Here are some hot-off-the-iPhone, must-read thoughts on Rick Perry’s flat tax plan from two AEI scholars. First up, Aparna Mathur:

1) Perry is correct in noting that the current complexity of the tax code adds tremendous inefficiency to the current system. A flat tax with limited exemptions and deductions would reduce a lot of the distortions that exist along the income scale. For instance, taxing higher income at a higher rate creates disincentives for work and saving, and these would be minimized under a flat tax. Also, it would reduce compliance costs.

2) I really like the idea of lower corporate taxes. Kevin Hassett and I have done a lot of work showing the negative effects of higher taxes on investment and wages. Higher corporate taxes in the US have caused capital to move out to lower tax countries. As a result, investment in the US has suffered, and US workers have lost out in terms of productivity and wages. That is one reason why with the highest corporate tax in the US, we still have one of the lowest corporate tax revenues relative to all OECD countries. If the US did lower its corproate tax rate, then I think the US would be more competitive relative to other countries, and the repatriation tax holiday as well as the territorial system would not be that critical to increasing revenues. These would be more relevant if the US continues with the higher tax rate.

And John Makin:

Sound 1. Same rate on individuals and corporations avoids distortions 2. End death tax and capital tax exemptions eliminate double and triple taxation 3. Key question is how much revenue it generates. Needs dynamic scoring.