an increase in tax would only create an increase in product prices as the wealthy try to recoup their losses. This would adversely affect the very people you would be trying to help. The middle class whose support you wold require would also be affected negarive and the proposal would be then over turned.
Huh? You’re going to have to explain how increasing the tax (on the wealthy) would lead to increased product prices. They might try to recoup their losses. (Or they might decide it’s not worth working as hard for less reward—this is the usual assumption in Economics) But what’s the mechanism that leads from that to raised prices? There is an optimal price to set to maximize profit. Raising prices past that point isn’t going to increase profits, because the volume sold will be lower.
I guess I was thinking of necessities like food, water, electricity, medicine etc which the lack of is causinG the preventable premature deaths . Passing the costs of production on to consumers (including increases in tax) in order to maintain or grow profit margins is at the heart of our economic reality.
’Not worth working as hard for less reward” is the reason for the lottery for the top 10% of earners. Most of these kind of individuals would have the belief that this would be a lottery they would not win and therefore continue to work as they would. An increase for all the top 10% (tax) would only modify their behaviour and at least some proportion of the cost would enievitably be passed on to all consumers.
an increase in tax would only create an increase in product prices as the wealthy try to recoup their losses. This would adversely affect the very people you would be trying to help. The middle class whose support you wold require would also be affected negarive and the proposal would be then over turned.
Increasing taxes would not work.
Huh? You’re going to have to explain how increasing the tax (on the wealthy) would lead to increased product prices. They might try to recoup their losses. (Or they might decide it’s not worth working as hard for less reward—this is the usual assumption in Economics) But what’s the mechanism that leads from that to raised prices? There is an optimal price to set to maximize profit. Raising prices past that point isn’t going to increase profits, because the volume sold will be lower.
I guess I was thinking of necessities like food, water, electricity, medicine etc which the lack of is causinG the preventable premature deaths . Passing the costs of production on to consumers (including increases in tax) in order to maintain or grow profit margins is at the heart of our economic reality.
’Not worth working as hard for less reward” is the reason for the lottery for the top 10% of earners. Most of these kind of individuals would have the belief that this would be a lottery they would not win and therefore continue to work as they would. An increase for all the top 10% (tax) would only modify their behaviour and at least some proportion of the cost would enievitably be passed on to all consumers.