Taxes: Equity versus Efficiency? Not so Much
Just following up on my recent post showing that progressivity in state taxes seems to have no significant relationship to prosperity:
These findings suggest to me that the supposed tradeoff between equity and economic efficiency is a false choice (by this measure, at least). More equitable states (far more equitable) are just as prosperous, at least in aggregate, as states with wildly draconian tax regimes.
So if we can have both equity and efficiency, why shouldn’t we?
Related posts:
- Teddy Roosevelt on “the true conservative”
- Mankiw: Do Equity Analysts Create Prosperity?
- “Fallacies, Irrelevant Facts, and Myths in the Discussion of Capital Regulation: Why Bank Equity Is Not Expensive”
- Inequality is Necessary for Growth, Right?
- Clear-Eyed Sowellian “Realists” Hyperventilating. Again. Some More.