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Are Higher Taxes Solving Fiscal Problems, either in Washington or California?

by Dan Mitchell | Jul 21, 2013 | Big Government, Blogs, Economics, Government Spending, Laffer Curve, Taxation

The budget deficit this year is projected to be significantly smaller than it has been in recent years and some of our statist friends claim that this shows the desirability and effectiveness of higher taxes. I’m not persuaded, mostly because our big long-run fiscal...

New Academic Research Confirms the “High Price” of High Tax Rates

by Dan Mitchell | Jul 5, 2013 | Blogs, Economics, Taxation

I periodically cite new academic research about tax policy and economic activity. I sometimes even publicize research from international bureaucracies showing the link between taxes and growth. I’m not naive enough to think that any particular study will change minds,...

What’s the Half-Life of a “Temporary” Tax Increase?

by Dan Mitchell | Jul 1, 2013 | Blogs, Taxation

Milton Friedman famously noted that, “Nothing is so permanent as a temporary government program”and Ronald Reagan sagely observed that “a government bureau is the nearest thing to eternal life we’ll ever see on this earth.” They’re both right, but they should have...

Europe’s Politicians Learned the Wrong Lesson from Saint Augustine

by Dan Mitchell | Jun 19, 2013 | Big Government, Blogs, Economics, Europe, Government Spending, Taxation

In my never-ending crusade to push for the right kind of austerity, I appeared on RT to pontificate on the merits of limited government. We got to cover a lot of material, so here’s some augmenting material. 1. The right kind of “austerity” is less government...
Siding with the Heritage Foundation in the “Austerity” Fight with Paul Krugman and the Washington Post

Siding with the Heritage Foundation in the “Austerity” Fight with Paul Krugman and the Washington Post

by Dan Mitchell | Jun 17, 2013 | Big Government, Blogs, Economics, Government Spending, Taxation

I’m not reluctant to criticize my friends at the Heritage Foundation. In some cases, it is good-natured ribbing because of the Cato-Heritage softball rivalry, but there are also real policy disagreements. For instance, even though it is much better than current...
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