2011 Doesn’t Look Bright

Arthur Laffer, the noted economist, penned an op-ed in the Wall Street Journal. An excerpt:

But at the tax boundary of Jan. 1, 1983 the economy took off like a rocket, with average real growth reaching 7.5% in 1983 and 5.5% in 1984. 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.

Dr. Laffer also notes something that I’ve been saying since I began this blog:

It shouldn’t surprise anyone that the nine states without an income tax are growing far faster and attracting more people than are the nine states with the highest income tax rates. People and businesses change the location of income based on incentives.

In any case, the entire article is well worth your perusal; you can find it here.

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