Herman Cain's flagship 9-9-9 policy is perhaps the most memorable slogan of GOP primary season. Cain proposes to wipe out the existing tax code and replace it with a 9 percent individual income tax, a 9 percent corporate tax rate, and a 9 percent national sales tax. No more loopholes, no more deductions, no more exclusions, no more capital gains taxes, no more payroll taxes no more...Social Security or Medicare?
Read More →
The 9-9-9 plan actually says nothing about Medicare. But numerous analyses conclude swapping out the current tax code for 9-9-9 would leave the Treasury significantly short of the insufficient revenues it currently collects. Cain has no interest in raising those rates. And that means barring unfathomable economic growth, 9-9-9 would yield enormous budget shortfalls and eventually require the government to offload popular programs like Medicare, Medicaid, and Social Security.