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We do already have this problem with high marginal tax rates (counting the drop in available welfare as part of that 'marginal tax') at the border between unemp

We do already have this problem with high marginal tax rates (counting the drop in available welfare as part of that 'marginal tax') at the border between unemployed/low-income/middle class. This article gives some good examples of where it happens currently: http://www.heritage.org/research/reports/2013/01/effective-marginal-tax-rates-for-low-income-workers-are-high http://www.heritage.org/research/reports/2013/01/effective-m...

eli_gottlieb 14y ago
The other side of that same problem is that people who fall into lower levels of income have a very hard time proving they deserve access to the meager welfare programs that keep the permanently destitute from burning down society in a fit of lumpenproletarian rage.