Question.2269 - Please upload your policy memorandum here as a pdf file. Be sure to follow all instructions in the assignment, as detailed under the the "module" policy memo on canvas. Please wa it until after we complete all tax lectures to submit this assignment,but you should be able to have a complete write up after we finish the personalincome tax and retail sales tax lecture. Iwould encourage you to wait to submit it though in case you get any additional inspiration from the externality or corporate tax lectures.
Answer Below:
Summary xxx elimination xx the xxxxx income xxx regime xxx expanding xxx retail xxxxx tax xxxx extending xx to xxxxxxx services xxxxx tilt xxxxx taxes xxxxxxx middle xxx lower-income xxxxxx It xxxxx also xxxxxxxx the xxxxx s xxxxxxx to xxxxxxxx its xxxxxx services xxx taxation xxxxxx would xx characterized xx a xxxxxxxxxx tax xxxxxx a xxxxxxxx from xxx current xxxxxxxxxxx taxation xxxxxx The xxxxxxxxxxx and xxxxxxxxxxx would xxxxxx various xxxxxxx in xxx economy xxx would xxxx alarming xxxxxxx Background xxx taxing xxxxxxx utilized xx taxing xxxxxxxxxxx all xxxxxx the xxxxx are xxxxxxxxx The xxxxxx States xxxxxxx taxation xxxxxx is xxxxxxxxx characterized xx a xxxxxxxxxxx taxation xxxxxx in xxxx a xxx is xxxxxxx based xx the xxxxxx generated xx both xxxxxxxxxxx and xxxxxxxxx Greater xxx rates xxx applicable xxx individuals xxxxxx higher xxxxxx of xxxxxx The xxxxxxx taxation xxxxxx employs x variety xx taxes xxx the xxxxxx States xxx major xxxxxxxxxxxxx of xxxxx are xxxxxx based xx wages xxx income xxx major xxxxxx of xxxxxxx to xxx United xxxxxx is xx the xxxxxxxxxx income xxx regime xxxxxxxxx tax xxxxxxx tax xxx other xxxxxxx sources xxxx as xxxxxx taxes xxxxxx duties xxx capital xxxxx Economists xxxxx that xxxx system xx taxation xx income xx regressive xx it xxxxxxxxxxx savings xxx investment xxx current xxxxxx of xxxxxx taxes xxxx also xxxxxx increasingly xxxxxxx A xxxxxxxx regime xxxxx on xxx consumption xx seen xx methods xx increase xxxxxxxx saving xxx increase xxx propensity xx investment xx the xxxx run xxxxx are xxxxx major xxxxxxx economists xxxxxxxx for x shift xx the xxxxxxx taxing xxxxxxx simplicity xxxxxxxxxx and xxxxxxxx On xxx flip xxxx of xxx argument xxxxxxxxxxx the xxxxxxxxxxx of xxxxxx tax xxxx a xxxxxx sales xxx would xxx considerable xxxxxxxx on xxxxxx and xxx income xxxxxxxx requiring xxxx to xxxxx more xx their xxxxxx for xxxxxxxxxxx purposes xxxxxxxxx Economic xxxxxxxx of xxx problem xxxxxx policy xxxxxxx generally xxxxxxxx five xxxxx goals xxx any xxxxxxx to xxxxxx policy xxxxx goals xxx stability xxxxxxxx adequacy xxxxxxxxxx and xxxxxxxx efficiency xx is xxxxxxxxxx in xxxxxxxx analysis xx taxing xxxxxxx fiscal xxxxxx makers xxxx to xxxx trade-offs xxxxxxx these xxxx major xxxxx of xxxxxx The xxxxxxxxxxxxxx of x consumption xxx regime xx replace xxx income xxx regime xxxx many xxxx of xxxxx implemented xxx Kentucky xxxxx legislation xxxxxxxx for xxx establishment xx the xxxxxxxx retail xxxxx tax xxxxxxxxxxx of x uniform xxxxxxxxx rate xxx the xxxxxx sales xx goods xxx services xx consumers xx proposed xx the xxxxxxxxxxx The xxxxxxxxxxx of xxx income xxx regime xxxxx need xxx federal xxxxxxxxxx to xxxx a xxxxxxxxxxx tax xx the xxxxxxxx of xxx consumer xxxxx and xxxxxxxx which xxxxxxx financial xxxxxxxx real xxxxxx groceries xxx medicine xxx recent xxxxx proposes xxxx a xxxxxxx tax xxxx to xxxxxxx the xxxxxxxxxx and xxxxxxxxx income xxx systems xxx some xxxxxxx contend xxxx the xxxxx must xxxxxxxx more xxxx to xxxx essential xxxxxxx outlays xxxx would xx disrupted xxxx the xxxxxxxxxxx of xxx income xxx regime xxx change xxxxx have xxxxx wage xxxxxxx price xxxxxxx and xxxxxxxxx rate xx interests xxxxxxx L xxxxxxx Source xx Tax xxxxxxxxxx The xxxxxx federal xxxxxxx on xxx taxing xxxxxx of xxx United xxxxxx shows xxx primary xxxxxx of xxxxxxx in xxx from xxxxxxxxxx income xxxxx Federal xxxxx and xxxxx The xxxxxxxxxx of xxxxxxx for xxx federal xxxxxxxxxx is xxxxxxxxxx to xxxx the xxxxxxx objectives xx the xxxxx A xxxxxxxxxxx of xxx contribution xx the xxxxxx tax xxxx a xxxxx tax xxxxxx would xxx higher xxxxxx on xxx consumers xxxxxxxxxx the xxxxxxxxx from xxxxxx and xxxxx classes xxxxx consumers xxxxx more xx their xxxxxx for xxxxxxxxxxx purpose xxx legislation xx proposing xx increase xxx sales xxx would xxxx the xxxxxxxxxxx more xxxxxxxxx It xxxxx benefit xxx richer xxxxxxxxxx as xxxx would xxx be xxxxxxxx from xxxxxxxx out xxxxx incomes xxx utilize xxxxx income xxx only xxxxxxxxxxx and xxxxxxxxxx purposes xxxx would xxxxxx a xxxxxx divide xxxxxxx the xxxxx and xxx have xxx s xxx economic xxxxxxxx of xxxxxxxx from xxx federal xxx regime xx the xxxxx tax xxxxxx can xx examined xxxx in xxx long xxx and xx the xxxxx run xxxx Hansena xxxxxxxx suggests xxxx the xxxxxx would xxxxx the xxxx GDP xx the xxxx run xxx this xxxxxxxxxx is xxxxx only xx the xxxxxxx operates xx full xxxxxxxxxx The xxxxxxxxxx of xxxxx simulations xx implement x tax xxxxxx would xxxxxx erode xxx long-term xxxxx in xxxxxxxx efficiency xxx switch xx a xxxxx tax xxxxxx would xx that xxx savings xxxx relative xx the xxxxxx rises xxxx rise xx income xx the xxxxxx perspective xxxxxxx when xxxxxx are xxxx to xxxx consumption xxxxxxxxx for xxx lifetime xxxxxx then xxxxxxxxxxx to xxx income xxxxx would xx very xxx for xxxx income xxxxxxxxxxx and xxxx high xxx low xxxxxx individuals xxx shift xxxxx result xx high-income xxxxxxxxx receiving x higher xxx cut xxx transitional xxxxxx of xxx tax xxxxxx would xx too xxxx of x burden xxx the xxxxxxx that xx already xx the xxxxx of x recession xxx table xxxxx analyses xxx simulation xx the xxxxxxxxxx of xxx tax xxxxxx Shaviro xxx table xxxxx the xxxxxxxxxx difference xx variables xx the xxxxxxxx from xxx current xxxxxxxx path xxxxxxxxx in xxx current xxxxxxx tax xxxxxx These xxxxxxx analyse xxx replacement xx the xxxxxxx income xxx regime x flax xxx adds xxx standard xxxxxxxxx for xxxx income xxx exempting xxx implicit xxxxxx of xxxxxxxxxxxxxx houses x Modifications xx the xxxxxx proposal xxx elimination xx the xxxxxx tax xxx transition xx the xxxxx tax xx theory xx easier xxx more xxxxxxxxxx of xxx gains xx savings xxx investment xx large xxxx is xxxxxxx weakened xxxx we xxxxxxxx the xxxxxxxxxxxx in xxxxxxxxxx to xxx current xxxxxx tax xxxxxx to xxx proposed xxxxxxxxxxx tax xxxxxx The xxxxxxxx of xxxx moment xx also xxxxxx into xxxxxxxx The xxxxxxxxxx would xxxx benefits xx the xxxxxxx in xxx long xxx the xxxxxxxxxxxx difficulties xxxx always xxxx obstacles xxx change xxx be xxxxxxxx by xxxxx of x gradual xxxxxx a xxxxxxxx of xxx increase xx reliance xx the xxxxxxxxxxx tax xxxx on xxx income xxx It xxx be xxxx in xxxxxx to xxxxxx that xxx transition xxxx not xxxxx the xxxxxxx and xxx intended xxxxxxx would xxx be xxxxxxxx The xxxxxx replacement xx the xxx regime xxxx contributes xx major xxxxxxx for xxx federal xxxxxxxxxx would xxxx the xxxxxxxx effect xx the xxxxxxx A xxxxxxxx tax xxxxxx can xx introduced xxxx can xx operated xxxx by xxxx with xxx income xxx regime xxx lifting xxx the xxxxxx of xxx income xxx on xxxxxx and xxxx the xxxxxxxx of xxx federal xxxxxxxxxx on xxx income xxx regime xxxxxxx Economic xxxxxxxx of xxx recommendationsThe xxxx and xxxxxx manner xx implementation xx the xxxxxxxxxx would xxx shock xxx economy xxx prices xx essential xxxxxxxxxxx would xxxxxxxxx rise xxxxxx lower xxx middle xxxxxx groups xxx ability xx increase xxxxx savings xxxxxx the xxxxxxxxxx period xx help xxxxxx the xxxx in xxxxxxxxxxx expenditure xxxx the xxxxxxxx pressure xx various xxxxxxx in xxx market xx dealt xxxx in xxxxxx it xxx have x more xxxxxxxx impact xx the xxxxxxx in xxx long xxx While xxx disadvantages xx the xxxxxxxx regime xx the xxxxx and xxxxxx income xxxxxx would xxxxx be xxxxxxx the xxxxxx implementation xx it xxxxx help xx offsetting xxx sudden xxxxx The xxxxxx prices xxx be xxxxx with xxxx effectively xxxx there xx an xxxxxxxxxxxx of xxx same xxxxxxxxxxx more xxxxxxxxxx in xxx transition xxxxx such xx the xxxxxx of xxxx the xxxxxxxxx income xxxxx lead xx a xxxxxxxxxxxxxxxxx effect xx would xxxx the xxxxxx regime xxxx complex xxx situation xxxx the xxxxxxx recommendation xxxxx to xxxxxxxxx Marples xxxxxxxxxx The xxxxxxxxxx of xxxxxxx is xxxxxxxxxx to xxxx the xxxxxxx objectives xx the xxxxx Replacement xx the xxxxxxxxxxxx of xxx income xxx with x sales xxx regime xxxxx put xxxxxx burden xx the xxxxxxxxx especially xxx consumers xxxx middle xxx lower xxxxxxx The xxxxxxxxxxx in xxxxxxxxx to xxxxxxxx the xxxxx tax xxxxx make xxx consumption xxxx expensive xxxxxx The xxxxxxxx elimination xx the xxxxxx tax xxxxxx and x replacement xx the xxxx by xxxxx of xxx sales xxx for xxxxxxx services xxx many xxxxxxxxxx on xxx face xx it xxxxxxx the xxxxxxx of xxxxxxxxxxxxxx of xxxxx recommendation xxxx be xxxx and xxxxxx to xxxxxx that xxx process xx not xxxxxxxxxxxxxxxxx The xxxxxxxx State xxxxxxxxxxx on xxxxxxxxxxx State xxxxxx tax xxx generating xxxxxxx by xxxxxxxxx retail xxxxx tax xxxx including xxxx services xxxxx be xxxxxxxxxx to xxx economy xxxx if xxx process xx the xxxxxxxxxx is xxxxxxx out xxxxxxxxxxx BibliographyCharles x Ballard x F xxxxxxxxx the xxxxxxxx Income xxx with x Progressive xxxxxxxxxxx Tax xxxxxxx URL xxxx www xxxx org xxxxxxxx c xxxxxxxxxx of xxxxxxx PressE x Consumption xxxxx Vs xxxxxx taxes xxxxxxxxxxxx for xxxxxxxx growth xxxxxxxx Tax xxxxxxxxxxx Garner x A xxxxxxxxxxx Taxes xxxxxxxxxxxxx Effects xxx Policy xxxxxx FEDERAL xxxxxxx BANK xx KANSAS xxxx Gary xxxxxxx S xxxxxxxxx income xxxxxxxx with xxxxxxxxxxx taxation xx Japan xxxxxxx of xxx Japanese xxx International xxxxxxxxx Lunceford x L xxx Macroeconomic xxxxxxxxxxxx of xxxxxxxxx the x S xxxxxxx Tax xxxxxx With x Value-Added xxx Summer xxxxxxx for xxxxxxxxxxxxx Research xxxx Available xx https xxxxxxxxxx upenn xxx spur xxxxxxx D x Consumption xxxxx An xxxxxxxx Congressional xxxxxxxx Service xxxxx crsreports xxxxxxxx gov xxxxxxx G x Consumption xxxxxxxx Tufts xxxxxxxxxx Shaviro x N xxxxxxxxx the xxxxxx Tax xxxx a xxxxxxxxxxx Consumption xxx New xxxx University xxxxxx of xxxMore Articles From Economics
.ico)
.ico)
.ico)
