He does not turn 6 taxes to three. He institutes a new tax and lowers some other tax rates. Unless he can get through a constitutional amendment barring some taxes all he has done is lowered the rate of some taxes to zero. That rate can just as easily be raised when the Dims get back in power.
For whatever reason the American public have not stood for a broad national sales tax. If Cain were to open that door with out barring the door other taxes, he is just a taxer in my view.
As for Laffer, the argument has never been economic here. Everyone knows the Cain plan would be good for the economy IF instituted as he wishes, ie 9-9-9. The issue is political economy or public choice. Is it smart to give the Dims another tax to raise that they have not been able to enact previously. Or put another way is it smart to follow the European model of taxation of having national broad sales [VAT] tax along with a national income tax.
In this respect Cain is very much like Obama. Cain is seeking to get the US to follow the European model of taxation as Obama has sought to get the US to follow the European model of government expenditure and regulation. The Dims love the idea of the European model of taxation of course and plan to get the rates to European levels asap upon regaining power.
What stops the Congress from raising income tax rates to 75% tomorrow? The same thing that would prevent screwing with the rates of 999?
Cain’s plan ELIMINATES the death and payroll and excise and capital gains and the double taxation on dividends in EXCHANGE for a sales tax.
You’re worried about those eliminated taxes being resurrected. Sure it could happen. Just like tomorrow the Congress could pass a homeowners excise tax and a renters tax and a carbon footprint tax and mileage tax and a new chinese goods tariff and a luxury tax and a square footage tax and anything else you can imagine.
They don’t because they’d be tossed out of office. And with 999, the fed tax base is greatly broadened. So raising any of the remaining three components will get severe blowback, instead of class warfare.
Maybe you prefer some idiot’s 59 point plan that is 5 times the size of the US constitution?