Lessons from the Flat Tax

Published February 22. 2022

In the 1980s, simplifying America’s tax code provided better incentives to work, save, and invest. Wanting to go even further, Alvin Rabushka and Bob Hall proposed a flat tax. Though it was not adopted in America, countries that have implemented the flat tax have seen less tax avoidance and more tax revenue.

Discussion Questions

1. Could a flat tax work in America?
2. Why does a simplified tax code provide better incentives to work, save, and invest?

Additional Resources

• Read Alvin Rabushka and Robert Hall’s book The Flat Tax free. Available here.
• Watch “What We Learned About 70% Tax Rates 50 Years Ago” on PolicyEd. Available here.
• Watch “Why Tax Rates Matter More than Taxes” on PolicyEd. Available here.