The House Report
Tyler F Durden
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Canada's Housing Situation
tl;dr
Since loud Congressmen in Congress own Wood and House Companies, you still have to pay 30%-40% higher than market value for your new House.
Recently, a Bill was brought before the house to reduce the Import Taxes on Houses from 99% to 5%. It stands to fail at this time. Given the new Hospital Rules, Citizens will need Houses like never before. Also, the Admins no longer enforce contracts - effectively killing the Black Market - where Houses have traditionally been sold. It was my intention to propose a reduction in Housing Income tax and add a VAT to conclude the Housing Tax reform - should this bill pass.
Congress views the House proposal...
Reasons why this Bill was propose
😛
Take a look at the markets here: CAD House market
The cheapest Q5 House globally is 36 gold.
In Canada? 58 Gold. Some companies - like This One sell houses on our market - despite the 99% Import Tax!
Q4 Houses?
Global Prices: 26 gold.
In Canada: 35 gold.
How about Q3?
Global Price: 16 gold.
Canada: None Available
What about Q2?
Global Price: 8-9 gold
Canada: 12 gold
Q1 houses...
Global Price: 3.5 gold
Canada: 5 gold.
What your Congress does to you every time you go to the markets
Some Congressmen believe that every Canadian should have a company of their own.
After all - why have 99% Import taxes across the board if that was not the case?
What we end up with is market saturation because nobody exports lower end Q goods.
Congressmen with Wood and House companies cry
out for protection of their extortionist prices
The CAD market is expected to absorb ALL goods produced by the excessive amount of companies under this Tax posture. We get ridiculous wage fluctuations and RAW producers price their manufacturing customers out of the domestic market. Anyone own a Gift company?
Did YOU buy any Diamonds over the past few weeks?
I have prepared a House Report on this issue:
Click to enlarge
Who are the Congressmen most vitriolic in their defense of the Import Tax staying at 99%?
Gaius Julius Caesar00 - owns Wood and House companies
Samuel de Champlain - owns Wood and House companies
Citizen B - one of the last adherents of Pre-Lana, Per-Hospital Rule change 'voo-doo' economics. (Okay, not the last...but the loudest) he has resorted to calling me a "whore" and "traitor" in Congress. I hope everything is okay at home for him because this is highly out of character.
Tim Young - Canada's Self Appointed Economic God
Tim Young says: "We do not need foreign goods. All goods can be made in Canada. If there is a shortage of goods, the solution is to fixed our domestic economy rather than rely on imports."
The protectionist at work in his office...
Yes, you should pay whatever price the CAD GM dictates.
You OWE him your money after all, Tim Young says so.
This guy is gonna make me stop liking Bruce Lee.
SpockPQ says: "Solution: an organization and two moving tickets!"
Cuz after all - every n00b starts out with an org and two moving tickets, right?
Their first house - a Q1 will cost them more than their Level 6 Gold in the CAD market.
SpockPQ says they should spend that gold on an Org and then save up for a house...while paying for higher Q Food to maintain your Wellness.
The "Babyboom Committe" is laughing themselves to tears with that one.
Note: GaiusJuliusCaesar00 is ON the "Babyboom Committe".
I find your lack of appetite for the blood of Canadians
disturbing, Mr. Durden. We will vote down your proposal,
ensuring that Canadians continue to buy from our personal
companies at 35% above global market value!
Citizen B says: "Keep Canada's money IN CANADA!"
Of course, he means: "Make sure Canadians pay the highest price possible in eRepublik" because that is the end result.
Samuel de Champlain says: "Nobody will have interest to see cheap house dumped in our market." and then refers us to an article he wrote a year ago in defense of the Import Tax policy remaining where it is. Mhmm, because the eRep economy hasn't changed at all since then...Also, Congressman Samuel de Champlain - the highest vote getter in the last Congress elections truly thinks that "Nobody will have interest to see cheap house dumped in our market" - not even consumers Mr. de Champlain?
Samuel de Champlain also finishes with a flourish: "You should be happy TFD, you will be subsidized..."
What you are looking at der Mr. TFD? I will PM all my party
members and tell them to vote for no in your attempt to make
Houses affordable for Canadians. Affordable housing! Mon dieu!
Rolo Tahmasee says: "High cost of Houses in Canadian Market = I take my org and go buy it from a country with low wages and cheaper product. Canadian Government profit from my sale = 0. I love high Canadian wages, I can take my money and buy twice as much elsewhere
ps: (5% of something is better that 99% of nothing)"
Addy Lawrence says: "I have a Q3 house which I bought on the black market through a member of the CAF. I am interested in an upgrade and will do so, however, I'd feel MUCH more comfortable buying one from the marketplace as opposed to the black market."
Addy Lawrence also compiled this data:
GaiusJuliusCaesar00 says: "I suppose my company produces paper airplanes? The chart Addy posted is completely inaccurate, given my knowledge of the housing industry..."
Don't want to lose the golden egg of being the only cat in town, do we?
Uh huh.
Whatchu talkin' about Tim Young?
http://www.erepublik.com/en/article/canadian-congress-april-2010-1275780/1/20">Titanium Rental Debate
*UPDATE* Jacobi has written a related article. Check it out for another perspective.
http://somokon.com/erep/hitcounter.png">
Comments
Sucks to be you if you're buying a House in CAD.
There's not enough pictures in here TFD, and the text in the tl;dr isn't big enough for the hurrdurrs.
Wow, why is Tim Young in congress? I'm suprised he has the intellectual capacity to turn on his computer sometimes.
Yes, yes it does.
Clarification: you cannot buy a house with an org, only citizens can buy houses. Two moving tickets and an org will not work.
A 20g difference seperates eCanada's Q5 housing market from the global market. That is four worker medals ON TOP OF THE PRICE OF A HOME!!!
This is a transgression against eCanadian consumers and yes, I voted in support of lowering the import tax.
~fkuu~
Import taxes are bad for business.
Thanks sydiot our potential exporting American friend
I see how all the Americans want us to lower import tax so they can profit off our markets.
I want to see wages in Canada the highest in the world and if import taxes are lowered that would never happen because you are sending free gold abroad.
There have been a shortage of food and houses due to the hospital changes and the sudden increase in profits for company owners are a signal for new companies to come into the markets. If you lower import taxes, that will take away the incentive for companies to set up here and we will be like the Americans where we are constantly sending free gold abroad and have to rely on imports to supply our markets.
The key here is purchasing power and wages will fall more than prices will fall because money has gone to foreign countries and out our economy. Stop deluding the population by talking about prices alone. Lowering import taxes will cause lowering of wages and make our country poorer for it.
JUST SAY NO TO IMPORTS.
Tim Young speaks for Tim Young.
All bow and scrape before his greatness.
O_o
My question is whether the reason that houses cost so much in Canada is because companies are paying their workers more, or whether they are just selling for higher profits than anywhere else.
In the case of CAD companies:
Foreign companies will enter market
wages drop
Canadian companies die
Canadian money leaves Canada
In the case that Canadian GMs are selling at an extra profit:
Foreign companies enter market
prices drop
wages stay the same
CAD companies stay in control, seeing as they are able to drop prices and, hopefully, Canadian money stays in Canada
What case are we dealing with?
A newspaper,
Regardless of whether it's the GMs gouging or not - Canadians are FORCED to pay 30% and over market value for Houses.
That is just plain wrong - no matter how many time Tim Young says otherwise.
His North Korean utopia of protectionism is crumbling.
Lower import taxes! What matters is purchasing power, sure we may have high wages but if we can only buy stuff that costs a greater percentage of our wages then our high wages do us no good.
Free trade is the path to prosperity 99 times out of 100. For the good of Canada, Congress needs to lower these taxes.
Great article!
THE COMPANIES DO MATTER!
Its no use buying a 30% cheaper house if your being paid 50% less!
just a thought
(and humbug, the articles changed since i read it)
I added images 'A newspaper'.
Nobody said anything about wages dropping 50% either.
Where did you pull that out from?
maybe we should put taxes down for a while and see how it goes...
If it goes badly, we can just put them up again.
if it goes ok, the great!
Maybe to 10%, so locals have a slight advantage over the competition. Just enough to put pressure on our companies.
As for the 50% wage drop, that was merely speculation. We should look at all sides of the matter
TFD a dit : "Cuz after all - every n00b starts out with an org and two moving tickets, right?
Their first house - a Q1 will cost them more than their Level 6 Gold in the CAD market.
SpockPQ says they should spend that gold on an Org and then save up for a house...while paying for higher Q Food to maintain your Wellness."
En fait, mon affirmation était inexacte, seuls 2 MT sont requis si le joueur peut voyager sans contraintes (ce n'est pas le cas pour les congressistes... qui ont besoin d'une organisation pour procéder à l'achat)
Cependant, l'achat d'une organisation est un choix judicieux. Cette organisation peut aussi servir à :
- entreposer des armes pour usage futur (pour défendre le Canada en cas d'urgence...);
- s'auto-offrir des cadeaux pour maintenir son wellness élevé;
- entreposer plus d'items (utile pour les membres des CAF);
- démarrer ou acheter une compagnie.
Spock 1, Durden 0
Australia was in this kind of situation a while back, albeit with weapons more. We were paying something like 30% more on weapons. We lowered import taxes across the board to 10%. We didn't really get very many importers, but people began COMPETING for our money.
Stuff began to cost less, and wages went UP as the new hospital changes went into effect due to the reliance on gifts and diamonds.
I understand this particular article is about housing, but just saying that as long as you're not retarded (like that Tim Young guy lulz) you can easily lower import taxes and increase living quality.
Seriously, you guys had a shortage of FOOD? What the hell? That is a sign you are doing things really, really wrong.
Read the comments here SpockPQ.
Durden 1, SpockPQ 0
SPockPQ endorses his Congress buddies extorting Canadian consumers while violating conflict of interest!
"You don't like it - go elsewhere and use your wealth to stimulate other economies!" he says!
A newspaper...
what if you can buy houses for 30% less and only make 20% or 10% less?
and more people buy houses then, and the government can collect more taxes from those sales then?
what then?
good no?
I'd like to stimulate Anomie's economy
Chemy Boy Asso : "Clarification: you cannot buy a house with an org, only citizens can buy houses. Two moving tickets and an org will not work."
On en apprend tous les jours! Merci pour la clarification.
Quand même, deux MT (0.4 g) sont suffisants pour épargner 4 médailles HW (20 g)!
Pour les intéressés : http://ereptools.net/market" target="_blank">http://ereptools.net/market
Hinokai has the most epic statement that the opponents to this debate conveniently ignore...
Mon Dieu!
Who actually still buys houses in Canada? Anybody can save a huge amount of gold by simply going overseas.
btw, look at those stupid Aussies sending their money overseas guys. What's the same? Diamonds and a low population. What's the difference? Lower import taxes. Australia has the highest wages in EDEN, but lower consumer prices than Canada. I wonder what they're doing wrong.
Loved it!
Every Canadian should watch to see how their congressperson votes and, when elections come up next, ask themselves if their congressperson really voted in the interest of the Canadian consumer.
Voted & subscribed!
I am an American business owner who has also served in congress over the past year. A year ago, when eUSA was more protectionist, I bought many of my materials overseas in order to compete and stay in business. Now that tariffs are lowered, I can buy American products and still compete! Canada can also do the same! For the last year, I have always argued for the lowering of tariffs which do nothing but protect owners who don't know how to run their businesses. When prices are driven high, don't think that your business-owning congresspeople don't use orgs. to buy overseas - because that's how they stay in business! And as long as Canadians pay higher prices, the businessmen are happy but Canadians have less money to buy things that matter - like weapons and gifts. Think about it!
There is little competition in domestic housing market so why not cut VAT or income tax to encourage companies here to sell more houses whilst bringing import tariffs down to like 40% encouraging profit and competition
Why not lower domestic taxes to encourage competition and lower import tariffs to like 30-40% to maintain porfit and increase competition.
Thanks for the article. I never thought of going overseas to buy. Grats congress, I think I'll keep 20g (-12 CAD for two MT) and give a different gov't my taxes...
I got a Q2 house for 1 CAD on the black market in America!
Government should be offering incentives to people who want to start up housing companies instead of trying to bring in foreign competition with such drastic tax changes. You need to give Canadian companies time to adjust to new tax rates rather than going from 99 to 5 in a day. I'd suggest first dropping it to 70% then 50% then 25% then 5% if things do not improve to the point where we are more in line with the rest of the e-world.
Maybe we'll ask the Admins if they can introduce V2 over the span of a few weeks too.
Everyone CANNOT have their own company.
CANNOT.
There are WAY too many as it is. All it does is drive wages and prices up.
By trying to solve one problem, you're creating 3 more. Not a very good strategy if you truly have Canada's best interests at heart.
For all of those that have been saying prepare for V2...the best way to prepare is to ensure that Canadian Companies have the funds needed to succeed when V2 is launched. Having our gold leaving the country is not a wise idea. Most of these companies were around when houses were selling at cheap prices like 70CAD for a q1. No one forced citizens not to buy back then. If you take sales away from canadian companies...wages will go down again and we will re-enter the recession. Tyler do you want to be the next jacobi that is out there trying to kill our industries?
Ok, how many here buy high Q products in Canada?
the same people that don't buy high Q products in Canada are they same that cry when their wages start dropping. Product price, profit and wages are all interconnected. The quicker we realize that the quicker we can start strenghtening our economy
The only time anything sells in CAD market is when inept GMs panic because they can't unload goods at cost of production and start to fire-sale. The wages are too high because there are too many jobs for too few workers. When push comes to shove at the bottom line they shed their inventories and their workers.
We cry when wages drop because we won't even be able to afford 2 Moving Tickets to go shopping in Latvia with.
"Clarification: you cannot buy a house with an org, only citizens can buy houses. Two moving tickets and an org will not work."
Not true - I bought a Q5 house from Japan with my org a couple of days ago - 37 gold, I think only 7 gold more than what I paid for my Q3 house once upon a time
I will try the house purchase with org thing again, it did not work for me.
Import taxes create a closed economy and the economic potential of that economy is bound by the enclosure. This is not good nor bad, its just what it is. People living inside the fence make great wages and enjoy a high standard of living, they also pay more than what they could outside the fence. That is the price you pay.
So what are we getting in exchange for being inside the fence again?
hmmm we get tax dollars.....let's close all industries so that all the tax dollars and wages dry up...then we can all live in the one q5 house we can purchase together.....
Petz - poeple WANT to buy Canadian.
It's juts not economically feasible to do so.
who buys houses off the market?
Colwell, Admins no longer enforce contracts.
Haven't since March.
We need to give it a test run to give Canadians an idea of what will actually happen...
as Jacobi said
"I've offered a motion to decrease import taxes in both Housing and food to 35%. This will allow profitability to continue in both of these sectors while allowing foreign companies to exert pressure on prices to benefit every Canadian citizen.
An efficient company in a country with the markets we do can live off a 35% advantage over its competitors, and if for whatever reason they cannot there is nothing stopping us from bumping the import tax up to relieve them. But 99% is merely gouging, counterproductive, and a vehicle to concentrate the wealth of this country into very few hands. "
I believe that given the limited domestic supply of houses within canada. There is need for lower import tarives in this sector.
The fact that certain house qualities are not represented by domestic companies in our market and the fact that the amount of housing companies within canada is rather limited. I believe that no significant competition exists.
In this case I can thus only support a lowering of the import tarives.
Let kill everyone in congress.
You can't say that the sky is falling if we change things when the sky has already hit the ground old man.
Canadians can view for themselves if I am a bold faced liar here:
http://forums.ecanada.ws/viewtopic.php?f=40&t=6131&start=220" target="_blank">http://forums.ecanada.ws/viewtopic.php?f[..]=220
It's open congress - I can't quote you from closed congress of course...
Oh, and you can say it ANOTHER 1000 times - Canadian money ALREADY DOESN'T STAY IN CANADA!
That's the whole point! Nobody who watches their finances shops in the CAD market - they'd be stupid to, plain and simple.
Get high wages here, then go shopping elsewhere - THAT is the eCanadian way!