I don't think there is anything wrong with my math or theory, except that it's a hypothetical example for the purpose of demonstrating how taxes can cascade and produce a savings under the FairTax significantly greater than just the tax savings at the Retail level alone. The dynamics would be the same if it were applied to real rather than hypothetical values. If I am mistaken, I would be pleased for anyone to point out and explain to me my error.
However, you may be making a logical error in comparing my example to statistics of the FairTax base. The current corporate tax system is much much broader than the FairTax base. The cascading effect take place throughout the entire production tree up and including the FairTax base, not just in the FairTax base alone. A correct comparison would consider not only the direct tax savings on the FairTax base, but also the cascading effect of all the other industry as well.
I've stated what I believe what validate or invalidate "wages must come down" theory. I think the statistic you've presented neither validates nor invalidates the theory in question, unless I'm misunderstanding something, in which case, please explain my error. I'm not necessarily taking the position that you're wrong. I'm just trying to find a way to reasonably and confidently verify.
That post was addressed to phil_will1, I just copied you.
However, you may be making a logical error in comparing my example to statistics of the FairTax base. The current corporate tax system is much much broader than the FairTax base.I know it's broader, I used the FairTax base so there wouldn't be any questions about the "prices" we were talking about. The broader base would actually reduce the percentage that corporate taxes could possibly be in prices.