Friday, July 22, 2011

Liberal economists need to correct progressives on retail taxes

Somewhere along the road, liberal economists lied to their progressive counterparts. They told them that people have a natural desire to pay taxes for government services not rendered. Kevin Drum still beats this message:
Amazon's Scorched-Earth War Against the Rest of Us

Amazon can avoid retail taxes because they can avoid retail outlets. When Amazon shuts down affiliates, they shut down local on-line marketing, distribution still takes place across state lines via USP.

Let me explain to Kevin what makes an actual retail outlet different. When a retail outlet closes its door, consumers no long walk through the door to pick stuff up! Kevin Drum is driven by some nonsensical view that remains uncorrected. The government provides actual services that make it convenient for strangers to shop regularly at retail outlets.

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