Import tax V VAT You Decide
ronnyJnrJnr
OK Lately I have been hearing alot of boohooing and nay-saying that our weapons prices are too high and high import taxes are "ripping off" australian consumers. So what i have done for these naysayers is to compile a list of countries selling weapons cheaper than ours to explain why they are cheaper, and to point out that in fact, most ARE NOT actually cheaper than our weapons.
For the record, Australias current price for Q5 tanks is $38.00 AUD/or 0.076 gold. This is the Market price INCLUDING VAT of 15%
Prices for sellers comes to 0.065 gold
Australia has only 2 weapons resources
http://www.erepublik.com/en/country/economy/Hungary
Lets start with the cheapest country in the world to buy weapons. This country is Hungary.
Hungary has, to start with, 4 of the 5 available weapons resources. giving them an extra 40% production over Australia, or an extra 4 tanks per worker. Q5 weapons currently sell for 0.064 gold
Hungary has a VAT of 12% making tanks actual price being 0.056 gold per tank. Not bad considering they are producing 4 extra tanks per worker.
http://www.erepublik.com/en/country/economy/Poland
Next on the list is Poland. Poland has 5 out of the 5 available resources giving them the maximum amount of weapons produced per worker, 20 tanks, or an extra 6 per worker.
Sell price is 0.064
VAT is 7% making actual price for the seller being 0.059 gold per tank. Kinda expensive for a country with all 5 weapons resources if you ask me.
http://www.erepublik.com/en/country/economy/Bulgaria
Next is Bulgaria. Only 2 of the 5 resources, so is the producing the same amount of weapons that Australian companies do.
Sell price is 0.065
VAT is only 5% making price recouped by the seller 0.062 gold
Fair price for a very large country
http://www.erepublik.com/en/country/economy/Serbia
Serbia is next. Serbia has 4 out of the 5 resources, making their production the same as Hungary's.
Sell price of 0.064
VAT of 15% making price for seller 0.054 gold
Fairly cheap but so they should be having an extra 40% production than Australia.
http://www.erepublik.com/en/country/economy/Republic-of-Macedonia-FYROM
FYROM is 5th on the list. FYROM has 2 out of 5 resources
Sell price is 0.066 gold
VAT 5% making price after tax for companies 0.063 gold
fair price again for a very largely populated country
http://www.erepublik.com/en/country/economy/Lithuania
Lithuania: 2 out of 5 resources
Sell Price 0.068 gold
VAT of 5% making price after tax 0.065
Fair price again
http://www.erepublik.com/en/country/economy/Greece
Greece: Unfortunately Greece has no regions
Sell Price is 0.068 gold
Vat is 3% making after tax price 0.067 gold
http://www.erepublik.com/en/country/economy/Israel
Israel; No resources
Sell Price 0.069 gold
VAT 5% making price after tax 0.066 gold
http://www.erepublik.com/en/country/economy/Republic-of-China-Taiwan
Taiwan: 1 resource
Sell price 0.069
VAT 5% making AT price 0.066
http://www.erepublik.com/en/country/economy/Ukraine
Ukraine: 1 resource
Sell price 0.07
VAT 5% making AT price 0.067 gold
http://www.erepublik.com/en/country/economy/Croatia
Croatia: 1 resource
Sell Price 0.07
VAT 13% making AT price 0.061 gold
http://www.erepublik.com/en/country/economy/China
China 5 resources
Sell price 0.071
VAT 10% making AT price 0.064 gold
There are more but do I seriously need to go on????
To make it clear. Australia prices for weapons are extremely fair, cheap compared to MOST countries. High import taxes ARE NOT to blame for the current price of 0.074 gold, VAT of a ridiculous 15% is. People who are scaremongering and misleading citizens into believing that our prices are (a)high and/or ripping off consumers and
(b) import taxes are to blame, have absolutely NO idea what they are talking about, nor do they do any research to substantiate their claims. All they are doing is spouting ill informed rhetoric
Comments
k
Why don't we make TVs IRL again?
Lets all hope the senate maintain Ronnyjnrjnr's big fat profit margins.
His company gains the most from the senate's strange approach to banning cheaper imports for poor aussie citizens.
Heaven forbid if some competition was allowed to help reduce prices.
Obviously venja, after starting a non sanctioned RW against Indo yesterday, you CLEARLY DO NOT have australias best interests at heart, whether it be keeping australians employed, companies afloat and employing australians preventing them from moving overseas for work or actually keeping us from being wiped by indo by going against the agreement that you full well knew about. You have absolutely NO idea. Try READING the article and see the prices you clown, then try thinking about what it costs to make.and the fact that we are on par with countries with MORE production than ours. Funny, it seems that we are fairly cheap, comparable to countries with more production than ourselves, therefore able to produce more. You just want import taxes down so you can sell your chinese imports, putting australians out of work and companies underground and dead
LOL venja, simply LOL
I'd suggest that with peacetime, everybody invests towards creating their own weapons production.
Do the numbers RJJ, the costs of production in eAustralia are below eChina. There is absolutley no need for any protectionism. All it does is boost the profits of the companies running a cosy oligopoly.
Arfman is right - it's a good opportunity to perhaps educate your citizens to build more Q5 companies, which deliver stable profits for as long as they are maintained.
The danger with low-wage economies like eAustralia is that even when weapon prices dip (like during the current gap in demand) they are not really as affordable as in other countries if wages are low. I've been attempting to track this in all countries by taking into account both wages and market prices, take a look: http://www.erepublik.com/en/article/standard-of-living-indices-tracked-for-1-week-1813128/1/20
Im sick of trying to explain to you people. Introduce imports, say goodbye to jobs. simple fact. It was happening before we introduced import tax, will happen again. I know i will lay off 50 + workers when i cant sell due to prices being cheaper than i can make, so will all the rest of employers. As for saving to make ure own wepons companies? good luck when u have no income. say goodbye to a good chuck of workers overseas
TJ you are a moron. Our prices are COMPARABLE to these economic giants as you so put it. And you want to lower taxes on imports???? 20% is NOT reasonable. Take a look at these "economic giants" import taxes... many are far greater than ours, some are 99%. I think that austrlalia selling tanks with 2 weapons regions, at a comparable price to countries with 4 and 5 weapons regions means very little profit for australian companies, meaning no upgrades, and cheap prices for consumers. Get a clue TJ. You may want to take a look at what gold is selling for and wages in these countries. Numerous wages are less than our (EG HUN) and gold sells for less> Not to mention that no matter how many regions of the same resource you have, you only get ONE bonus...