Friday, January 27, 2012
Politics: Your mission should you decide to accept it is to design a tax system ...
Here is my attempt to diagram what happens when Mr. Carl Citizen earns a salary at a company, saves money at his local bank, buys various things around town, responsibly keeps up his home, invests in a mix of dividend paying companies (so called "value" stocks) and companies that if successful will result in a capital gain (so called "growth" stocks).
Taxes are a necessary part of living in a modern society.
However, as you can imagine, Mr. Carl Citizen wonders how much government spending is useful versus wasteful and whether there are simpler and fairer ways to levy taxes for government revenue.