"The Revenue Limits of Tax and Spend"

David Ranson in todays WSJ introduces a chart developed by W. Kurt Hauser 20 years ago that empiracally shows tax revenues will NEVER exceed 20% of GDP! Why? With a 70,000 page tax code more loopholes are searched out as taxes are increased.

So - increase taxes which certainly has the effect of decreasing GDP - and instead of increased income it is reduced! Obama and the CBO cannot see this unintended consequence and it is right before their eyes!

But maybe this is part of their plan: to allow the deficits to spiral out of control and then implement a new non-income related tax - VAT? - to save us!