Demands curves. If a tax is added that eats up more of the profit margin on a product, the suppliers will scale back production and increase the price. There will be fewer buyers, but those buyers will pay more per product, maintaining the desired profit margin. Unnecessary employees will be removed as there is less work to do.
So, you're saying that the less demand there is for something, the more companies charge for it? What you seem to think is that because a company can't profit $2billion, that they will refuse to profit $1billion.
It doesn't work that way. Companies don't start from a profit margin and work backwards.
The hint I gave earlier was ignored. There are costs that go into producing a product. Corporate income tax is not one of them. It is paid after the product has been manufactured and sold, not before as in the costs of materials & labor. Corporate income tax is paid on profits not revenue. Corporate income tax does not add to the cost of the product being manufactured.
Consumers do not pay corporate income taxes. Say it with me. Consumers do not pay corporate income taxes.
A company will not make a product that does not give them an expectation of a net profit (loss leading is an attempt to demolish competition for future profit at the expense of current revenue). Taxes add to company costs. Think through the rest.
You missed it completely. Corporate income taxes add to company costs, but not product costs.
If a company could raise prices to cover taxes, they already would have raised prices to increase profits. Corporate income tax figures into the company bottom line, but does not figure into the cost of the products they make. Consumers do not pay corporate income tax.
Think for a moment about the consequences of what you say if that were true. Like... uh... anything would be sold for Zero... but, you see, thinks are not usually sold by nil, so something must be happening there, something like, let's see... like producers selling goods for a price that covers *all* their costs (you know, raw materials, tooling, wages *and* taxes) plus, at least, what Adam Smith called an ordinary rate of profit.
Think about that list of costs you just enumerated. "raw materials, tooling, wages"...and taxes. If you think long enough you'll figure out how taxes are different.
I'll give you a hint: it has to do with time.
The only place you will still hear that "consumers pay all taxes" are from people with ideological opposition to taxes.
Yeah. Believe it or not, I had to write a check to cover my fantasy football league fees. The other players are a bunch of neighborhood guys who aren't hip to online banking yet.
I tried to pay in Bitcoins, but they threatened to kick my ass.
Every day in every office in every city in every part of the world, businesses print stuff on paper. Almost anything dealing with the law or court involves printing documents, daily if not hourly. Real estate offices churn out so much paper that it boggles the mind. Virtually every government office in every country on Earth prints reams of stuff daily.
Don't make the mistake of thinking everyone in the world is a white-collar worker.
Corporate taxes in general get rolled into the purchase price of the item.
This is a common misconception. If corporations could simply raise prices in order to cover the tax bill, they already would have raised prices. The only way a corporation could or would raise prices in order to cover the tax bill is if they could collude with everyone else in their industry to raise prices by exactly that amount. That's a federal crime.
You and I are de facto paying the taxes, regardless of what the legalities are, and the same is true for any other taxes or fees that are assessed prior to the sale of the finished item to the ultimate customer.
It's simply not true. If it were, then iPhones would be more expensive in the US than they are in countries with lower corporate tax rates. They are not.
A true monopoly on the other hand, would be able to raise prices to cover taxes.
Corporations in the US pay about as much as Ireland, which is known for it's low corporate tax rate. And less than Hong Kong.
The difference between the corporate tax rate in the US and the corporate tax rates in the rest of the developed world is that the rest of the world actually means what they say. It's not just a dodge to make citizens feel like corporations are paying their fair share, as it is in the US.
"RETURN EMPTY CARTRIDGE TO LEXMARK FOR RECYCLING Please read before opening. Opening this package or using the patented cartridge inside confirms your acceptance of the following license agreement. The patented Return Program cartridge is sold at a special price subject to a restriction that it may be used only once. Following this initial use, you agree to return the empty cartridge only to Lexmark for recycling. If you don’t accept these terms, return the unopened package to your point of purchase. A regular price cartridge without these terms is available."
I am not legally bound to have to read anything on a package.
Plus, I'm unable to read English (and especially fine print because I can't find my reading glasses). Further, reading instructions or any of the other bumfodder that Lexmark stuffs into their packaging violates my religious convictions. BOOM!
The force behind capitalism is a government to enforce contracts. I don't have to trust someone to do business with them. I only have to be able to make them live up to their agreement.
Explain why anyone would take a financial risk to develop a new product ?
Because you get to be the first one to bring them to market in order to make a profit.
patents have not stopped innovation which is why we have new products every year
I think OSX for my homebuilt 16-core machine would be innovative. Then I'd be able to run Logic Studio on my own hardware.
One example of how patents have stopped innovation. How do we know there aren't companies out there who could make machines to run OSX better than what Apple makes?
We are a long, long way from the original intent of patents.
Try interacting with a lawyer or a government. I can guarantee you, everything is going to involve paper.
Lawyer, maybe. Government, no. I just renewed my drivers license online. I pay my taxes online (income and real estate). I reserve a campground at the State Park online.
The last time I set foot in a government office, I didn't have to pick up a pen. There was a stylus to sign my name.
Maybe Chicago is more sophisticated than Rowan County, Kentucky, but government here is quickly shifting away from paper.
I can see using one of these on my next bespoke musical instrument controller. Ever since I got my Surface Pro, I've been dreaming about home-brewing something cool for music production with a Raspberry Pi, and this might give me a good opportunity.
But I might wait until they come up with something with higher resolution.
I'm sure you're living quite the lifestyle there Mr. Bond, but the rest of society doesn't usually walk around prepared to instantly wipe their damn life from their electronica at a "moment's notice"
Exactly. Most of us carry burner phones that we can just toss in the trash at a moment's notice like Raymond Reddington.
Slashdot Mirror
#BillionaireLivesMatter
The very first headline from your link:
https://www.washingtonpost.com...
I don't think your citation shows what you thought it was going to show.
So, you're saying that the less demand there is for something, the more companies charge for it? What you seem to think is that because a company can't profit $2billion, that they will refuse to profit $1billion.
It doesn't work that way. Companies don't start from a profit margin and work backwards.
The hint I gave earlier was ignored. There are costs that go into producing a product. Corporate income tax is not one of them. It is paid after the product has been manufactured and sold, not before as in the costs of materials & labor. Corporate income tax is paid on profits not revenue. Corporate income tax does not add to the cost of the product being manufactured.
Consumers do not pay corporate income taxes. Say it with me. Consumers do not pay corporate income taxes.
You missed it completely. Corporate income taxes add to company costs, but not product costs.
If a company could raise prices to cover taxes, they already would have raised prices to increase profits. Corporate income tax figures into the company bottom line, but does not figure into the cost of the products they make. Consumers do not pay corporate income tax.
Do the math again.
I didn't say no one uses a printer. I said about half of workers use printers, and many of those print maybe 3 or 4 documents per month.
Think about that list of costs you just enumerated. "raw materials, tooling, wages"...and taxes. If you think long enough you'll figure out how taxes are different.
I'll give you a hint: it has to do with time.
The only place you will still hear that "consumers pay all taxes" are from people with ideological opposition to taxes.
My kid is in grad school. But I do remember all the school forms when she was in middle and high school. I wrote a lot of checks.
And I'll use them if they can bring more endangered species meat to market.
I still have thylacine on my bucket list.
Yeah. Believe it or not, I had to write a check to cover my fantasy football league fees. The other players are a bunch of neighborhood guys who aren't hip to online banking yet.
I tried to pay in Bitcoins, but they threatened to kick my ass.
You might be surprised to find just how few working people actually work in offices:
http://kff.org/other/state-ind...
Don't make the mistake of thinking everyone in the world is a white-collar worker.
This is a common misconception. If corporations could simply raise prices in order to cover the tax bill, they already would have raised prices. The only way a corporation could or would raise prices in order to cover the tax bill is if they could collude with everyone else in their industry to raise prices by exactly that amount. That's a federal crime.
It's simply not true. If it were, then iPhones would be more expensive in the US than they are in countries with lower corporate tax rates. They are not.
A true monopoly on the other hand, would be able to raise prices to cover taxes.
You dumb sonofabitch. Do you not know the difference between a corporate tax rate and how much a corporation actually pays?
http://money.cnn.com/2013/07/0...
Corporations in the US pay about as much as Ireland, which is known for it's low corporate tax rate. And less than Hong Kong.
The difference between the corporate tax rate in the US and the corporate tax rates in the rest of the developed world is that the rest of the world actually means what they say. It's not just a dodge to make citizens feel like corporations are paying their fair share, as it is in the US.
I am not legally bound to have to read anything on a package.
Plus, I'm unable to read English (and especially fine print because I can't find my reading glasses). Further, reading instructions or any of the other bumfodder that Lexmark stuffs into their packaging violates my religious convictions. BOOM!
I have entered into no contract with Lexmark.
Nosiree.
The force behind capitalism is a government to enforce contracts. I don't have to trust someone to do business with them. I only have to be able to make them live up to their agreement.
Because you get to be the first one to bring them to market in order to make a profit.
I think OSX for my homebuilt 16-core machine would be innovative. Then I'd be able to run Logic Studio on my own hardware.
One example of how patents have stopped innovation. How do we know there aren't companies out there who could make machines to run OSX better than what Apple makes?
We are a long, long way from the original intent of patents.
I will take that bet regarding the last "month or so". And, I'll bet that the 50% that are still using paper print less than 3 documents per month.
A few weeks ago, I looked at my checkbook and the last paper check I wrote was January. Of 2014.
Stuff is starting to change fast.
Lawyer, maybe. Government, no. I just renewed my drivers license online. I pay my taxes online (income and real estate). I reserve a campground at the State Park online.
The last time I set foot in a government office, I didn't have to pick up a pen. There was a stylus to sign my name.
Maybe Chicago is more sophisticated than Rowan County, Kentucky, but government here is quickly shifting away from paper.
Trevor. He's my main. We have similar taste in clothes.
Trevor Howard, I mean.
http://media.liveauctiongroup....
I can see using one of these on my next bespoke musical instrument controller. Ever since I got my Surface Pro, I've been dreaming about home-brewing something cool for music production with a Raspberry Pi, and this might give me a good opportunity.
But I might wait until they come up with something with higher resolution.
I met a mac-sniffing dongle once. He finally got his dream job working the Genius Bar.
What he meant to say was wipe with your phone. It's not particularly comfortable but it saves a bundle on Charmin Ultra Soft.
Exactly. Most of us carry burner phones that we can just toss in the trash at a moment's notice like Raymond Reddington.
I don't like putting chemicals on my skin, so I just wear a giant sombrero. Here is a selfie of me and my cool lid:
https://i.ytimg.com/vi/6W-JqB-...
It was aliens what built it.