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People invest to make money after tax: the higher the tax rate, the fewer investment opportunities that can produce an acceptable after-tax return.
FORBES: Taxpayers Should Be Leery Of Warren Buffett's Faux Noblesse Oblige
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The White House has stopped negotiating for ideal or even acceptable tax policy and moved to negotiating stimulus policy.
FORBES: Is the Tax Debate In Washington Becoming Stimulus 2.0?
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With projected federal spending topping 34 percent of GDP and the known politically acceptable levels of federal tax revenues falling below 20 percent of GDP, we are between the proverbial rock and a hard place.
FORBES: Bullets vs. Band-aids: Is Health Spending Crowding out Defense?
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In December of 2011, and again in February of 2012, the American people took to the Internet to tell Washington in no uncertain terms that letting the payroll tax cut expire was not acceptable.
WHITEHOUSE: Our Top Stories
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And as long as their position is that no tax increase of any size under any circumstance is acceptable, there will be no final budget resolution for 2014.
FORBES: Don't Hold Your Breath For A Budget: House, Senate Aren't Even Trying To Reconcile Bills
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And will the proposed integration of eurozone countries' tax, spending and borrowing policies be both effective and acceptable to citizens who still want national governments to count for something?
BBC: Has Merkozy taken Italy out of the danger zone?
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The notion that tax cuts (and unspecified budget cuts) are the only acceptable economic policy actions, because they are the only ones that can ever work in the real world, is a dangerous fantasy.
FORBES: Why Newt Gingrich's Economic Populism is Good for the GOP
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While they remain effectively underwritten by tax-payers, then governments surely have a right to determine what is acceptable.
WSJ: Bankers Are Still There for Bashing
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How does this square with government loans to ideologically acceptable companies like Solyndra, while the rest of corporate America faces one of the highest tax rates in the developed world?
FORBES: American Exceptionalism Means Politicians Who Take Responsibility and Face Our Problems
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And even Grover Norquist has muttered to the effect that a carbon tax (which is something you could call a gas tax rise) would be the one form of new or raised taxes that would be acceptable.
FORBES: A Gas Tax Is Much, Much, More Efficient Than The CAFE Standards So Why Have We The CAFE Standards?