The Positive Influence Of The FairTax On The American Economy

Click on The Positive Influence Of The FairTax On The American Economy to learn the impact that enactment of the FairTax bill (HR 25) will have on our lives.  This post is included on RTE under The FairTax found on the left hand side of the blog.

 

This new post:

 

1.  demonstrates why the FairTax bill is the most important piece of legislation in our lifetime for America;

 

2.  shows how the FairTax is the biggest transfer of power from the politicians to the people since the founding of this country;

 

3.  analyzes how the FairTax affects every component of the nation's Gross Domestic Product (GDP);

 

4.  includes an analysis of GDP vs. productivity by John Tamny;

 

5.  explains why excise taxes & tariffs are not included in the FairTax bill;

 

6.  shows why HR 25 is first & foremost a bill that controls government spending which is ultimately a net drag on economic growth by every measure;

 

7.  explains why manufacturing jobs will start to come back to America rather than continue their emigration;

 

8.  assesses how The FairTax provides a fair trade balance that we do not have now; 

 

9.  shows how the American standard of living will be raised through worker productivity increases;

 

10.  shows how money, comprised of many currencies, held in off shore financial centers & cross border financial centers will naturally seek America after enactment of the FairTax; 

 

11.  compares the pricing of a foreign manufacturer's products imported to America with no American component to that of the same manufacturer who builds their next plant in America to take advantage of the removal of embedded taxes realized after enactment of the FairTax - thereby restoring the Made In America label; &

 

12.  makes clear that after enactment of the FairTax the ordinary citizen will never come into contact with a federal agency for the purposes of collecting taxes again.

 

***

 

But despite all of the wonderful benefits of the FairTax listed above there are problems summarized as follows:

 

1.  The enemies of America have managed to bottle up HR 25 in the House Ways & Means Committee because the Joint Committee of Taxation has no methodology to properly evaluate the FairTax meaning that it will not come out of the Ways & Means Committee onto the floor of the House as it stands – even if we had the votes to pass it which we don't.  The House statists have checkmated the FairTax into the corner of W&M where they plan to keep it.  Source – Alex Poirot of Congressman Woodall's office.

 

2.  The only chance the FairTax has of becoming law is with an unwavering proactive endorsement by a presidential candidate who wins the election.  With Governor Huckabee dropping out of the presidential race the only candidate remaining who is a FairTax cosponsor is Senator Ted Cruz – & he has his own tax nightmare plan that includes an income tax & a form of a value-added tax – a combination of taxes used by every stagnate economy throughout the world.

 

3.  With the retirement of Neal Boortz the FairTax has had no national spokesman for three years.  Herman Cain, a former FairTax supporter, has his own national radio program, but neither Herman or any listener calling in has mentioned the FairTax in months – @ least not when I listen which I do every day.

 

4.  Many who do speak or write about the FairTax make serious technical errors, mostly through overselling the benefits of the FairTax.  Accordingly, critics have a field day calling into radio programs or attacking letters to the editors thereby making it harder for people attracted to the idea to learn it properly.  

 

5.  After all of the years the FairTax has been around there still are far too many misunderstandings by people who have supported the FairTax for years.  Two persistent examples are A) what will happen to retail prices after enactment of the FairTax & B) what the taxation of government entails.

 

With or without a presidential candidate or national spokesman the FairTax will never move forward until the principles are clearly & correctly understood.  All I can promise, especially to the 66% of Americans who feel the country is in decline, is that if you want to learn the principles of the FairTax, that brings back the prosperity & liberties the country was founded upon, I will not be the reason that you don't.