The Red Banker on Supply-Side Liberalism

Icon for the Red Banker blog (which also appears in Wikipedia article on the “Commercial Revolution”)

Icon for the Red Banker blog (which also appears in Wikipedia article on the “Commercial Revolution”)

Frederic Mari blogs as the Red Banker. He gives a positive take on my first post “What is a Supply-Side Liberal?” in his post “Supply Side Liberalism: The Interesting Case of Dr. Kimball and Mr. Miles.” However, Frederic questions whether limited government is politically possible, saying

People oppose government spending but support all of its public good provision.

Here I wished he had discussed my central proposal for keeping the burden of taxation down while providing abundant public goods: a public contribution system that raises taxes rates, but lets people avoid 100% of the extra taxes by making charitable donations focused on doing things the government might otherwise have to do. These two posts lay out how a public contribution system would work: 

Also, my post 

is best understood in this context.

I discuss a few other ideas for how to reduce the burden of taxation based on the ways in which human psychology departs from over-simplified views of homo economicus in this popular post: 

The bottom line is this: In my book, it isn’t Supply-Side Liberalism without a serious effort to lower the burden of taxation for any given level of revenue, using everything we know about human nature.