Originally Posted By: djb
Basic question: if a tax is a percentage, why would you expect the rate to increase? The adjustment for inflation and wage inflation is already built in. The expectation should be that as things become more efficient, the rate should decrease rather than decrease.
Real wages have been stagnant for a long time, i.e. wage increases are at inflation rate in the long run, while the medical expenditure increases have outpaced inflation as the pool of eligible persons increases, the comorbidities become complex and people with chronic illnesses have a prolonged life spans.