- Capitalism and Alternatives -

whippet out

Posted by: Gee ( si ) on August 20, 1999 at 13:04:07:

In Reply to: the dog's.... posted by Red Deathy on August 20, 1999 at 11:00:07:

: Did you get a big crash ten years down the line? What I usually get after my uber-booms...usually as well, I end up with negative unemployment and negative inflation (occaisonally negative interest rates as well), but thats just the way teh formulas work...

I did first time, the set up presumes govt is here to stay. Strip it away and the formula cant cope. Its a 'minor adjustment' model. So by gradually stripping out taxes, increasing allowance etc it works great.

: Slash the lower tax bands (make everything say under 8K p.a. tax free), knock child benefit up (especially the first child bonus), end the married couples allowance, remove the cieling on NI- usually all gets some good results...

I did that in my first model. one family was still worse off (you can be too unemployed it seems) but single parents were ok. being 'generous' allround was a distaster though. You can get 'radical' on taxes too, by just having a 35% rate cut in at say 15k and nothing below that. Cut vat and special taxes, cut out housing benefit (though the model doesnt acount for the corresponding reductions in pvte rents from the consequent opening of that mkt) and other benefits excepyt child stuff. Fun!

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