Chart of the day: US federal spending and receipts
The chart below is yet another from Perot Charts. I have no particular message in mind with this chart except to inform my readers how the government gets and uses tax monies.
One issue to note is the outsize proportion of taxes that come from individuals despite the U.S. having a relatively high corporate tax rate. Certainly, part of this has to do with tax loopholes making effective tax rates for favored industries lower. However, that issue is a debate into which I won’t wade.
Below is a related post on taxation from Amity Shlaes, taking the low tax side of the debate.
McCain’s Tax Plan Would Block a Democrat Katrina: Amity Shlaes, Bloomberg News, 25 Jun 2008
This post is part of my chart of the day series.