To balance the budget, Congress raised taxes on the highest earners in America, but a YouTube video by Learn Liberty posits that raising taxes doesn't necessarily increase government revenue.
Antony Davies, the speaker in the November 2012 video, says the way to increase revenue is to simplify the tax code, so people stop spending time and money to avoid taxes. Only a few specific taxes are correlated with higher revenue.
For instance, tax revenue rises when Social Security and Medicare taxes are increased, because those taxes are harder to avoid. But, the video says, higher rates on Social Security are linked to an increase in unemployment a year after they are raised, because it becomes more expensive for employers to hire.