Why not raise taxes to slow inflation?

[Saint]

Amartya Sen created the agency index which is a far better measure of what citizens can avail themselves of in society then simply GDP per-capita.

The ability to avail oneself of goods and services of far more important than a number.

The general gist is that countries like American and Australia and increasingly the UK, are bumping up their GDP and wealth slightly (and disproportionately at the top-end) at the expense of healthcare and education which ends up with their standard of living decreasing for 90% of the population.

 

[Mofra]

The general gist is that countries like American and Australia and increasingly the UK, are bumping up their GDP and wealth slightly (and disproportionately at the top-end) at the expense of healthcare and education which ends up with their standard of living decreasing for 90% of the population.

GDP per Capita in no way measures inequality which is a major concern in many countries

 

[Big Papa Ted]

If they're going to raise tax, corporate tax is probably the best place to start

 

[royale with cheese]

If they're going to raise tax, corporate tax is probably the best place to start

I buy my eggs from a hobbyist farmer around the corner from my house and even they have gone up. I don’t think they are conducting “corporate profit hoarding”

 

[Big Papa Ted]

I buy my eggs from a hobbyist farmer around the corner from my house and even they have gone up. I don’t think they are conducting “corporate profit hoarding”

Did you even read through what I linked?

 

[Seeds]

Amartya Sen created the agency index which is a far better measure of what citizens can avail themselves of in society then simply GDP per-capita.

The ability to avail oneself of goods and services of far more important than a number.

True but i think you will find there is a strong positive relationship between access to services and gdp. Not perfectly uniform but a strong posutive correlation. Even the usa provides far more services then most developing regions with low gdp per capita.

 

[evolved2]

Did you even read through what I linked?

I don't have Instagram, and wasn't able to view the link from a couple different browsers. Do you have a different link or screenshot to show the pertinent points?

 

[Big Papa Ted]

I don't have Instagram, and wasn't able to view the link from a couple different browsers. Do you have a different link or screenshot to show the pertinent points?

Here mate

 

[evolved2]

Money = debt
Too much money supply decreases its value causing inflation.

Surely taking money out of circulation is the aim!!!

Why let the banks have it?

If the banks go under, we're all ****ed.

 

[evolved2]

I find it fascinating how many people get upset about the idea of wealth taxes, yet are in no way likely to be impacted by them. Like how the super balance tax changes affected a tiny proportion of the Australian population but the was a disproporitonate amount of agitation because maybe one day, some people, if they're lucky, might possibly get close to having the amount that it would take to even meet the threshold where the changes start kicking in.

Because they think it's likely to lead to more. Just look at the greedy SRP posters for evidence they're right.

People also very consistently misunderstand how our tiered tax system works. That top bracket of >$180k should also really not be the top bracket, there should probably be another another bracket above that at somewhere north of $300k is my estimation.

That's a simple concept everyone understands. Selfishness is a bigger factor from people who are happy to see 'them' taxed more.

 

[nut]

If the banks go under, we're all ****ed.

They are doing a pretty good job f%##ing thinks up.

 

[Kram]

Because they think it's likely to lead to more. Just look at the greedy SRP posters for evidence they're right.

That's a simple concept everyone understands. Selfishness is a bigger factor from people who are happy to see 'them' taxed more.

Tax the hell out of anyone that's doing just a bit better or something different than me

 

[faible]

That's a simple concept everyone understands.

It's really not.

 

[Kwality]

They are doing a pretty good job f%##ing thinks up.

Is it easy, they borrow on the world market, with interest rates reflecting international uncertainty.

I'm no fan of the big 4, but bank bashing as a sentiment is a waste of your time.

 

[Saint]

Is it easy, they borrow on the world market, with interest rates reflecting international uncertainty.

I'm no fan of the big 4, but bank bashing as a sentiment is a waste of your time.

It's pointless to complain. But at a time when mortgage holders are hurting and doing the bulk of heavy lifting by having to tighten their belts, some of them beyond what they should have to (i.e. foregoing meals/rent), the Govt could apply a few temporary arrangements which makes the banks share a tiny bit of the pain by eating into their record profit margins (i.e. temporary corporate tax increases) in order to raise the lowest tax threshold and provide some relief to those at the bottom.

 

[Kwality]

It's pointless to complain. But at a time when mortgage holders are hurting and doing the bulk of heavy lifting by having to tighten their belts, some of them beyond what they should have to (i.e. foregoing meals/rent), the Govt could apply a few temporary arrangements which makes the banks share a tiny bit of the pain by eating into their record profit margins (i.e. temporary corporate tax increases) in order to raise the lowest tax threshold and provide some relief to those at the bottom.

Great IF the belt tightening is really temporary.
Any drop in the Banks share value will be worn by those retiring (by choice or not) whilst the increased tax rate is charged & those mongrel share holders with investments in the Banks.

 

[Saint]

Great IF the belt tightening is really temporary.
Any drop in the Banks share value will be worn by those retiring (by choice or not) whilst the increased tax rate is charged & those mongrel share holders with investments in the Banks.

Why are you calling them mongrels?

I didn't.

 

[Kwality]

Why are you calling them mongrels?

I didn't.

They are helping themselves (sic).

 

[Cap]

It's pointless to complain. But at a time when mortgage holders are hurting and doing the bulk of heavy lifting by having to tighten their belts, some of them beyond what they should have to (i.e. foregoing meals/rent), the Govt could apply a few temporary arrangements which makes the banks share a tiny bit of the pain by eating into their record profit margins (i.e. temporary corporate tax increases) in order to raise the lowest tax threshold and provide some relief to those at the bottom.

There could be an argument about Banks having to give longer term loans at reasonable rates to avoid this kind of thing.

 

[Saint]

There could be an argument about Banks having to give longer term loans at reasonable rates to avoid this kind of thing.

I don't think trusting the banks to set rates which will make them less money is a thing.

 

[Cap]

I don't think trusting the banks to set rates which will make them less money is a thing.

It would more be forcing them via policy or creating sufficient competition.

 

[Kwality]

I don't think trusting the banks to set rates which will make them less money is a thing.

If the big 4 competed there would be real competition, there isnt (imho). Not unlike petrol prices.

That said we dont need banks failing : 3 Failed Banks This Year Were Bigger Than 25 That Crumbled in 2008

 

[Cap]

If the big 4 competed there would be real competition, there isnt (imho). Not unlike petrol prices.

That said we dont need banks failing : 3 Failed Banks This Year Were Bigger Than 25 That Crumbled in 2008

The Govt should have stepped in and avoided the takeover of both Bankwest and St George.

There should have been a better solution than making the 2 biggest Banks, bigger.

 

[evolved2]

It's pointless to complain. But at a time when mortgage holders are hurting and doing the bulk of heavy lifting by having to tighten their belts, some of them beyond what they should have to (i.e. foregoing meals/rent), the Govt could apply a few temporary arrangements which makes the banks share a tiny bit of the pain by eating into their record profit margins (i.e. temporary corporate tax increases) in order to raise the lowest tax threshold and provide some relief to those at the bottom.

Banks are in a more precarious situation than record profits would suggest. After speaking to a mate in the industry, I won't be surprised if banks raise rates independently of the RBA within 12 months.

 

[Big Papa Ted]

Banks are in a more precarious situation than record profits would suggest. After speaking to a mate in the industry, I won't be surprised if banks raise rates independently of the RBA within 12 months.

Please explain, that doesn't make any sense from a financial perspective. If they're making record profits, what's the risk?