He noted though that while this purchase in itself will not do much for Dell's financials, the view is the company will be doing more of these purchases, with the combined effect having marginal impact on growth.
The Laffer Curve-effect is more likely to work miracles if the highest marginal income tax rate is very high to begin with say over 50 or 60 percent and if the taxpayer has control of when to realize income for tax purposes.
Continued interest-rate hikes and slowing home buying should have, at most, a marginaleffect on 2006 because the economy's underlying strength likely won't flag.
Although this plan does less than Mr McCain's to shift taxation from income towards consumption, the reduction of marginal tax rates could have a bigger effect on economic growth.