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Subject: "RE: You: There is no economic model relating taxes and investment..." Previous topic | Next topic
PimpTrickGangstaClik
Member since Oct 06th 2005
15900 posts
Fri Nov-08-19 02:44 PM

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84. "RE: You: There is no economic model relating taxes and investment..."
In response to In response to 79


          

>Doing a bunch of Finance equations about a single investor
>and a single investment and a made up tax rate is not an
>Economic model, it's just Accounting.

lol. What I did was a very, very, basic economic model of investment under uncertainty that went against your claim that taxes aren't related to investment.
Didn't realize you wanted a "real" model.
People have already done that

Tax Policy and Investment Behavior
http://piketty.pse.ens.fr/files/HallJorgenson67.pdf
"Our basic conclusion is that tax policy is highly effective in changing the level and timing of investment expenditure"

And empirical evidence:
The Effect of Corporate Taxes on Investment and Entrepreneurship
https://papers.ssrn.com/sol3/papers.cfm?abstract_id=1091238
"We present cross-country evidence that effective corporate tax rates have a large and significant adverse effect on corporate investment and entrepreneurship."


The Effect of Corporate Taxation on Investment and Financial Policy: Evidence from the DPAD
https://www.aeaweb.org/articles?id=10.1257/pol.20150378
A 1 percentage point reduction in the effective corporate income tax rate via the DPAD increases investment by 4.7 percent of installed capital


>Throwing out the term
>Basic Economics like it proves anything at all relevant to
>this debate when you don't even know what Basic Economics is
>is problematic. They don't even start throwing Taxes in to
>economic models at any basic level of learning it, because it
>is entirely to do with assumptions, and introducing taxes
>requires the introduction of a whole bunch of other
>complicated shit.

We talk about taxes in Introductory Micro and Macroeconomics. It is basic economics.



But like your example, and like your quotes
>from that article, you find it nice and easy to leave out the
>stuff that's hard or negates your point. Like the fact that
>most investment in anything innovative/risky is done by those
>with a wealth level under the mark where this tax will take
>affect.

Could be true. Entrepreneurs tend to be younger and are not initially super wealthy. So a case could be made that taxes won't affect innovative activity. But it could also be the case that funding for innovation comes from investment within corporations (think of medical innovation), venture capitalists (think Silicon Valley).
Again to my main point, this is something that needs to be thoroughly thought through.



Or pretending that losses don't provide any taxable
>benefit to these people claimed against their income. And not
>realizing that in your example, the risk associated with that
>investment does not actually change regardless of what level
>of tax you introduce, especially relative to all other
>investments, which has to be considered to anyone who actually
>knows anything about Economics as a broadly generalized
>attempt to model "everything" not just one flip of a coin,
>which is way too specific to be called economics.

No clue what you're talking about here. Risk stayed constant to illustrate the effect of changing on thing: taxes.
Again, my example was just to simply illustrate that taxes can affect investment. Of course I'm not going to spend months on a formal model for OKP. It has already been shown before with many other "real" models.

_______________________________________

  

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"You can’t shame rich and powerful white people in America. " (c) Me [View all] , MEAT, Wed Nov-06-19 08:19 PM
 
Subject Author Message Date ID
What a piece of shit.
Nov 06th 2019
1
This is some handle level logic.
Nov 07th 2019
2
Still sits on the board
Nov 07th 2019
20
Gifted his stakes to his foundation
Nov 07th 2019
22
Fun fact about Bill Gates and capitalism.
Nov 07th 2019
36
So what is your REAL argument?
Nov 07th 2019
3
Coming to this site sucks
Nov 07th 2019
4
What ? reply 2 and 3
Nov 07th 2019
5
Given them billions
Nov 07th 2019
6
Easy
Nov 07th 2019
7
      Non billionaires crack me up.
Nov 07th 2019
8
      Joe the Plumbers make me laugh
Nov 07th 2019
10
      Great
Nov 07th 2019
11
      Welcome
Nov 07th 2019
13
      as stupid does
Nov 07th 2019
50
           We don't sound nothing like your mother, she got stupid on lock
Nov 07th 2019
51
                Watch your tone bitch
Nov 07th 2019
53
                     Shut up your mother, Grandmother and her mother, 3 pieces of shit
Nov 07th 2019
54
                          In your wildest dreams bitch...
Nov 07th 2019
55
                               lmao coward
Nov 07th 2019
56
                                    Coming from someone that shoulda been swallowed or aborted
Nov 07th 2019
57
      Stupid is...
Nov 07th 2019
49
      I can never tell if you're an alias or what
Nov 07th 2019
63
           I can never tell if you're an alias or what (what’s it to ya if I am)
Nov 08th 2019
74
                People earning six figures have accrued over 50 million in assets?
Nov 08th 2019
75
      RE: Easy
Nov 07th 2019
9
           Ok
Nov 07th 2019
12
           You are sure he ain't trying?
Nov 07th 2019
14
           You want him to go at
Nov 07th 2019
15
                Not trying hard enough
Nov 07th 2019
17
           Microsoft pledged some big money
Nov 07th 2019
16
                RE: Microsoft pledged some big money
Nov 07th 2019
18
                RE: Microsoft pledged some big money
Nov 07th 2019
19
                They need to do more than that given this list
Nov 07th 2019
21
           Tomorrow I’d offer a grant/gift program to every school lunch budget
Nov 07th 2019
24
Right.
Nov 07th 2019
37
We been had a wealth tax that is punitive on the middle/lower class
Nov 07th 2019
23
What middle class person has over 50 million dollars in assets?
Nov 07th 2019
25
Heres her wealth tax on assets.
Nov 07th 2019
26
      Spain has a wealth tax, the Netherlands has a wealth tax,
Nov 07th 2019
27
      You just like to fight, don't you?
Nov 07th 2019
29
      You wrote multiple paragraphs outlining how tax affects a homebuyer
Nov 07th 2019
31
           Or......stay with me now....
Nov 07th 2019
32
                So why not use the example of the rich
Nov 07th 2019
34
                     Yeah you just like to fight lol
Nov 07th 2019
35
                          i got your example just fine.
Nov 07th 2019
42
                               Centering and framing are things that exist
Nov 07th 2019
44
      Nah, it's her M4A plan. That's where she emptied all the clips lol
Nov 07th 2019
38
           its 6%
Nov 07th 2019
41
                Oh I wasn't trying to argue her B-tax is too high lol
Nov 07th 2019
45
                     oops, I meant country-by-country here not mark-to-market lol
Nov 07th 2019
65
And...he has a point
Nov 07th 2019
28
The governments.
Nov 07th 2019
30
An important question for sure.I also think that,when people contemplate
Nov 07th 2019
39
Are you really arguing for Trickle Down Economics?
Nov 07th 2019
40
      With a dash of inherent intelligence of the rich
Nov 07th 2019
43
      Intelligence of the rich?
Nov 07th 2019
47
           RE: Intelligence of the rich?
Nov 07th 2019
48
      Not at all. Just basic economics.
Nov 07th 2019
46
           RE: Not at all. Just basic economics.
Nov 07th 2019
52
           https://media.giphy.com/media/G4ZNYMQVMH6us/giphy.gif
Nov 07th 2019
58
                cmon man
Nov 07th 2019
66
                All I'm doing here is showing that there is more to think about...
Nov 07th 2019
69
                Damn the formatting took away my math. Here's my work if curious
Nov 07th 2019
67
                     RE: Damn the formatting took away my math. Here's my work if curious
Nov 08th 2019
76
                          You: There is no economic model relating taxes and investment...
Nov 08th 2019
77
                               RE: You: There is no economic model relating taxes and investment...
Nov 08th 2019
79
                                   
           I think the biggest issue is your first statement
Nov 07th 2019
59
                waste/stupidity/etc is highly prevalent in governments too, make no
Nov 07th 2019
61
                never said there wasn't
Nov 07th 2019
64
                     I hear you. I think, for me, I fall in the camp that neither extreme is
Nov 07th 2019
68
                More patience than me. Thank you.
Nov 07th 2019
62
lol @ poor people defending BILLIONAIRES..
Nov 07th 2019
33
Of course you can't
Nov 07th 2019
60
Ditto for Australia. It was common criminals who built that country up.
Nov 08th 2019
86
Bloomberg to enter the presidential race
Nov 07th 2019
70
Bob Iger coming up next ...get your voting machines ready people
Nov 07th 2019
71
CALCULATOR FOR THE BILLIONAIRES
Nov 07th 2019
72
Yoooooo this is amazing.
Nov 07th 2019
73
If that’s the actual calculator answer she got my vote
Nov 08th 2019
78
Billionaires are shook.. i love it.
Nov 08th 2019
80
They'll be fine tho. They always are.
Nov 08th 2019
81
      its pretty funny* that billionaires dont want to pay taxes
Nov 08th 2019
82
           Good point. They are terrible people.
Nov 08th 2019
83
           As long as it’s less they see it as a worthy investment.
Nov 08th 2019
85
But isn't she part of the 1% herself?
Nov 08th 2019
87
      net worth $12 million, whats the point?
Nov 08th 2019
88
           Average income of them is 1.32 million a year
Nov 08th 2019
89
Bezos called Bloomberg to ask him to consider running for president (lin...
Nov 09th 2019
90
Did Bezos use the Billionaire Boys Secret Hotline
Nov 11th 2019
91
      yup, Pharrell was the receptionist who answered the phone.
Nov 11th 2019
92

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