Tax the Rich

By Econ70 | 11/10/2011

The inheritance tax hurts the poor by encouraging the rich to overspend because they can’t leave it all to Junior. This tax-avoidance induced spending on jets, boats and lavish parties reduces the money available for new plant and equipment. Look, America already overconsumes. We shouldn’t pass tax increases that exacerbate this. So go ahead and…

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Blackmailer’s Paradox

By Econ70 | 08/04/2011

Faced with a no new taxes or a debt default ultimatum from the Tea Party, Obama should have either called their bluff and appeared genuinely willing to let the US default or should have pursued the 14th amendment option with its language about “the validity of the public debt.” Either strategy would have attenuated Tea…

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Taxes and Rates

By Econ70 | 01/20/2011

Ever wonder how much federal tax you pay? The answer (with some assumptions) depends on 4 tax rates. 1st you pay the combined income and payroll tax on earnings. 2nd you pay the corporate tax while you invest your money. 3rd you pay dividend and capital gains tax as you receive the income. 4th you…

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