Points Made Without Knowledge
Robert Samuelson writes a good op-ed in today's Washington Post. He ends by writing:
A VAT might be the least bad tax, though my preference is for energy taxes. But what's wrong with the simplistic VAT advocacy is that it deemphasizes spending cuts.That's fair enough. However, earlier in the article, Samuelson makes a point without knowing it. And I don't know if that's because he didn't notice what he wrote, or he would rather not draw attention to it.
But the actual increase might be closer to 16 percent because there would be huge pressures to exempt groceries, rent and housing, health care, education and charitable groups. Together, they account for nearly half of $10 trillion of consumer spending.Samuelson is stating that the VAT wouldn't be enough to lower the deficit. But, he ends up making a point that it's just plainly expensive to make a living, period.