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I agree. The more competitive the tax regime the more efficient it is to create jobs. That is a major reason why California and New York have the highest unemployment rates. They also have the highest tax rates.

"I agree. The more competitive the tax regime the more efficient it is to create jobs. That is a major reason why California and New York have the highest unemployment rates. They also have the highest tax rates.'

Sorry, your point is a little different than mine. Tax relief is great, tax reform is just as great. By taxing corporations, we imbed the cost of our social programs into our manufactured goods at each step in the production chain. Economists have estimated the cost of our current tax system (including our staggering compliance cost burden) to account for 15 - 30% of prices that producers must charge. If we stop taxing income, competition would force down prices and we could ship products out of the country at significantly lower prices. We would then charge a sales tax on personal consumption, which would make US produced goods cost consumers about the same, but imports would be higher. Our exports, on the other hand, would be lower priced than they are now, which will increase the demand for them. In effect, the demand for US produced goods would increase both here in the US, and in foreign markets as well.

Of course, the FairTax would also exert downward pressure on the rates by making the taxes that we pay more visible. That, however, is another post.

The more competitive the tax regime the more efficient it is to create jobs.

Yes, look at Pennsylvania - Democratic governor raised taxes, refuses to lower our already high tax rates, companies move out. Look at my hometown of Pittsburgh PA -- mayor refuses to lower taxes, instead sought and received distressed status for city -- raised more taxes, parking tax at 50% is highest in nation, businesses threatening to move out of town. The Dems just refuse to see any connection between high taxes and lost jobs!