There is no evidence that shows progressive tax rates are detrimental to an economy. Our most prosperous times have coincided with the steepest progression.[/quote]
I guess this is the source of that Clinton’s employment data under Dem vs GOP.
Hate to admit it, but it makes a lot of sense. If my income over $250k is taxed at 50% instead of 30%, I’m penalized for saving that money or using that money for personal use. Instead, I’m given essentially a 50% off coupon to buy anything and everything that can be office related so I can expense out those purchases to bring my tax base down to $250k. More money is pumped back into the economy this way. Which then trickles down through the economy.
Whereas if that over 250k tax rate is treated exactly the same as those less than $250k, I might just put off those office purchases and save and bank that cash instead. The money is removed from the economy.
I’m sure Romney fully understands this too. Although I doubt the GOP base really comprehends this.
