Raising Taxes Not Revenue

There's a lot of talk about increasing taxes these days.  But that's not the real issue.  The real issue is can, and should, we increase government revenues? When liberals call for tax increases they mean increasing tax rates or instituting new taxes.  But what liberals say they want is more government revenue. The confusion about the relationship between tax rates and revenues comes from the fact that liberals and the media assume that increasing tax rates and/or establishing new taxes will increase government revenue.  But that's far from clear.  Theoretically there are two ways to increase revenue.  Rates can be increased or the tax base, the amount of money that gets taxed, can increase. Common sense, and past history, shows that increasing tax rates can cause people to not invest and even Obama, in August 2009, said it was bad economics to raise taxes in a recession. When people aren't spending, increasing their taxes will just cause them to spend...(Read Full Article)