[Your Nightmare]

The revenue neutral calculation you are talking about is a calculation of how much stuff is sold that will be subject to the Fair Tax, divided by the amount of revenue that needs to be replaced.

RFG, the flowing paper discusses some of the ways the FairTax uses dodgy accounting to achieve "revenue neutrality." It's an interesting read.

Achieving "Program Neutrality" Under a National Retail Sales Tax

Evan F. Koenig
Research Department,
Federal Reserve Bank of Dallas

[rwrcpa1]

I thought you didn't like economic studies.