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Outlook for the economy in 2010 and beyond

Discussion in 'Speaker's Corner' started by dirtydog, Jan 3, 2010.

  1. rypt

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    Except that since this is an even footing, as local players have to be listed on an EU exchange, and have to pay the same taxes it does not give anyone an unfair advantage.
    And it is not a tax on doing business in EU, it is a tax on earnings EARNT from the EU by the EU operation.

    Because the EU is a large market?
    And if some do leave, EU grown business will take their place.

    There are (relatively) few EU based car companies selling cars in USA, just like there are few foreign based car companies selling cars in Japan - and yet there are plenty of American car companies selling cars in USA and plenty of Japanese car companies selling cars in Japan.
    Neither country has a problem with the lack of EU or foreign cars as the domestic products are perfectly fine.
     
    Last edited: Jan 4, 2010
  2. Dolph

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    The whole taxation and spending system needs fundamental reform to resolve many of these issues. Perhaps if Labour hadn't completely obliterated this country's economic prudence, Vat wouldn't need to go up?

    What would you suggest to plug the GDP hole that would leave?

    It clearly is a tax for doing business in the EU, just because it applies to local and international businesses doesn't change that. All you'll succeed in doing with such a crazy proposal is driving companies away and driving inflation up.

    Reducing corporation taxes would do far more to increase taxation income than such an irrational proposal.
     
  3. rypt

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    So when your local corner shop pays tax is it a tax for doing business in the EU/UK?
     
  4. scorza

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    And yet all the evidence is to the contrary - post-war Japan, present day China for example.
     
  5. Dolph

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    It is a tax for doing business in the UK, to fund the wasteful and inefficent UK state structure.

    However, local shops are a strawman when we're discussing international businesses that can conduct their business from anywhere in the world...
     
  6. Dolph

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    Japan, the country that lost a decade? Worked really well for them...

    China, well I'm sure we can instigate chinese working conditions in factories if you wish...

    It is not protectionism that made these countries what they are.
     
  7. rypt

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    And by implementing the rules I said nor can other businesses if they want to earn profits from the EU - they'd have to have a financial presence in the EU.
     
  8. Dolph

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    What about EU based companies who want to trade with companies in other countries? Will they be allowed to do so, or are we back to protectionism?

    You appear to be dramatically overestimating the EU's importance and underestimating the importance of global trade...
     
  9. Rich_L

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    Overestimating the EU's importance? I think that's a bit harsh :p

    [​IMG]
     
  10. scorza

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    Hence the prefix "post-war". To remind you, it was practically impossible to sell a British or American car in Japan until very recently, while at the same time the Japanese were reverse engineering British cars and making them better (which is considerably easier if you don't have to engineer one from scratch) then selling them in the same free market economies that did engineer the cars from scratch. Result: today the UK doesn't have its own car industry, and the US car industry is hanging on by a thread.

    Precisely why we need to protect the fairer working conditions have in the West. None of this free market economy, workers don't like it they don't have to work there, usual OCUK nonsense.
     
  11. rypt

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    Indeed, the EU is ahead of USA (and the Eurozone is basically died with them)
     
  12. Dolph

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    The lost decade was 1991-2000, when Japan started to have to compete on the world market properly.

    The UK and US car industries didn't die due to the above, they died due to a lack of willingness to compete and saddling themselves with excessive costs, which brings us neatly on to the point below...

    If we go with that, we need to accept the offshoring of manufacturing that will result, unless the population is suddenly going to start spending more money than necessary to get the goods they desire...
     
  13. rypt

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    You mean the decade when they basically invaded and started to take over the world car markets?
     
  14. daz

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    VAT is a very progressive tax since it is only levied on what you buy (apart from food and other essential items). Most things that you pay VAT on (apart from possibly fuel) are directly linked to your disposable income - rich people tend have more disposable income than poor people, so at worst it taxes everyone equally...
     
  15. Dolph

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    Source and not cutting off the details might be nice, as might some indication of what the graph actually shows ;)
     
  16. Dolph

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    No, no, it doesn't target people disproportionately based on the fact they are successful, it should be graduated so if you earn more, you pay more in vat, cos that is fair!!!!

    </sarcasm>
     
  17. Dolph

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    The decade plagued by deflation and a lack of economic growth...
     
  18. rypt

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    http://en.wikipedia.org/wiki/List_of_countries_by_GDP_(nominal)
    cba to give more than that as that lists 3 sources

    And yet still a decade that saw them start to take over the world
     
  19. RDM

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    To be fair the reason VAT isn't an overly fair tax is because it's remit has spread to cover many more things than just the luxury items it was originally introduced for. So any increase in it disproportionately hits the worse off.
     
  20. Tefal

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