For example, capital income, which tends to vary substantially more than wage and salary income, has over time become a relatively more important source of state personal income taxes. 6 Also, sales taxes that understandably exempt certain necessities may also lead to more cyclicality in collections.
With so few examples in our history, there is very little basis for determining the particular stage of development through which we are currently passing. Without doubt, the synergies of the microprocessor, laser, fiber-optic glass, and satellite technologies have brought quantum advances in information availability.