Re:Just one more reason to enact the FairTax (Score 1)

Okay, firstly, a 23% sales tax isn't going to add $6 to the price of a $5 item, so it should be immediately obvious that your numbers are off. The actual final prices will be $5 * (1 + .06 + .23) = $6.45 and $6 * (1 + .06 + .23) = $7.74.

Secondly, assume for the moment your figures were correct. Then Wal-Mart does have the advantage, because what is important is the difference between the percentages, which grows, and not the fact that both percentages increased by the same factor. However, since the percentages actually decrease by the same factor, the difference shrinks, and Wal-Mart in fact appears to be losing advantage under FairTax.