About the only escape from the 30% "FairTax" rate would be savings, for the period that those savings were held. And ultimately, for most individuals, the only value of savings is for future spending.
And you can escape taxation on savings now! Just buy tax efficient mutual or index funds. Or a diverse group of Blue Chips - and hold. Look ma, no tax! And you do not have to be a moneyed interest to do this, for the investment of a few cartons of cigarettes you can get started!
I make 100,000 dollars I keep it all. The amount I can spend is only 75,000 dollars because I will pay a 23% (or 30%) tax rate.
That's a hand-to-mouth analysis. Lots of us are not in that situation. And we will have to again pay taxes on after tax savings, when we spend it, and so will see an immediate, costly reduction in the utility value of our savings. Those in the hand-to-mouth mode do not appreciate this.
the price of the used item will be bid up by other market participants, until it is, utility wise, priced the same as if it had been taxed at the "FairTax" rate? To not understand that basic economic fact is to suffer from a delusion.
IN your dreams. Only shortages get "bid up". IOW, the efficient market will take over, as has been argued all along.
And you can escape taxation on savings now! Just buy tax efficient mutual or index funds. Or a diverse group of Blue Chips - and hold. Look ma, no tax! And you do not have to be a moneyed interest to do this, for the investment of a few cartons of cigarettes you can get started!
And who is going to pay the taxes on your capital gains distributions, your dividends, the tooth fairy? You should read a book about mutual fund investing before giving out bad tax advice on a public forum.