Thursday, March 03, 2005

More music to my ears

Finally, it seems the tax issue will be hitting the forefront. I wrote my senior thesis paper on the benefits of a flat tax. The most important being that the decreased revenues in the short term would lead to increased government efficienes in the long term, and the reduction in dependence on an income tax whose recepits would eventually meet present receipts. In short, a constant and abundant national surplus. (There is also the benefit of lowering and simplifying personal income taxes, but we here at Righting Wisconsin prefer to put the Nation first).

First President Bush spoke about the intelligent economic moves made by the Slovak Republic in implementing a flat tax and now Chairman Greenspan (truely one of the great economic minds of our time) is touting the benefits of a consumption tax. While I like this idea less, it is at least bringing to light the need for not only tax code tinkering, but a literal overhaul of the entire system. While burning the whole code may lead to a neverending Springfield tire fire type bonfire in DC, the fumes could serve as a reminder to those on the Hill that the people will only take so much crap before they, ummmm light it on fire...or something.

Federal Reserve Chairman Alan Greenspan on Thursday embraced the notion of
overhauling the nation's tax system and said that some form of a consumption tax
- such as a national sales tax - could spur greater economic growth...As you
know, many economists believe that a consumption tax would be best from the
perspective of promoting economic growth - particularly if one were designing a
tax system from scratch - because a consumption tax is likely to encourage
saving and capital formation," Greenspan said...The tax panel is responsible for
coming up with recommendations to make taxes fairer and simpler. In addition to
revamping Social Security, Bush wants to overhaul the nation's tax system - two
centerpieces of his second-term economic agenda.

"A simpler tax code would reduce the considerable resources devoted to
complying with current tax laws, and the freed up resources could be used for
more productive purposes," Greenspan said.