Under that dire scenario, an income tax fares no better, and probably worse, than a sales tax for generating federal revenue. If necessary, the government will go into defecit spending, which is a typical government reaction to a recession.
"If necessary, the government will go into defecit spending, which is a typical government reaction to a recession."
We are already in a defecit spending mode. The government just announced yesterday that it would increase the amount of treasury bills etc., to borrow money, which of course later has to be payed back.
As I mentioned I really should not be included in these discussions, after realizing I probably cannot contribute any worthwhile ideas. I am not a economist by trade, nor have a solid background in economics. So my thoughts probably are simply not worth responding to. Seriously.
Thanks for your further input.