Nice theory but never works in reality. As a whole, taxes always go up, they never level off or go down. If I'm wrong I'd like to see evidence of where taxes went down and stayed down because other taxes went up.
My guess is that the US taxes are lower now than they were during the golden era of the 50's and the 60's.
I sure know they are lower over here anyway.
One problem is that politicians - like Obama - try to win elections by promising that they will introduce tax cuts.
That's the main reason why USA is in deep problems today IMHO.
A culture where politicians can't get reelected unless they either deliver a big tax cut or a big government funded program.
It's a spiral to economic disaster.
You need leaders who will have guts to refuse to stoop to these populist tendencies.
Everything has to be paid for.
That's the bottom line.
So perhaps the one thing I think Obama has really gotten right was when he actually included the Iraq war in the budget.
Absurd how that was previously left out.