Saturday, December 11, 2010
There's No Escaping Hauser's Law - WSJ.com
Come to think of it, the tax hike advocates never provide any historical reasons to support their desire.
Just maybe, this is the reason...
Just maybe, this is the reason...
W. Kurt Hauser writes this and more on the Wall Street Journal website. He backs it up with history's lessons:
"Higher taxes discourage the 'animal spirits' of entrepreneurship. When tax rates are raised, taxpayers are encouraged to shift, hide and underreport income. Taxpayers divert their effort from pro-growth productive investments to seeking tax shelters, tax havens and tax exempt investments. This behavior tends to dampen economic growth and job creation. Lower taxes increase the incentives to work, produce, save and invest, thereby encouraging capital formation and jobs. Taxpayers have less incentive to shelter and shift income."
