Transforming the Tax System: Pulling the United States Out of the Red and Funding Universal Health Care

Abstract

The United States is experiencing the economic turmoil. Both unemployment and forclosure numbers are on the rise. The U.S. government, through its spending beyond its means has accumulated a $14 trillion debt. The current tax infrastructure clearly is not providing sufficient funding for U.S. government programs. With the passage of the Universal Health Care bill, the U.S. nation debt is bound to increase. In order to fund this liability and pay back the national debt it is imperative that a new revenue generating tax be introduced. The current tax system does not adequately provide funding, and the most prominent alternative, the value added tax, will only add to the economic woes of the United States. Henceforth, the United States should follow in the footsteps of our Asian neighbors, and implement a flat tax system.