Anders Chelgren, Chapter 4, Question #2

The topic of tax is important to learn about and understand because we as Americans, must pay them. Taxes, to some degree, are necessary to maintain any form of government. Wheelan covers many different examples of increasing vs decreasing taxes and his estimation of each option's economic benefit. I found it interesting when he covered the negatives of taxation, making the claim, "Taxation discourages both work and investment." I would agree, especially in regards to taxes such as the income tax. Following this claim, he cover the opposite outlook. It was fascinating that by lowering taxes, greater economic output resulted, even though it was to a degree arguable lesser than the total revenue the government itself would have made. This is viewed as a bad thing because the government loses some of its income, I would argue that shifting any amount of income from the government back to the people is beneficial. While taxes are a necessary evil, the federal government as a whole spends far to much money and often with far to little accountability. I think more economic freedom resulting in a increase in private finances due to lesser taxes is only complimented by the decrease in total government revenue. Through more government transparency, better economic policy, Government spending should be far less frivolous, resulting in a better standard of living as a result of less and more effective financed taxes.