Now compare this with not having a sales tax or VAT and just having a tax on employment instead - paid by the business, not the employee. Which follows once yo

Now compare this with not having a sales tax or VAT and just having a tax on employment instead - paid by the business, not the employee. Which follows once you realise that government taxes to release resources for its own use, which given government is largely service based means employees. Now you have a tax that is progressive, not regressive and deals with the vertical integration issue. Employees are what create the "value add". Tax is required to release employees for the public use, which means you want less employment in the private sector than there otherwise would be.