What needs to be analyzed here is what is the principle that Cain is trying to implement by the national sales tax? I see it this way:
1. EVERY American pays the tax.
2. EVERY American pays the same tax rate.
3. EVERY American is empowered to control how much tax he pays by regulating his purchases (beyond necessities). If he sees the need to Go Galt, the FedGov will feel it directly.
4. EVERY politician’s constituents will be affected by ANY tax rate increase. They will not be able to get away with voting to raise taxes on “the other guy.”
5. ANY tax rate hike will be clearly visible to EVERY taxpayer — it would be right there on your receipt for purchase. Congresscritters could no longer raise and raise the tax burden (as they have on the cost of gasoline) without people realizing it and raising hell.
Any tax that accomplishes the implementation of those principles would be a great thing for our country.
“1. EVERY American pays the tax.
2. EVERY American pays the same tax rate.”
Except the ghetto dwellers in “empowerment zones”.