Originally Posted by shakran

There are certain products that you have to buy. Food. Clothing. Shelter. Whether you make 20 thousand or 20 million a year, you're going to buy food, clothing and shelter. Then you get to non-essential expenses. Entertainment, nice cars, nicer food, clothing, and shelter. These cost more money and therefore generate more tax revenue. The rich are already buying all these non essentials because they can afford it even with their taxes. The poor and, to a somewhat lesser extent, the middle classes are NOT buying these items because they cannot afford them. But if we reduce THEIR tax burden, THEY start buying them as well. This results in more of the higher-tax-generating merchandise being bought.