f every American what is now only within the reach of the wealthy. And that will rectify what I think are the fundamental inequities of the so-called progressive income tax where they try to lie to us and say that they're taxing the wealthy with progressive rates, and then behind our backs they set up a structure that allows the wealthy to control the incidence of taxation and get away with paying next to nothing. Therefore, the flat-rate sales tax is a beneficial position not only from an economic standpoint but also from a moral view as well. It would give disadvantaged households an easy way to avoid taxes rather than the complicated exemptions that do not help them in the current system. The large gap between wealthy and poor currently plaguing the United States would be bridged with a simple tax that is easily avoidable and helps to boost saving. Milton Friedman states that the national sales tax, would eliminate double taxation from the corporate tax and the individual taxlevel the playing field for income from diverse sources, reduce the disincentive of high marginal rates to innovation and enterprise, eliminate the marriage tax, and reduce the bias against saving. It is easy to see how the sales tax would be an incentive to save because both individuals and businesses would not pay taxes on their income and would therefore be able to save more. In Taxes, Saving, and Macroeconomics, Neil Buchanan writes, The general idea is that we should replace the current income tax-based system witha national sales taxintended to raise the U. S. economys long-term growth rate through encouragement of saving. Savingleads to higher investment, productivity, international competitiveness, and long-term economic growth. The economy would receive a boost from the increased saving, while the elimination of the marriage tax would strengthen the incentive for couples to marry. Also, no marriage tax would help eliminate the double taxation of...
