I was a graduate student in the early 1980s, and we had a conference on 
Reaganomics where Jerry Jordan, then a member of the Council of Economic 
Advisors, was a speaker.  I had the pleasure of driving him back to the 
airport afterwards, and since taxes were the main topic of discussion I 
thought I would ask him about the VAT.  I have favored it for these reasons 
you mention, that the income base is too hazy to define, that it taxes 
savings and investment, that it is likely to be more visible.  He agreed, 
and reported that the CEA at that time was in favor of VAT.  So why not 
propose it?  I asked.  He replied that the Reagan White House feared that 
the Democrats would introduce VAT *in addition to* the income tax, rather 
than in lieu.  Better not to give them any ideas, he said.

Pretty prescient.

Yes, any Canadian readers, please tell us if the tax is displayed on price 
stickers (I'm relatively certain it is not in Europe).