Let me offer a few simple, cranky, thoughts on taxes today. (1) I like to believe I am not the dumbest person on the planet. I also happen to be a professional economist. And I have absolutely NO IDEA going into the year how much in tax obligations I owe to the government at all […]
Category Archive for 'Taxation'
That would be people like my wife who continue to work. Here is how her income is taxed: Federal tax rate of 28% (her wage puts us in this bracket) State tax rate of 6.5% Social security – her “share is 7.65%, her employer pays 7.65%, but since we know that the incidence of this […]
It is typically asserted that on utilitarian grounds we can and should redistribute wealth from the richer to the poorer. On its face and all-alone the argument makes some sense. The argument goes like this: since there is diminishing marginal utility of wealth, a dollar to a rich person is worth less than a dollar […]
One often hears the claim that, “top marginal tax rates were once 90% and the US grew like gangbusters.” One may have also heard the expression, “the optimal top marginal tax rate is 70%.” With regard to the first claim – let’s ignore the macroeconometric problems with making such assertions. We can also ignore the […]
Let’s tax corporations more. After all, they have plenty of profits. OK, I agree. Then I hope you all get on board with the following proposal. Let’s impose a 10% tax on all “schools’” revenues. After all, schools, especially places like where I work, take in BILLIONS of dollars of revenue. They employ and they […]
Try this on for size: Evidence indicates that the price elasticity of demand for labor is quite high, at least 3. That is, an increase in average wages of 1% would lead to at least a 3% decline in the number of hours of work demanded by employers. Labor economists believe, however, that the price […]
Well, among the many reasons that I no longer favor it is that I’ve started to realize I live in big boy world, and not the fantasy world of good economics I thought about when I first became a professor: Schuerhoff, Marianne, David Zetland and Hans-Peter Weikard (2013). “The life and death of the Dutch […]
from Tim Taylor. Here are some older thoughts on mine on taxing the rich more. And here.
Just wanted to update my readers on the amount of greed in the economy. In March of this year, the average retail price of gasoline was $3.85. In the first week of November, the average retail price of gasoline was $3.34. So, I guess gas and oil companies are feeling 13% less greedy these days! […]
Some supporters of the minimum wage do so on the grounds that even it is costly, that corporations simply “pass on the cost” to their customers, who are so obviously different and richer than the workers “needing” the pay increase. Fine. Believe it. But riddle me this. What do these same people think about putting […]