- Capitalism and Alternatives -

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Posted by: Gee ( si ) on August 20, 1999 at 17:21:27:

In Reply to: Proprtion is what counts... posted by Red Deathy on August 20, 1999 at 15:36:54:

: Of course, but proprtion is what actually matters- since richer people are paying proprtionately less tax- effectively 9by the old standard) working less for the state...

Working less in proportion but having more of their productive output used, ie contributing more actual wealth. perhaps thats why some feel underrepresented ("I paid for the damn road") etc.

: No, prices don't go up, because they have to stay at market value- VAT is a proprtionate tax- i.e. its paid as a percentage, hence what tend to happen is that the +VAT price is the real price.

The +VAT price is what has to be charged in order for the product to sell and return profit. The point is that sales taxes reduce the amount you can buy, rather than the relative proportions (except where sales taxes are used to influence choise, as in fuel tax)

: Childrens clothes, boooks, etc. VAT on fue is a Euro policy, supposedly envrionmental, but its been resisted because of the threat of Old people having to pay it, etc.

Do you mean heating fuel? Oh I guess the huge interest group of the old (lots of votes you know) will see to that. I meant vehicle fuel.

: My point was the basket of goods did not increase significantly, and if it did, then wages increased to cover the difference- in the end its only Capital thats paying the taxes. The need for two wages comes from a general increase in teh number of unemployed, thus holding wages down further.

despite that statistics show a general decrease in the unemployed in the UK since the late 70s?

: There's no duty on TV's?

I forgot about that BBC license. How incredible that a supposedly free country dares impose a tax on owning a TV on the basis that said tax is used to support a defacto government broadcaster. That you cannot state your disinterest in the BBC as reason not to buy a license is evidence of the UKs closeness to the 'national TV' systems of more overt dictatorships.




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