When the pain finally reaches a breaking point, expect to see a VAT or some sort of national sales tax. It's about the only solution I can see, short of big cuts to entitlements. At the end of the day, we are building a European-style social system (yuk) but have neither the tax base nor the rates to support it. But the tax base is going in the wrong direction.
Me, personally, it makes absolutely 0 sense to give someone a handout and then turn-around and tax them when they spend that handout. But that's just me. Again, it's the middle class that is and will continue to suffer the most in terms of seeing more and more of their discretionary income get taken away to be given to the "poor". It does create a rather large disincentive to work hard and succeed. It's the proverbial hampster wheel.
gut
Senior Member
G
15,058
posts
G
gut
Senior Member
15,058
posts
Tue, Mar 13, 2012 6:19 PM
Mar 13, 2012 6:19 PM
Mar 13, 2012 6:19pm
