Stephen Moore And Arthur Laffer: "Soak The Rich, Lose The Rich"

Arthur Laffer is an influential economist who was a member of Reagan's Economic Policy Advisory Board. Stephen Moore is senior economics writer for the Wall Street Journal. The duo argue that there is a "problem for states that want to pry more money out of the wallets of rich people. It never works because people, investment capital and businesses are mobile: They can leave tax-unfriendly states and move to tax-friendly states... Updating some research from Richard Vedder of Ohio University, we found that from 1998 to 2007, more than 1,100 people every day including Sundays and holidays moved from the nine highest income-tax states such as California, New Jersey, New York and Ohio and relocated mostly to the nine tax-haven states with no income tax, including Florida, Nevada, New Hampshire and Texas. We also found that over these same years the no-income tax states created 89% more jobs and had 32% faster personal income growth than their high-tax counterparts."

Be sure to visit http://online.wsj.com/article/SB124260067214828295.html to read the full analysis.
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