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11 May 2017



A couple of points, some obliquely related:

. Too much tax policy is set up to drive social behavior oftentimes with unintended consequences. A huge example of that is high corporate tax rates and lack of deductibility of dividends, one result being a push for ever-higher stock prices rather than income streams.

. " humble Copernican view that we are located nowhere special on the ‘Laffer hump’". I think that's the best point here.

. I'm tired of the endless finger pointing at the golden era of 90% marginal rates and the miracles you get to receive with a return to that. It's easy to see that most mid 20th century gains were the result of a post-WWII bump, expansion of use of fossil fuels, build out of that generation of technical innovation. Plus, real tax rates were nowhere near that high. Point that fact out to Green Libertarians, and they will go back to the 90% mantra before the air has left your lungs.

."‘entitlements’ for people who get more than they give". I'll push back slightly on that. Quite a lot of the money spent by the poor and/or elderly (this last being a new class of non-workers) is needed to pay right back to the government. I'd hate to imagine what percent of their income a SS dependent person has to cough right back up in property taxes, sales taxes, gas taxes, vehicle taxes, add'l cost of modern buildings due to code, etc. etc. I can't say that the current situation is surprising given the modern tendency to latch onto medium and large companies for lifetime employment. Once that ceases, someone else (.gov) steps in to take it's place. The era of self-employment (and full adulthood you could argue) is largely gone. I hate to imagine how much 20 acres and a mule might cost in Nevada County at this point anyway, now that the 'entitlement' of homesteading has disappeared.

George Rebane

Scenes 612am - good points Mr Scenes.

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