Laffer curve – http://en.wikipedia.org/wiki/Laffer_curve

Secondly, simply saying that it isn’t “fair” doesn’t address the issues of productivity when you have a progressive tax system where return on labor is outpaced by increases in taxes.

Even if we move beyond your top group to the second, you are still talking about paying close to half of everything you make in taxes. The same argument applies.

A progressive tax system is cool but it has to be done with consideration not just for the revenue that it produces for the government (taxation) but also with understanding that taxation is a result of productivity. IE the less a person generates the less you can tax them, therefore if you study anything about tax theory you know that as the tax rates increase you begin to get a marginal return to the point of a negative return because people reduce productivity.

You can’t assume that indiv

We ALL see the pyramid scheme symbol on the back of the USA one dollar bill. We ALL see the servitude infestation in capitalism. We ALL see the “pay up or lose your wellbeing” Chicago mob-like felony extortion widespread within capitalism. We ALL see the “join or starve” felony extortion done to the 18 year olds… by this ugly competer’s church called capitalism. We ALL see how forcing competer’s religions onto 18 year olds, and/or LURING them into it with bling-dangling and promises of empowerments… kills membership in the cooperator’s church (Christianity/socialism). We ALL understand that AmWay (American Way) (New World Order) got “the exclusive” (legal tender) on the TYPE of survival coupons (money) accepted in supply depots (stores) and leverages 18 year olds into the organization via that felony activity. (It puts AmWay-coupon slaving requirements called price tags… on all the survival goods). We ALL understand how sure-to-collapse farmyard pyramids work… from our childhoods. Upper 1/3 are “heads in the clouds” while the kids on the bottom ALWAYS GET HURT from the weight of the world’s knees in their backs. And, we ALL see how such systems are illegal, immoral, and just plain sick.

We American Christian socialists are patiently awaiting the natural fall of the pyramid-o-servitude, or the busting of the free marketeers felony… by the USA Dept of Justice. We Christians are VERY CLOSE to issuing a cease and desist order until the servitude and inequality goes away… which means it turns into a commune. Commune is a word we LOVE when used in the word “community”… but its one the caps HATE when used in the word “commune-ism”. Go fig. PROGRAMMED!!

Do a Google IMAGE SEARCH for ‘pyramid of capitalist’ to see a full color picture made way back in 1911, when capitalism was first discovered to be a con/sham instigated by the Free Masons/Illuminati. Folks sure bought into the thing… hook, line, and sinker just the same. The caps didn’t even check if a string was attached! Now THAT’S easy fishing, eh?

Time to level the felony pyramid scheme called capitalism. Abolish economies and ownershipism worldwide, and hurry. Economies just cause rat-racing, and rat-racing causes felony pyramiding. BUST IT, America! Look to the USA military supply/survival system… (and the USA public library system) for socialism and morals done right. Equal, owner-less, money-less, bill-less, timecard-less, and concerned with growth of value-criteria OTHER THAN money-value. Quit doing monetary discrimination immediately, and make it illegal. There are MANY measurement criteria of “value”… not just dollars. Try morals, efficiency, discrimination-levels, repairability, etc etc. Economies are cancerous tumors, and to cheer for their growth… is just insane. Profiting causes inflation, so if caps LIKE inflation, and if they LIKE a terrible time in afterlife when they meet the planet’s ORIGINAL OWNER before caps tried to squat it all with ownershipism, then keep it up with the felony pyramiding. I dare you. While us Christians are finally bulldozing that pyramid scheme back to level, lets make servitude and “join or starve” (get a job or die) illegal in the USA, and lets level the architecture seen in USA courtrooms, too. Right now, USA courtrooms are church simulators or “fear chambers”, by special design. Sick.

Isn’t that back-of-the-dollar pyramid… a Columbian freemason symbol? And WHERE is the USA gov located? District of Columbia? (Not even part of the USA!) How much more blatant can ya get? The “Fed” runs a pyramid scheme called the free marketeers. If you’re using the “federal reserve note” certificates, or using no-other-living-thing-on-the-planet entitles of ownership, you’re bought into a servitude/slavery con/sham… called capitalism. Pyramiding 101.

Larry “Wingnut” Wendlandt
MaStars – Mothers Against Stuff That Ain’t Right
(anti-capitalism-ists)
Bessemer MI USA

Also at a certain point you do create a disincentive to generate more wealth if you recognize that incrementally you profit will be consumed by taxes at a certain point. For example, under your model –

At $500K you are at 50% (rounded for simplicity). That represents $250K of take home. Let’s say under your model you create $350K at 40% that is $210K take home. A rational actor is going to weigh the cost to generate $150K in revenue, versus the value of acquiring $40K of additional income.

My point is that at a certain point individuals are going to say reduce productivity, because the incremental growth in revenue versus taxes won’t be sufficient enough to justify their increase labor.

I am for a progressive tax system but if you tell me that 70% of all income that I create (rounded up at the top of the bracket) is going to the government I am going to revolt, look for loopholes, move my business out of the country, or do other things.