Hacker News new | ask | show | jobs
by bluthru 4302 days ago
>When there is competition among companies that drives down prices, do you heard people complaining about "the race to the bottom"?

States and private companies are completely different. Competition is great when you can tolerate losers (such as private companies). When it comes to states, we don't want losers--we want every state to succeed.

Pitting states against one another only shifts the tax burden to individuals.

1 comments

What would be the solution? Collusion between states to keep tax rates the same? What would drive efficiency in gov't?

If one state has a high tax rate and is wasting money I want there to be a downside. They should lose jobs to other, more efficient states.

>What would be the solution? Collusion between states to keep tax rates the same?

Yes. If the result of states competing in this area is harming citizens, then it should not be practiced. It's also not fair to competing businesses. We all pay the same federal rates without issue.

I'm open, but not keen, on states having different tax rates. I'm 100% against not enforcing those rates consistently, as is the case with abatements.