So you're arguing for an increase of our sales tax. That's different than saying we don't pay sales tax!
Now, I don't disagree that a mechanism that tames American consumption would be good, and is also counter cycle to the economy.
But the question remains unanswered: How about the effect of sales tax on people and families at the margins [0]? 20-25% sales tax is a lot for them. A sales tax rebate check at the end of the year like Canada does? $70 hardly covers the bite of the sales tax!
[0] Including my in-laws, so I'll admit this is a bit personal.