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I've found that pretty much any conceivable tax curve can be considered "fair" for some definition of the word. The disturbing thing is, most of those definitio

I've found that pretty much any conceivable tax curve can be considered "fair" for some definition of the word. The disturbing thing is, most of those definitions are really not that ridiculous if you make the case for them well enough. IMO the flat tax has such great appeal because it's pretty idiot proof to explain, not because people really think it's fair - under most money -> utility mappings it's extremely regressive, and I think even its proponents realize this, but it doesn't bother them because of the idea that regressive tax structure is a net win even for the poor by keeping money in the hands of the people that can do the most efficient things with it. But even getting into that debate involves thinking, which people do precious little of when it comes to politics...the notion that "fair" can be achieved with a simple one-sentence statement is so appealing that it's hard to make headway in the argument.

rbranson 17y ago
Agreed. The problem with regressive taxes is that it ignores that there's a sweet spot in income for people who perform efficient financial transactions. In reality, efficiency doesn't come into play for those who have little discretionary income, so it doesn't matter, outside of the moral standpoint of excising taxes on those who truly can't afford it. They spend the money as soon as they get it. The issue is with the top few hundred thousand income generators, who are heavily incentivized to maintain the status quo, and also have the means to put resources towards it thru lobbying, purchasing and killing innovative competitors, etc.
evgen 17y ago
it doesn't bother [flat tax proponents] because of the idea that regressive tax structure is a net win even for the poor by keeping money in the hands of the people that can do the most efficient things with it. Also worth noting is that fact that flat tax proponents are usually the people in whose hands this money will be kept :)
- jff 17y ago
  Of course, the idea is that it won't be kept in those hands for too long--or rather, the same money won't stay in those hands for long. Hey, somebody has to buy those yachts!

rbranson 17y ago

Agreed. The problem with regressive taxes is that it ignores that there's a sweet spot in income for people who perform efficient financial transactions. In reality, efficiency doesn't come into play for those who have little discretionary income, so it doesn't matter, outside of the moral standpoint of excising taxes on those who truly can't afford it. They spend the money as soon as they get it. The issue is with the top few hundred thousand income generators, who are heavily incentivized to maintain the status quo, and also have the means to put resources towards it thru lobbying, purchasing and killing innovative competitors, etc.

evgen 17y ago

it doesn't bother [flat tax proponents] because of the idea that regressive tax structure is a net win even for the poor by keeping money in the hands of the people that can do the most efficient things with it. Also worth noting is that fact that flat tax proponents are usually the people in whose hands this money will be kept :)

jff 17y ago
Of course, the idea is that it won't be kept in those hands for too long--or rather, the same money won't stay in those hands for long. Hey, somebody has to buy those yachts!