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Debate: Fair Tax

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Is the Fair Tax proposal in the United States a good idea?

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Would the Fair Tax be a sufficient substitute for income tax?

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Yes

  • Unlike the income tax, the Fair Tax has economic benefits in the case that wages will be higher (or workers will be able to keep more of their money).

Our Founding Fathers believed that taxing individuals on their private income was economic folly. They were right. The absence of an income tax, a tax on productivity, allowed our economy to grow and individuals to prosper for 124 years.

Real wages are 10.3 percent (one year elapsed), 9.5 percent (ten yrs. elapsed), and 9.2 percent (25 yrs. elapsed) higher with the Fair Tax plan than would otherwise be the case [with the income tax].

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No

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Yes

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No

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Yes

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No

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