[phil_will1]

"You are also jumping to the assumption that a reduction in costs (assuming there are some) would be passed on to the consumer as a price reduction."

For the millionth time - it isn't an assumption, it's an economic reality.

I was talking to my daughter the other day about her classwork. She's a sophomore in college and she just completed her first economics course. I asked he if they still teach the concept of the elasticity of demand. She said they certainly do. It's too bad more people don't understand basic macroeconomics, or that question/objection wouldn't keep popping up.

[phil_will1]

"I asked he"

S/B I asked her

[ARCADIA]

For the millionth time - it isn't an assumption, it's an economic reality.

Yes, an economic reality under a well regulated and fully functional free market. That is not where we are. But, rest assured that when Disney sets up their Economy Land theme park, that theory will be one of the first things they put in.

[Your Nightmare]

I asked he if they still teach the concept of the elasticity of demand. She said they certainly do. It's too bad more people don't understand basic macroeconomics, or that question/objection wouldn't keep popping up.

I must not understand basic macroeconomics. Maybe you can explain to me how elasticity of demand states that prices would fall with the FairTax.