So his analysis has great shortcomings since there is really no way to reduce everyone's wages by the taxes they currently pay.He had to do that to get the results AFFT was paying him to get.
When a study is commissioned, its pretty easy to manipulate results by defining parameters. The FairTaxers insist all adhere to the issues as defined by them and ignore obvious omissions such as the effect of tax evasion through black market transactions.
"He had to do that to get the results AFFT was paying him to get."
In fact, NO, he didn't since Jorgenson has his own competing tax play that he pushes inside the Beltway at every opportunity. He has said that he stands behind his economic analysis which has been greatly distorted on these threads by those who oppose the FairTax.
In fact, Jorgenson and Kotlikoff take rather opposite views and both cannot be correct at the same time. Jorgenson assumes that in effect prices (and wages) will fall by more or less the amount of the income tax while Kotlikoff assumes that wages remain steady and prices rise by the amount of the tax. Both cannot be correct. Both, however, make these simplifying assumptions to move their overall analyses along to some conclusion. Neither are necessarily predictions of what will happen in the real world.