[RD] Trump's Nothingburger Tax Cuts

[Lexicus]

Doesn't mean you have to be a socialist hippy

To quote the Joker, "yeah, you do Brian. You really do."

 

[El_Machinae]

Mine have but healthcare premiums keep going up way too fast, meaning my 3,4,5,6% raises look more like 1,2,3% raises.

I'll say over and over. The longterm solution here is getting medicine into the deflationary phase, because it's an information technology. Medicine is going to be like televisions. A generation ago, you'd pay $300 for a 18" TV and $600 for a 24" TV. A spin on the S-Curve, and now you can get a 42" TV in higher definition for $500.

The health secretary is looking at bringing down pharmaceutical costs, which is low-hanging fruit both now and in the future. After that, it's a question of what research comes out of government and university labs that Big Pharma can pick up to run over the goal line.

Personally getting ~$300 more in my take home pay from the tax cuts so yeah for me? Turned around and spent it on weekend getaways with the fam, a birthday party, etc. So I'm doing my part and consuming domestically!

You got your raise after the stock market underwent tremendous booms AND when interest rates are at historical lows. Which means that (surprise!), the rich have already bought all the thing you might want for your long-term future. There's now less upside to those purchases and much more risk than when they bought them. That's how trickle-down works, see.

 

[hobbsyoyo]

The only problem with your theory is that in the US at least, we have a huge helping of regulatory capture and a fundamentally broken medical market which work to ensure that prices don't fall as they should.

 

[civvver]

So you are saying your wages are not keeping up with inflation, which was exactly the point I was making.

I was just posting my anecdote. Personally the only thing I'm noticing major inflation on is insurance across the board. Gas fluctuates. My housing is a fixed mortgage so doesn't go up. Food has gone up but not drastically. Beef is definitely more expensive than 5-6 years ago but chicken is cheaper. Electronics are cheaper. Clothes are the same or cheaper.

I think the main problem with inflation is just health care and education. Other stuff isn't that bad. We had some chart in the charts thread showing just this too.

You got your raise after the stock market underwent tremendous booms AND when interest rates are at historical lows. Which means that (surprise!), the rich have already bought all the thing you might want for your long-term future. There's now less upside to those purchases and much more risk than when they bought them. That's how trickle-down works, see.

Well sure it would've been awesome to make what I make now in 2009. I did buy a house in 2015 and a car in 2016 though, locked in some low rates.

 

[El_Machinae]

The only problem with your theory is that in the US at least, we have a huge helping of regulatory capture and a fundamentally broken medical market which work to ensure that prices don't fall as they should.

The health secretary (Azar) is currently stumping about his proposals. If you at all care about the topic, I'd pay attention. There are huge opportunities for the prices to fall, merely by aligning incentives. Honestly, I think Trump might be capable of doing it. But deflation can still happen as new technologies are brought onboard. It's actually the only way to make it truly enter the deflation phase.

 

[Berzerker]

Beats me how people think tax cuts are good when the most successful and powerful America has ever been was when the taxes were at their highest and the finance markets were regulated.

Doesn't mean you have to be a socialist hippy but USA 1945-early 60's were about the best it ever got for the average American.

Much of the industrialized world was devastated by WWII leaving the USA to power the recovery. By the 70s we were losing that advantage, but the write offs etc were more extensive back then too.

snipped more off topic nonsense from the guy who doesn't understand the term effective rate and can't understand that unemployment is inversely related to employment, and that neither is related to THE ACTUAL TOPIC---

I understand the effective rate is not 0 and that I'm the only one here who posted it. I was talking about the top rate, the one that was cut to ~22% - you are welcome to track down the new effective rate but that doesn't change the fact the USA was at or near the top among the G20 for both rates before the cut.

You're changing your argument - you didn't say unemployment was inversely related to employment, you said the job creation rate was dropping and that was connected to the dropping unemployment rate. Will you explain why you think a dropping job creation rate is a rebuttal to a dropping unemployment rate? Btw, the unemployment rate is not inversely related to employment.

What is the "effective" US corporate tax rate ? This is like the EU corporate tax rate of 31% but for some reason McDonald's is HQ in Brussels are pays 0%

I see my mistake, we were talking about the top rate and I thought you were asking me for the new rate after the tax cut. Its possible the effective rate hasn't changed much, at least not for corporations already paying less than the new top rate. That cut will benefit the corporations that were paying more than the new rate.

 

[Arakhor]

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