http://www.buckeyeinstitute.org/blog/2008/12/11/bill-to-eliminate-ohio-income-tax-heard-in-house-committee/ Up To The Minute Analysis Of Ohio Public Policy Fri, 30 Oct 2009 15:34:40 -0400 http://wordpress.org/?v=2.8.1 hourly 1 http://www.buckeyeinstitute.org/blog/2008/12/11/bill-to-eliminate-ohio-income-tax-heard-in-house-committee/comment-page-1/#comment-1621 Beth Lear Wed, 17 Dec 2008 19:01:03 +0000 http://www.buckeyeinstitute.org/blog/?p=3544#comment-1621 Dr. Richard Vedder agrees with you. "The question is really about the optimal size of government --where the law of diminishing returns sets in heavily and tax reductions do not work. It is clear, however, we are beyond that point now, and research by Jerry Scully, myself for the Joint Economic Committee of Congress, and others, makes that point. Further tax cuts are very much in order." Additionally, Marc Kilmer, one of our analysts, stated that, based on the Laffer Curve, it doesn't appear anyone has been able to determine what that perfect tax rate would be. Dr. Richard Vedder agrees with you. “The question is really about the optimal size of government –where the law of diminishing returns sets in heavily and tax reductions do not work. It is clear, however, we are beyond that point now, and research by Jerry Scully, myself for the Joint Economic Committee of Congress, and others, makes that point. Further tax cuts are very much in order.” Additionally, Marc Kilmer, one of our analysts, stated that, based on the Laffer Curve, it doesn’t appear anyone has been able to determine what that perfect tax rate would be.

]]> http://www.buckeyeinstitute.org/blog/2008/12/11/bill-to-eliminate-ohio-income-tax-heard-in-house-committee/comment-page-1/#comment-1604 Marc Schare Sat, 13 Dec 2008 17:46:51 +0000 http://www.buckeyeinstitute.org/blog/?p=3544#comment-1604 Here is what I don't understand. Governor Strickland says a tax increase would be counterproductive. If he really believes that, then why wouldn't a further tax cut be productive? There has to be a point where the tax rate is no longer a barrier to economic growth. Does BI have any research that might show what that tax rate would be? Here is what I don’t understand. Governor Strickland says a tax increase would be counterproductive. If he really believes that, then why wouldn’t a further tax cut be productive? There has to be a point where the tax rate is no longer a barrier to economic growth. Does BI have any research that might show what that tax rate would be?

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