You are embedding the cost again, hiding it from the consumer who is the ultimate tax payer, and placing it on business.At least 30% of the taxes that would be collected by the FairTax will not be paid by citizens at the cash register, it would be paid by the federal, state, and local governments. The citizen will only see this hidden, embedded tax in increases in their state sales tax, their property tax, and state income tax.
Apparently, the price of products and services to government are immune to the laws of supply and demand. When the cost of the embedded taxes goes away, it goes away for government too. With the cost coming down, there is no legitimate reason for other taxes to rise to offset it.
Eternal vigilance is still required. Government mus still be held accountable.
"At least 30% of the taxes that would be collected by the FairTax will not be paid by citizens at the cash register, it would be paid by the federal, state, and local governments. The citizen will only see this hidden, embedded tax in increases in their state sales tax, their property tax, and state income tax."
And what exactly is wrong with driving all levels of governmental expenses out into the open and giving people the knowledge of the costs associated with these "services"? It will force people to chose between necessary services and frivolous entitlements, my guess is that an overall reduction at all levels of government would soon follow.