As the title Tax Shift indicates, this is not a tract about having no government and no taxes. We discourage whatever we tax by making it more expensive. Taxing labor makes people less eager to work and employers less eager to hire. Taxing interest and dividends reduces the incentive to invest. Making workers or investment more costly raises the price of everything that uses labor or capital, and the higher price dampens demand.
Similar losses come from payroll taxes, property taxes, sales taxes, and corporate income taxes.
But governments have already latched onto most taxable sins. Tax gas and oil and coal. Tax water withdrawals from streams and groundwater. Tax every kilowatt-hour generated by putting rivers through turbines, every ton of material taken from a mine, every tree cut down. Tax fertilizers and pesticides that pollute when they run off farmers' fields.