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In the 1940s and putting together the concept of income we now use today under the income tax they were neglecting the adverse effect on the labor force and it wasnt unknown. The godfather of the income tax henry simons and one of the two leading godfathers admitted that it would damage the economy and his current disciples dont want you to remember that or theyve forgotten it. Heres what simons said about Income Taxation. Income taxation is broadly an instrument of economic control. A means of mitigating economic inequality which well assume that moderation of inequality is an important objective of approximately see and perceived income tax is devices for effecting it. The case for drastic progression in taxation must be rested on the case of inequality on the ethical or aesthetic judgment that the prevailing distribution of wealth and income reveals a degree and or kind of inequality which is distinctly evil or unlovely. Not p ....
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