Quote:
Originally Posted by Lakewooder
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That may make some voters
feel good, but that's not the way to go about spurring an economic recovery.
The top 5% pay 60% of the federal income tax revenue. What happens when all of that money is taxed out of the economy and then spent by the government? Harvard University's Robert Barro has found that for each dollar that has been taxed out of the economy and subsequently spent by the government, the effect of that government spending is a
destruction of $1.10 of economic growth.
http://mercatus.org/sites/default/files/publication/Macroeconomic%20effects%20from%20government%20purc hases%20and%20taxes.pdf
If you want
further destruction of the economy, keep taxing...