We are talking about prices dropping 20% because of 'embedded taxes'.
Don't know about you, I am talking about first year producer prices (price sans tax) dropping 20% as a consequence of implementation of the FairTax legisilation.
Jorgenson's IGEM simulation results indicate a 20% fall in prices received by producer as a consequence of implementation of the FairTax legislation.
Jorgenson's statement about prices falling 20% was not contingent upon growth or anything else, it solely had to do with the removal of all taxes and the compliance costs associated with them.
Jorgenson's conclusions RE prices, is a comprehensive whole, the result of all factors effecting prices arising out of implementing the FairTax legislation and is not limited to your perceptions of a narrow set of constitutes the factors contributing to decline in producer price.
You might wish to constrain discussion to something less than the totality of that study and all the economic factors that provide for that change in price. That is your probem not mine.
If you continue to quote Jorgenson's numbers and says it means something else, it is a bold face lie.
Since I refer to Jorgenson's IGEM study results as a whole, in context. Your implied allegation simply is one more case of ad-hominen attack for effect lacking substantive argument in support of your positions.
Sorry Jorgenson's study is what it is, the results he states are what they are for all the interelated economic factors that enter into its results, not merely your narrow perceptions of what you want to talk about as regard to price change. Price change is the consequence of the whole of all factors entering into the general equation, not merely the some of some subset of pieces you want focus on.
Jorgenson indicates a first year 20% drop in price received by producer (price sans tax) price. With that is a first year 10% increase in GDP, 76% increase in real investment, 26% increase in exports, more than 20% increase in overall business sector production. Jorgenson, does not give any number for change in wages; However, the study results in high GDP growth which strongly supports increasing demand for labor, thus contracted gross wages are obviously sustained at current wage levels or higher as a consequence.
Well that is a nice bait and switch. You ought to tell pigdog, Boortz, and the fairtax.org people. Here is what the fairtax FAQ says:
All goods and services already contain the embedded costs of the current tax system in their prices. When these embedded taxes are removed, prices come down. Dale Jorgenson, Ph.D., former chairman of the Economics Department at Harvard University, has projected an average producer price reduction of 22 percent for goods and services in just the first year after the adoption of the FairTax.
Nothing about growth, only 'embedded taxes'. How deep are you going to dig yourself before you admit to this gross misrepresentation by fair taxers?