A Tax that Kills
dustinmp9
First i would like to point out that some people thought that my first paper needed some changes about the info on the inport tax, well I'm hear to hopefully reason with the masses and bring them down to a more Earthly state, and possibly bring them around to see the errors in their ways.
Second, I would like to state that i do not currently own a business, but i was planning on doing something along those lines. In fact, i was planning to create a moving ticket business, get some workers, raw material, gain a bit of cash, cut me a slice of American Dream Pie.
I was going to do this up until the current congress slashed import taxes, 20% down to 1% which in theory, could create the perfect condition for a free market, coolest thing ever right? In the real world you bet your bottom dollar it is, and however close this game mimics that real life scenario, it isn't.
Several days after the lowering of the Inport tax one could hardly call "Protective", not a single other country has joined in the lowering of the moving ticket, wood, or any other industry's income tax. Is it the competition to see who can lower the Tax the most with the worst consequences first, not sure but it looks that way.
I would like everyone to take a look at the Moving ticket industry in the eUS today. Once prosperous, each ticket selling from between 11 and 13 usd, now selling at a near 9 dollars, and while that doesn't sound like much, many owners are facing problems, cutting employees and slashing wages just to stay afloat.
This is a market for consumers, and the lower prices can be a good thing, but only for the select few who are 1. born rich and never have to work to earn money, or 2. the foreign company who can ship the rest of their product here. The Business owners in the eUS are losing money to the over seas companies, and that means in an attempt to keep up with the dropping prices, must also drop prices. With less money coming in he or she can no longer afford to pay the workers their salaries, which then he much slash to continue making money.
Besides, with all of the new Military programs popping up, the need for more money is going to become an issue. The low inport tax will no longer feed the growth of the government, and essential programs like Meals on Wheels could lose money or be cut, a reality me might be facing someday.
Hopefully this will never come to pass, and all will be corrected when the Income Tax gets raised. Then the wave of prosperity will flow in, and until that day keep hoping that the congress of these great states does nothing else to threaten our way of life.
dustinmp9
Comments
You apparently don't know the difference between Income taxes, which are a tax on the worker's income, and Import taxes, which are a tariff on foregin goods sold on the American market.
You may also have missed that the USA was not the first to lower taxes. In fact, our close ally Spain lowered their import taxes shortly after their congressional elections to a reasonable level.
Also, realise that foregin companies still need to invest 20 gold in an exporting lisence to the USA before they even begin to think about an importing tax.
First, you must manually create your links to ereptools graphs like this:
http://www.ereptools.pl/graph/productsPr[..]=60d" target="_blank">http://www.ereptools.pl/graph/productsPr[..]=60d
Second, be patient -- diplomacy take time. It may be a full month before other countries get around to lowering their taxes.
Third, moving tickets is never a good industry to start in. If you have less than 75 G, you should try a different industry. Even still, you are going to want a significant amount of startup capital before you begin.
Finally, business is not for everyone, even if everyone thinks it is. A lot of the current price drop is due to the baby boom we just had. Many new businesses are starting up, undercutting, and then quickly dying. Once this cycle ends, prices should rise. Please note that over 250 domestic tickets have to be sold before you get to a foreign company.
I jumped rather harshly on your original article as you didn't have any facts to back up your claim. In this article you have hard facts to show us and I appreciate that.
I encourage you to continue tracking the effects of the new import tax as many people are curious as to what will be the eventual outcome of the change.
I appreciate all the feed back, im still new to the writing, and i hope that in the future i could draft a but more, and maybe not upset everyone who reads