Chapter 2 – Taxes and the Welfare State

7Hamilton, Federalist No. 35 http://www.constitution.org/fed/federa35.htm (accessed April 3, 2009).

8 Samuel Johnson, “Taxation No Tyranny”, 1775, in The Works of Samuel Johnson, (New York: Pafraets & Company, Troy, 1913); volume 14, 93-144. also http://www.samueljohnson.com/tnt.html (accessed April 3, 2009).

9 James Boswell, The Life of Samuel Johnson, (New York: Everyman’s Library, Alfred A. Knopf, 1791), 522.

10 Paul Johnson, A History of the American People, (New York: Harper-Collins, 1997) During the course of the Seven Years War, Britain’s national debt went from £60 million to £133 million. (p. 132). The war had started as a result of the action of a young George Washington in an encounter with the French that left ten French soldiers dead, including their commander (p. 124). At the time the average Englishman paid 25 shillings per year in taxes while a colonist only paid sixpence, and it is estimated that up to £500,000 was lost each year to evasion of duties (p. 132).

11 Alexander Fraser Tytler, The Decline and Fall of the Athenian Republic, 1776

cited at: http://www.conservativeforum.org/authquot.asp?ID=723 (accessed April 3, 2009).

12 Plato, Republic, Part IX §8, 565a-d http://classics.mit.edu/Plato/republic.9.viii.html (accessed April 3, 2009).

13 Plato, Republic, Part IX §8, 565a-d

http://classics.mit.edu/Plato/republic.9.viii.html (accessed April 3, 2009).

14 Plato, Republic, Part IX §8, 562a http://classics.mit.edu/Plato/republic.9.viii.html (accessed April 3, 2009).

15 This is somewhat of a generalization. For a discussion of some of the nuances here see: Ludwig von Mises, Human Action, 3rd Edition

(New York: Regnery, 1966), and the section on Entrepreneurial Profit and Loss, 289-294.

16 Stephen Moore, “State Spending Splurge: The Real Story Behind the Fiscal Crisis in State Government”, Cato Policy Analysis No. 152 May 23, 1991 http://www.cato.org/pubs/pas/pa-152.html (accessed April 3, 2009).

17 Alan Reynolds, “Fixing California”, Cato Institute, September 2, 2003, http://www.cato.org/research/articles/reynolds-030824.html (accessed April 3, 2009).

18 Alan Reynolds, Fixing California”, Cato Institute, September 2, 2003, http://www.cato.org/research/articles/reynolds-030824.html (accessed April 3, 2009).

19 Review & Outlook, “Windfall for Washington”, Wall Street Journal, July 15, 2005, pg A10 http://www.opinionjournal.com/editorial/feature.html?id=110006973 (accessed April 3, 2009).

20 Congressional Budget Office,Budget and Economic Outlook : Fiscal Years 2004-2013, January 2003”, Table 3.5 pg 82 http://www.cbo.gov/ftpdocs/40xx/doc4032/EntireReport_WithErrata.pdf (accessed April 3, 2009).

21 Congressional Budget Office, “Budget and Economic Outlook : Fiscal Years 2005-2014, January 2004”, Table 4.4 pg 112.

www.cbo.gov/ftpdocs/49xx/doc4985/01-26-BudgetOutlook-EntireReport.pdf (accessed April 3, 2009)

22 Congressional Budget Office, “Budget and Economic Outlook : Fiscal Years 2007-2016”, January 2006, Table 4.4 pg 102 www.cbo.gov/ftpdocs/70xx/doc7027/01-26-BudgetOutlook.pdf (accessed April 3, 2009).

23 Hamilton, Federalist No. 30 http://www.constitution.org/fed/federa30.htm (accessed April 3, 2009).

24 Madison, Federalist No. 10 http://www.constitution.org/fed/federa10.htm (accessed April 3, 2009).

25 Hamilton, Federalist No. 12 http://www.constitution.org/fed/federa12.htm (accessed April 3, 2009).

26 Hamilton, Federalist No. 35 http://www.constitution.org/fed/federa35.htm (accessed April 3, 2009).

27 Madison, Federalist No. 10 http://www.constitution.org/fed/federa10.htm (accessed April 3, 2009).

28 Tax Foundation, Special Report, April 2008, No. 160 http://www.taxfoundation.org/files/sr160.pdf (accessed April 3, 2009).

29 Alexander Fraser Tytler, The Decline and Fall of the Athenian Republic, 1776

cited at: http://www.conservativeforum.org/authquot.asp?ID=723 (accessed April 3, 2009).

30 Joint Economic Committee, Press Release, Oct 24, 2002 http://www.house.gov/jec/press/2002/10-24-02.htm (accessed April 3, 2009).

31 Ibid.

32 Ibid.

33 George W. Bush, The President’s Agenda for Tax Relief, http://www.ustreas.gov/press/releases/reports/report30652.pdf (accessed April 3, 2009).

34 Congressional Budget Office, “Effective Federal Tax Rates Under Current Law, 2001 to2014”, August 2004, Table 2 and Table 3, http://www.cbo.gov/showdoc.cfm?index=5746&sequence=0 (accessed April 3, 2009).

35 Plato, Republic, Part IX §8, 565a-d http://classics.mit.edu/Plato/republic.9.viii.html (accessed April 3, 2009).

36 Alexander Fraser Tytler, The Decline and Fall of the Athenian Republic, 1776

cited at: http://www.conservativeforum.org/authquot.asp?ID=723 (accessed April 3, 2009) .

37 The European Disease, Wall Street Journal, Feb 8, 2006, pg A16.

38 Robert J. Samuelson, “The French in Denial”,

Washington Post, March 28, 2006; Page A23 www.washingtonpost.com/wp-dyn/content/article/2006/03/27/AR2006032701301.html (accessed April 3, 2009).

39 Jean-Marie Godard, “French Unions Vow to Hold Major Strike”,

The Associated Press, March 26, 2006

http://www.accessmylibrary.com/coms2/summary_0286-14036668_ITM (accessed April 3, 2009).

40 Deutsche Welle, “Mass Protests Show Public Distrust of Reform Programs”

April 4, 2004

www.dw-world.de/dw/article/0,,1161417,00.html (accessed April 3, 2009).

41 BBC News, “Europe’s pensioners hit streets”, April 3, 2004

http://news.bbc.co.uk/2/hi/europe/3596351.stm (accessed April 3, 2009).

42 The Fair Tax, www.fairtax.org (accessed April 3, 2009).