[kevkrom]

Rob,

You are so focused on the specific numbers that you seem to have missed a vital point in Dr. Jorgenson's first response to you:

Any gains by workers and investors would be the result of increase [sic] economic efficiency.

Your analysis of employee income, producer costs, and consumer prices is based on a static view of the world that does not take into account the dynamic impacts of the changes to the tax system. Without taking those effects into account, your numbers aren't going to make sense no matter how you apply your assumptions.

[RobFromGa]

you miss the point, I am not debating whether the actual FairTax is a good or a bad thing for the econoy and for Americans in the long term through economic growth.

I am attempting to expose a $1.3 Trillion misrepresentation in the way the plan is sold in The FairTax Book, and this is being accomplished. Once the dust settles on this correction, we can debate away on the relative merits of the actual plan.

[Always Right]

Your analysis of employee income, producer costs, and consumer prices is based on a static view of the world that does not take into account the dynamic impacts of the changes to the tax system.

But the fair tax assertion that prices immediately come down 20% can no longer be made.