You mean, taxing activities results in less of that activity?
There’s a great discussion thread on Michelle Malkin’s web site. In a nutshell, the thread points out that left-leaning fiscally-irresponsible politicians (and, in this case, their supporters) acknowledge the connection between an increased tax on an activity resulting in less of that activity, once a tipping point is reached (in this case, increasing taxes on tobacco to fund the SCHIP program with the parallel goal of decreasing smoking).
That’s no small point. Why? If they see the connection between increased taxes on cigarettes/tobacco and decreased consumption, then they cannot deny the connection between increasing taxes on corporations and workers and the ultimate result of less work/economic output as a result of those increased taxes. Ultimately, tax increases result in a shrinking tax base from the contraction in the economy that results.
It’s not rocket science…!