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Um...The article was pointing out that those two curves are independent. Isn't that what you're saying too? That even large fluctuations in the highest tax br
by gills 18y ago
Um...The article was pointing out that those two curves are independent. Isn't that what you're saying too? That even large fluctuations in the highest tax bracket have no material effect on the bottom line.
However I agree with you that journalists should provide actual statistical analysis alongside charts, instead of adding sensational writing and letting the masses draw their own conclusions visually.
I would like to see a chart that plots (/ tax-revenue GDP) to the early 1900's.
- cia_plant 18y agoWe can't conclude from this chart that the two curves are independent - only that they have been independent historically. One explanation that leaps to mind is that the total tax level will remain constant because the government will always tax sufficiently to fund its programs, and those have stayed roughly constant as a proportion of GDP. This leads to a seeming noncorrelation between any segment of the tax code and total tax revenue. Even if the above explanation is far off-base, I hope it shows how a historical noncorrelation doesn't necessarily mean a lack of causal connection.