budget deficit this year, even though spending has climbed sharply because of the war in Iraq and the cost of hurricane relief.

On Tuesday, White House officials are expected to announce that the tax receipts will be about $250 billion above last year's levels and that the deficit will be about $100 billion less than what they projected six months ago. The rising tide in tax payments has been building for months, but the increased scale is surprising even seasoned budget analysts and making it easier for both the administration and Congress to finesse the big run-up in spending over the past year.

Tax revenues are climbing twice as fast as the administration predicted in February, so fast that the budget deficit could actually decline this year.

The main reason is a big spike in corporate tax receipts, which have nearly tripled since 2003, as well as what appears to be a big increase in individual taxes on stock market profits and executive bonuses

I like the quote from Keynes paraphrasing: it is possible to raise the taxes so high that they will defeat their own purpose.

No economist has ever uttered the phrase "trickle down theory"

Hard to beat the logic of the Sowell man.