You Want To Prove That Milton Friedman

It Has Always Amazed Me How Tax Cuts Don't Work Until They Take Effect. Mr. Obama's Experience With Deferred Tax Rate Increases Will Be The Reverse. The Economy Will Collapse In 2011.

The Income Effects In An Economy Always Sum To Zero.

There Are Lots Of Other Things That Affect State Growth Besides State Taxes. However, The Reason I Look At Taxes Is Because These Are Policy Variables That Can Be Changed By State Governments In Order To Get Better Results Than They Otherwise Had.

What I'm Not Saying Is That All Government Spending Is Bad. It's Not - Far, Far From It, But There Is No Free Lunch, As A Former Colleague Of Mine Used To Say. There Is No Public Tooth Fairy. Father Christmas Does Not Work On The Treasury Staff This Year. You Can Never Bail Someone Out Of Trouble Without Putting Someone Else Into Trouble.

There Are Several States That Move From Karl Marx-like Policies To Adam Smith-like Policies And Back Again In A Weekend. So For The States With Huge Volatility In Their Income Tax Policies Over Time, The Differences In Growth Rates In Those Periods Are Really Amazingly Consistent With Tax Rates Really Mattering.