"IT'S TIME TO RETHINK" WHO WRITES FOR THE NEW YORK TIMES

According to an editorial in the New York Times titled "It's time to Rethink The Charity Deduction" Professor Thaler states "If someone in the 36 percent tax bracket gives $1,000 to charity and deducts if from his income tax, the donation costs him only $640. The government picks up the rest." Professor claims that's a subsidy, but it's not.

The government is giving us an incentive, not a subsidy, in order to make a charitable donation. The person that makes no donation has more money after taxes than the person who makes a donation.

The 2011 tax bill is meant to be an incentive to help people buy, hire and expand. It's been government practice to achieve public policy goals through the use of tax changes. That's what I call incentive.