MARK SCHAFF PUTS GROK AI TO THE TEST
Mark and Cyndi Schaff
Our FAIRtax Leader in South Carolina, Mark Schaff, put Grok to the test and sent in the results. Grok claims to be a free AI assistant designed by AI that says it maximizes truth and objectivity. It states that it offers real-time search, image generation, trend analysis, and more. Let’s see how well it measured up to those goals.
Mark is considering using ChatGPT and other tools to compare their responses with Grok's. Here is what came back from Grok with some editorial remarks showing that the human hand is still needed. This is the first of a multi-part series on Grok and other forms of AI.
-------------------------------
The FairTax Act (H.R. 25), as proposed in the 118th and 119th Congress, aims to replace federal income, payroll, corporate, and estate taxes with a national retail sales tax of 23% (tax-inclusive, equivalent to 30% tax-exclusive). Its economic impacts are debated, with potential effects outlined below based on available analyses:
Ed (Editor): So far, so good.
Potential Positive Impacts
1. Economic Growth and Investment:
- By eliminating corporate and personal income taxes, the FairTax could increase incentives for saving and investment, leading to greater capital accumulation. Studies, like one from the Beacon Hill Institute in 2007, estimate a 10.7% GDP increase within five years, 86.3% growth in domestic investment, and 10.6% long-term output growth. (https://en.wikipedia.org/wiki/Predicted_effects_of_the_FairTax)
- Removal of corporate income taxes could make the U.S. more attractive for international businesses, potentially boosting foreign investment and exports (up to 26% initially).
(https://en.wikipedia.org/wiki/Predicted_effects_of_the_FairTax)
- Supporters argue it would enhance U.S. competitiveness in global trade due to border tax adjustments. (https://en.wikipedia.org/wiki/FairTax )
Ed: No argument here.
2. Simplified Tax Compliance:
- The FairTax would reduce tax compliance costs by approximately 90%, saving an estimated $346.51 billion annually in administrative expenses.
(https://en.wikipedia.org/wiki/Predicted_effects_of_the_FairTax)
- By replacing the complex tax code with a single sales tax, it could reduce the number of tax filers by 86%, simplifying the process to a state-administered sales tax form. (https://en.wikipedia.org/wiki/FairTax)
Ed: We agree.
3. Taxing the Underground Economy:
- Proponents claim the FairTax would capture revenue from illegal activities by taxing consumption rather than income, potentially increasing federal revenue from previously untaxed transactions. (https://en.wikipedia.org/wiki/FairTax)
Ed: We agree.
4. Transparency and Fairness:
- The plan includes a monthly rebate (or "prebate") to offset taxes on essential purchases up to the poverty level, aiming to make the tax progressive on consumption. (https://en.wikipedia.org/wiki/FairTax) (https://www.billtrack50.com/billdetail/1257942)
- Supporters argue it promotes transparency in federal funding and reduces bureaucratic overreach by abolishing the IRS.
(https://buddycarter.house.gov/news/documentsingle.aspx?DocumentID=15327)
Ed: We agree.
--------------------------
The next Grok article in this series will discuss what Grok sees as the negative impacts of the FAIRtax. So, enjoy the supportive comments for now.
If you are interested in a comparison with other AI platforms, the FAIRtax Guys recently released a video about how the Microsoft CoPilot AI platform sees the negative impacts of the FAIRtax. The Guys reviewed five negative comments from CoPilot. You can view the video at: https://fairtax.org/videos/episode-482-ai-cons-of-the-fairtax.
If you have any observations about Grok, I would love to hear from you.
---------------------------------------------------------
WE'VE GOT YOU COVERED – IF YOU LET US KNOW.
As a reminder, event insurance coverage is available, but you must let us know. Once the event is underway, it's too late. If you are planning an event, let me know the who, what, when, and where, and I will get you a certificate of insurance.
---------------------------------------------------------
TAKE BACK CONTROL!
[1] You can design your own business card. I had mine printed at https://www.vistaprint.com. Here’s mine. Please clear your design first with our Marketing and Communications Team Leader, Randy Fischer, randy.fischer@fairtax.org. Randy turns requests around quickly. We need to know where our logos and service marks are going.
🇺🇸 Call For Pictures & WriteUps - We need more of you to send in pictures and news. If you have something to share, please send your material to me, Jim.Bennett@FAIRtax.org, (908) 578-4975, or fax (908) 598-2888. When others see your activity, they are inspired, and the process snowballs. When the process snowballs, Congress Members, Senators, and even the President start to listen.