Deconstructing Obama's $5 trillion Lie

This claim came from the Liberal Tax Policy Center. They fell into the same governmental  economist trap of static math. They ignored history.

Economics is about incentives. Change the incentives, and you change the revenue stream. In 1921, at the urging of Andrew Mellon, President Harding lowered the tax rate on incomes over $100,000. In 1921 the rate was 73%, the government collected $700 million. 30% of which was paid by these rich. AFTER lowering the rate to 24% on incomes over $100k, they collected $1.1 billion, 65% of which were paid by these rich. This pattern was repeated in the '60's, '80's, and 2000's. Yet IGNORED by the left.

They prefer to think that a 10% cut, removes 10% form the revenue, ignoring that the lower rate leaves more money in the hands of people who will spend it, invest it, create jobs, broaden the tax base, resulting in more taxpayers paying more income. Even for the rich, it incentivizes them to remove money form non productive tax shelters and invest it in productive activity, resulting in more income, more taxpayers, and higher tax revenues, not  to mention a higher share of those taxes being paid by the very rich that saw their rate cut.