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Modern FederalistPapersAn Informative Newsletter to all U.S. Citizens

An Anti-Progressive Tax Argument

Argument & ClaimsClaims against the American

progressive tax system and

how it is an inefficient system

as well as a counterclaim.

Page 2

Solution to the ProblemA strong solution to the

unfairness of the progressive

tax: A flat tax.

Page 3

Henry Ehlen May 28th 2013

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Is it really

fair?

Henry Ehlen May 28th 2013

Many supporters of the progressive tax stand behind it because of itsprinciple that the wealthy population in America has more income togive and they don't need it; the Oregon Center for Public Policy

addresses their opinions on the progressive tax through many essays.

This principle can be disproven through the simple thought process thatthe wealthy are who invest in the economy, philanthropies, andemployment opportunities. With less available capital willing to be

invested - which is a factor of production that is required to keep acapitalistic economy functioning, meaning every citizen in a capitalisticsociety benefits from it - growth of the economy is decreased. A personin the lower tax brackets does not have the ability to start a businesswithout the proper amount of money, even though they may have the

motivation to try to; in other words trickle-up prosperity does not work.

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Failure of the Progressive Tax:Example of Prospering Lowered Taxes in the 1920s

A Policy of Lower Taxes

Henry Ehlen May 28th 2013

There

can be no

moral

of the

tax.

-Ronald

Reagan

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An Alternative to the Progressive Tax

SystemA Flat Tax Rate for Every Citizen

People need to take a vested interest in

dangers produced by the progressive system.

Most important of these dangers would be the

income inequality gap that the progressive tax

system repeatedly increases. This does not only affect the impoverished, but

it touches the lives of every living American.

Additionally, rising government debt only

hurts the reputation of the United States on the

world stage

The optimal flat tax rate shown through other countries is

somewhere between 15-20% This is shown through Baltic countries that have boasted up to a ten-percent yearly

increase in GDP (Gross Domestic Producta number economists utilize to determine

the strength of an economy) over recent years.

May 28th 2013Henry Ehlen

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Works Cited

Garst, Brian. "Income Inequality: A Progressive Tax System Isn't the Best Solution."

PolicyMic. PolicyMic, Feb. 2013. Web. 15 May 2013.

Matthews, Dylan. "Americas Taxes Are the Most Progressive in the World. Its

Government Is among the Least." Wonkblog. The Washington Post, 5 Apr.2013. Web. 15 May 2013.

Mitchell, Daniel J. "Cato At Liberty." Cato Institute. Cato Institute, 1 Apr. 2013.

Web. 15 May 2013.

"Oregon Measure 66-67 Failure Now National News." The Oregon Catalyst. TheWall Street Journal Editorial, 21 Dec. 2010. Web. 15 May 2013.

Rugy, Veronique De. "1920s Income Tax Cuts Sparked Economic Growth and

Raised Federal Revenues." Cato Institute. Cato Institute, 4 Mar. 2003. Web.

07 June 2013.

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