Wednesday, April 28, 2010

Thinking out Loud

If we increase taxes somewhat on the wealthy they will cease working hard, produce less and the tax revenues will decline. This assumes that the wealthy, the successful, will change into low achievers and stop trying if they earn less.


That's as simple minded as the assumption that bestowing benefits on the poor will change them into entrepreneurs and high achievers.


We can't change the nature of people simply with money incentives alone.