Fish Wrap Wonders If VATs Are The Cure For Deficits

Sure, why not, another tax on everyone is a good thing in Liberal World: Many See the VAT Option as a Cure for Runaway Deficits

Runaway federal deficits have thrust a politically unsavory savior into the spotlight: a nationwide tax on goods and services.

Members of Congress, like their constituents, are squeamish about such ideas (WT- since when are Democrats squeamish about raising taxes?), instead suggesting spending cuts or higher taxes on the rich. But with a lack of political will to do the former, and a practical ceiling to how much revenue can be milked from the latter, economists across the political spectrum say a consumption tax may be inevitable once the economy fully recovers.

“We have to start paying our bills eventually,” said Charles E. McLure, a tax economist who worked in the Reagan administration. “This strikes me as the best and most obvious way of doing it.”

Who’s “we,” Paleface? The deficit started ballooning when Democrats took over Congress in 2007, and hit record heights when a Democrat won the White House.

The Times then provides a long history and rational for VATs, mentioning other countries that use them, and how great they could be, except that “poor” people, you know, those folks who live in public housing, get welfare checks and free government health care, to go with their big screen TVs and SUVs, would be hit, so, the tax code would have to be fixed to nail “the rich,” ie, those who work for a living.

All this would do we be to add to the price of goods and services, reducing the buying power of the American people, and the buying by the American people, because you know this would simply be added on top of everything else. And what is missing throughout the entire article is the other option: Congress and the rest of the federal government chilling on spending, being responsible with the money they take at the barrel of a jail cell from the People.

Crossed at Pirate’s Cove

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