If we were going to substitute a consumption tax for the income, capital gains and other taxes I would want it done at the national level. Otherwise, we would definitely get the problem of some people buying goods elsewhere.
One of the few taxes I am not totally opposed to (at least in the short to medium term) is higher gasoline and other energy taxes.
I think we need some sort of incentives to get people to give up their gas guzzlers, driving everywhere, etc.... It would address many of the problems of big cities and the country in general. It would reduce traffic, reduce wear and tear on infrastructure, reduce our dependence on foreign oil, reduce our constant involvement in middle east politics, reduce pollution, increase the probability of people buying hybrid and other cars like that, raise money to use on the existing infrastructure etc...
Sure there would be a negative impact for some in the short term and the economy overall, but it's the one tax that makes some sense (at least for awhile). |
