On taxes, is President Obama’s plan even more of a disappointment?
Legislators and economists of all political persuasions agree America needs to lower or hold constant marginal tax rates while eliminating or curbing deductions, exemptions and credits that now cost roughly $1 trillion per year. Such an overhaul could make the tax system both more efficient by removing distortions and disincentives to work, and more progressive, since the affluent make more use of such loopholes than the poor.
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It seems like the subtext of the question might have already answered it. Frankly, I am not sure that one can fully assess the President's ideas on taxes until its long term effects are seen. Differing economic philosophies are always going to have staunch opponents and proponents. I am not sure that the current economic situation is one whereby one can fully stick to one singular economic philosophy and hope to find success. The problem is so very complex and embedded in so many different realms that a plurality of approaches have to be adopted and modified in order to find some glimmer of success. The President's plan seeks to take one such approach. I will say that the President might have identified a particular problem that needs to be addressed in terms of how taxation impacts different economic brackets and in seeking to bring light to this challenge, he has initiated a dialogue that is long overdue. Whether or not the President's plan is a "failure" is something that has to be seen over time and cannot be assessed right now.
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