Has anyone really looked at the effect this would have on consumer behavior? Americans' massive consumerism--whether you think it's excessive or not--is a major driver for our economy.
Even with more money in their paycheck, I worry that most people would have a gut resistance to paying 30% or more on top of an item's price. I get annoyed now when I have to pay PA's measly 6% sales tax.
Sure people will still buy food and other necessities, but I bet that discretionary spending would drop significantly at first.
Edit--I see the NRF (not that they have an agenda or anything
) is already throwing fits about it.