PrintMay 19, 2010
Graph of the Day for May 19, 2010
"The feds assume a relationship between the economy and tax revenue that is divorced from reality. Six decades of history have established one far-reaching fact that needs to be built into fiscal calculations: Increases in federal tax rates, particularly if targeted at the higher brackets, produce no additional revenue... a ratio of federal revenue to GDP of no more than 18.3% would be realistic."
David Ranson, Wall Street Journal.
Source: David Ranson, Wall Street Journal. HT: sedonaman.
Hoven's Index for May 19, 2010
Average federal revenues, as % of GDP, over various periods:
1950-59: 17.2%
1960-69: 17.9%
1970-79: 17.9%
1980-89: 18.3%
1990-99: 18.6%
1960-2000: 18.2%
2000-08: 18.2%
Source: US Government via GPO Access, Table 1.2.
Graph of the Day Archive.
