I absolutely love your site. I just happened onto it from digg.com. YOu hit the nail on the head. What you are suggesting above would simplify taxes, eliminating beuracracy (politicians don’t want to do that), eliminates muddy complications of current tax code thereby saving the public many man hours and therefore money so will become more productive, eliminates lobbyist because they have nothing to lobby for (politicians will lose their steak dinners).
This would create jobs because although companies want to make more money, ANY company in a capitalist society wants to sell more product year over year which will increase employment. But then again, capitalism is bad, right?