Systems that allow for bracket creep are common around the world. Treasurers love it because of the steady growth in tax revenue, other pollies love it because they can give occasional "tax breaks" by resetting the brackets a bit.
I am in favour of progressive tax rates.
I did want to respond to this from Redux:
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And NEVER in our lifetime (or as long as economic stats have been recorded) have we had 10 consecutive years of a 4% annual inflation rate.
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That may be right, but you've also never seen a US government debt in the 10+ trillion dollar range either. That will almost certainly cause inflation. Averaging 4% for the next decade is not an unreasonable assumption. Why do you think the price of gold is at an all time high?
11-07-2009, 04:58 PM
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