Hoboken, NJ (PRWEB) April 22, 2014
In all kinds of economic weather, states need to become competitive or risk urban dilapidation, population shrinkage, decreases in quality of living, and worse. In "An Inquiry into the Nature and Causes of the Wealth of States: How Taxes, Energy, and Worker Freedom will Change the Balance of Power Among States" (WILEY; April 2014; Hardcover & e-book; $29.95; ISBN: 978-1-118-92122-7), lucid quantitative analysis supports the argument that income-friendly policies at state and local levels are the key to maintaining prosperity for everyone. These policies extend far beyond the personal income tax rate to include corporate income taxes, estate taxes, the overall tax burden, right-to-work laws, and much more. Add it all up, and states won't be able to ignore this airtight case for tax reform.
In their new book," An Inquiry into the Nature and Causes of the Wealth of States," authors Arthur B. Laffer, Stephen Moore, Rex A. Sinquefield and Travis H. Brown take a detailed and critical look at income taxation across the nation, and drill down into an analysis of the economic growth or malaise that result from tax policy. Arguing eloquently that a state cannot tax itself into prosperity, just as the impoverished cannot spend themselves into wealth, the authors point out what many inherently know but often fear to say out loud.
“Facts don’t lie. But they do point clearly to the failure of so-called progressive tax schemes designed more to curry favor with selected constituencies than to create an economic system that leads to individual wealth as the reward for hard work and entrepreneurial risk taking,” says Brown. “In this book, you'll find straightforward evidence that high state and local tax burdens can destroy prosperity in states of any size. If you're looking for investment locations, considering reform policy, or planning to relocate to a state that looks out for your interests, you'll want to see how the numbers really fall.”
"An Inquiry into the Nature and Causes of the Wealth of States" explains why eliminating or lowering tax burdens at the state level leads to economic growth and wealth creation. A passionate argument for tax reform, the book shows that even states with small populations can benefit enormously with the right policies. The authors’ detailed exposition evaluates the impact state and local government policies have on a state’s relative performance and economic growth overall, backed up with economic data and analysis.
The book provides detailed quantitative analysis, and discusses the policy variables that can have enormous effects on the financial well-being of states and individual residents, such as:
“One of the most immoral acts any government can perpetrate on its citizenry is to enact policies that have the effects of destroying the production base from whence all benefits flow,” Laffer adds. “The chapters of this book are all intended to provide different perspectives on the role played by state and local governments in creating and preserving state prosperity and well-being. Like different vantage points when viewing a sculpture, no one perspective contains the whole truth, but when taken all together, these chapters will comprise a complete rendition of how economic policies impact a state’s economy. The mark of genuine science is that its explanations remove the mysteries of policies.”
By looking at quantitative data from all 50 U.S. states, the authors have put together a solid case for lower state income taxes and decreased tax burdens. Wealth doesn't stay put. Businesses and individuals in upper economic strata go where their interests are protected. The result? As this book demonstrates, almost every measure of economic prosperity at the state level—population, employment, and beyond—is linked to taxation. Low-tax states in every region of the country are outperforming their neighbors. Based on their detail and quantitative analysis, the authors argue passionately for tax reform and no income taxes, and that government taxation policies truly matter when it comes to building economic growth and long-term prosperity.
About the Authors
ARTHUR B. LAFFER, PhD, is the founder and chairman of Laffer Associates, an economic research firm focusing on interconnecting macroeconomic, political, and demographic changes.
STEPHEN MOORE is chief economist at The Heritage Foundation. He focuses on budget, tax, and monetary policy.
REX A. SINQUEFIELD was a co-founder and director of Dimensional Fund Advisors LP. Since retirement, he has become one of Missouri's leading philanthropists and a dedicated supporter of public policy change.
TRAVIS H. BROWN is the CEO and co-founder of Pelopidas, LLC, a public affairs and issue-advocacy firm. He frequently contributes to Fox & Friends and Forbes.com and is the author of "How Money Walks."