The APT plan produces far more positive than negative results :
POSITIVES
Strong dollar due to economic stimulus attracting foreign investment where no income or excise taxes exist.
Very low interest rates due to extra savings by individuals and attraction of foreign investment capital allowing lower cost capital and infrastructure expansion.
Budget elasticity for government including the ability to respond to special demands such as war or national emergencies.
Eliminate budget deficits with minor adjustments in an already extremely low tax rate. Eliminate accumulated national debt through same mechanism if desired - further strengthening the currency.
Multiplier effects of economic stimulus creating greater numbers and value of transactions in an upward spiral reducing rates or allowing more services.
Incentive to move toward a "cashless" system.
NEGATIVES
Public insensitivity to expansion of government budgets and commensurate regulation.
Very low interest rates for people relying on secure, fixed sources of income.
Loss of tax incentive for charitable contribution. People will have more wealth to give but must do so without economic advantage.
Strong dollar due to economic stimulus attracting foreign investment where no income or excise taxes exist.
No way can you claim that one as the tax is paid by business and cannot separated from their input costs be refunded back to them on export any more than corporate taxes today can be. As a consequence the price of exports are higher, cause the dollar to depreciate with respect to foreign currency markets as our trade balances continue in deficit due to lack of competitiveness of our goods in those markets.
Secondly with every transaction taxed, once again foreign investment will find no haven here. In fact with such transaction taxes liqidity of the markets will be such that finding anyone to take the other half of a trade in buying or selling investment will become a high risk venture with no way to predict the spread that will be incurred in such transaction. In todays markets one is able to sell or buy on the 1/8th point in large or small lots with no problem, in low liquidity markets such transaction costs will be much higher that even before counting the tax on the full value of the multiple transactions incurred by the trade.
Very low interest rates due to extra savings by individuals and attraction of foreign investment capital allowing lower cost capital and infrastructure expansion.
LOL, where are these low intrest rates coming from, thin air. That 30% of GDP still gets grabbed by government from the very businesses that must make up the tax losses through their interest rates charged against loans. The financial community that the APT hits the very hardest.
Budget elasticity for government including the ability to respond to special demands such as war or national emergencies.
Translated as government can raise the tax on whim, because their constituents don't see it happening, it all get passed in prices. No thank you, the APT is worse than the current tax system in this respect.
Eliminate budget deficits with minor adjustments in an already extremely low tax rate. Eliminate accumulated national debt through same mechanism if desired - further strengthening the currency.
See above, as well as the fact that government spending has never declined by raising a tax.
Multiplier effects of economic stimulus creating greater numbers and value of transactions in an upward spiral reducing rates or allowing more services.
Taxing something means less of it, infact a transaction/turnover tax assures vertical mergers toward inefficient monopolies. Just the opposite of more transaction infact the author of the APT promises the number of transactions to fall to 50% of current levels. Once again you are blowing smoke with just noise.
Incentive to move toward a "cashless" system.
You may call that a positive, more govenment control and monitoring of the individual is not a positive.