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Liberty said:
"So you two economist really think that the guy that makes 1 mil a year really buys that much more stuff than the average Joe?"--Hellbender

not as a percentage of his income, but he definitely buys more than the average Joe, and he buys more expensive items than the average Joe at Wal-Mart, while Joe spends $200 at Wal-Mart a week, the millionaire spends $200 on one shirt that he calls his work shirt. While average Joe buys a Chevy every four to eight years, millionaire Joe buys three vehicles in a three year span and they ain't Chevys and if they are they are the expensive ones.

While average Joe spends $500 to buy his kids stuff for school, millionaire Joe spends $1,500 to do the same. He then books a vacation.

The average Joe definitely spends more money as a percentage of his income, but since sales tax revenues are based on gross sales, millionaire Joe far exceeds average Joe's contribution to the federal treasury.

Millionaire Joe must also eat, while average Joe buys a can of chili, millionaire Joe goes out to the finest restaurant in town and drops down a few hundred to a couple of grand on a meal and wine. Millionaire Joe also spends more money at the grocery store.

Plus, with the new tax system, millionaire Joe is actually a millionaire rather than a person who gets to keep half of what he earned in the present system of taxation.

another point, some people fear a sales tax on home sales, imagine the stark difference in paying a one time tax on a home rather than an annual property tax. A person who moves around a lot may be adversely affected by the sales tax, but a person who stays in place for several years will easily pay less in taxes, have a lower mortgage payment and more money in his pocket to go to Lowes or Home Depot to make improvements on his house.

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You really need to get out to rural America and see how the so called "millionaire Joe" lives. Not quite like you think, more like the "average Joe" you mentioned. But you'd have to look at all the locals and try to pick out the "boys with money" first, and good luck. I think our local coffee shop crowd would be a bit of an eye opener for you.

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