It is interesting to me, the statistics that you put out on that data, that if you believe in a free market economy, you understand that description intuitively. You understand there is going to be dynamic growth that is stimulated because there is a return on investment. If you don't believe in the free market economy, then you think somehow that people that make money and create jobs are evil, and they should be punished for their productivity. When you punish productivity and tax it, you get less of it. That was another Reagan statement. What you tax you get less of. What you subsidize you get more of. We are going to see productivity more highly taxed. We get less productivity, and this economy will slow down. I point also that if we could freeze our spending at current levels, sometime in the middle of fiscal year 2010 we would be looking at a surplus. That is something else to consider.
Editor's note · Context
Discussing the implications of taxation on productivity and economic growth.
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