03-29-2009, 08:43 PM | #1 (permalink) |
Human
Administrator
Location: Chicago
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Taxes to discourage certain behaviors
WBBM 780 - Chicago's #1 source for local news, traffic and weather - Cigarette Taxes Going Up; Seen As Revenue, Health Issue
(Think of this as an article from the newspaper sitting on the stool ) Cigarette Taxes Going Up; Seen As Revenue, Health Issue click to show I'm curious what everyone thinks of this. I most recently worked for an economist/congressional candidate who frequently made the point that we need to tax behaviour we want to discourage and not punish activities we'd like to see more of. The most common reason this would come up is that someone would ask him about carbon taxes, but the philosophy applies here as well. Cigarette smoking is a genuine public health issue, and increased taxes could both discourage it as well as bring in some new revenue. There's a bit of truth to the idea that if the tax works too well then there's no revenue to be made, but the final quote in the article addresses that: many people are all talk and little action. They say they'll quite because prices are going up, but continue to smoke. Likewise, people drove less and bought fewer gas guzzlers when the price of gas was high, but I recently read that something like 50% of people are less concerned about the environment now that prices are down. Do you support increased taxes for behaviour that we, as a society, deem harmful? It seems to me that it is one of the best tools government has to direct culture. Far better than prohibitions or PSAs.
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Le temps détruit tout "Musicians are the carriers and communicators of spirit in the most immediate sense." - Kurt Elling Last edited by SecretMethod70; 03-29-2009 at 09:00 PM.. |
03-29-2009, 08:56 PM | #2 (permalink) |
immoral minority
Location: Back in Ohio
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Yes. And I think we could reduce other taxes like property and income taxes if imported oil had a tax on it to promote domestic renewable energy production, fatty fast foods were taxed to subsidize gym memberships, or if buying alcohol had a tax to pay for police services.
A lot of the problems come from a broken tax policy that is supposed to be 'fair', but doesn't reward good behavior and impede bad behaviors. But, it isn't to say that the bad behavior should be illegal, but they should pay for the full impact to society for indulging in using that product. But, I also think that large internet retailers should be taxed. I'm sure Amazon, newegg and eBay had something to do with many local small stores closing up. You just need to tax them at a flat rate nation wide and put it towards INS, homeland security, and customs agencies. Last edited by ASU2003; 03-29-2009 at 09:02 PM.. |
03-29-2009, 08:59 PM | #3 (permalink) |
Human
Administrator
Location: Chicago
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I agree with most of that except the imported oil part. I'm generally pro-globalization and I don't support interfering in that process. The world is getting smaller, and we need to do more than just accept that fact, we need to embrace it. The problem is not imported oil, it's oil (and other dirty energies) in general.
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Le temps détruit tout "Musicians are the carriers and communicators of spirit in the most immediate sense." - Kurt Elling |
03-29-2009, 09:27 PM | #4 (permalink) | |
I have eaten the slaw
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If the activity isn't bad enough to ticket and fine people over, it's not bad enough for the government to discourage. It also takes the focus away from problems that harm society and shifts it unjustly to individual acts that, by themselves, don't hurt anyone. For example:
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03-29-2009, 09:35 PM | #5 (permalink) |
Human
Administrator
Location: Chicago
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Setting aside the issue of second and third hand smoke, because no such thing exists for alcohol consumption, don't you think it would be better if it were possible to reduce things like income tax in favor of taxing less productive activities? This is probably not realistically possible, but hypothetically at least, isn't it worth looking into?
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Le temps détruit tout "Musicians are the carriers and communicators of spirit in the most immediate sense." - Kurt Elling |
03-29-2009, 09:37 PM | #6 (permalink) |
WHEEEE! Whee! Whee! WHEEEE!
Location: Southern Illinois
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It's a slippery slope, because its in effect a fine on "objectionable" behavior.
What happens when they decide pornography is a vice that they can wring some cash from? It's still allowed by law, but they add a "sin" tax on the retail price of magazines and DVDs. Those that derive their income from porn production have to pay an additional income tax. Then the powers that be turn their sights on R rated movies and erotic fiction. Purely hypothetical, but it opens the door to many abuses.
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03-30-2009, 01:27 AM | #7 (permalink) |
Junkie
Location: New York
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No, I don't support taxes like that at all. One question is who gets to define that objectionable behavior?
We have had a $.05 deposit on soda bottles for years, supposedly to encourage recycling. Most of my soda bottles go in recycling anyway. It's just not worth my time and space to collect up a bunch of soda bottles, clean them, and bring them back where I bought them. Just recently, our governor wanted to impose a bunch of taxes, including a tax on non-diet soda. The reason for the tax on non-diet soda was supposedly to encourage people to drink diet soda and reduce obesity. Who is the state to tell me what I should and should not drink? I happen to drink non-diet soda because I don't like the taste of diet sweeteners at all. Some of them give me headaches, and I'm not convinced they are healthy. I remember cyclamates from years ago. I also have no problems with obesity at all, so why should the state punish me? The tax ended up getting dropped anyway, thanks to Obama's stimulus bill giveaway. But what happens next time? |
03-30-2009, 01:51 AM | #8 (permalink) | ||
immoral minority
Location: Back in Ohio
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The imported oil tax would go to the military that gets billions for protecting the ability to have no disruptions in the flow of oil.
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A porn or strip club tax might be interesting. Most of the porn is free on-line, so individuals wouldn't pay much. But, they still make a lot in advertising or something. Money from the porn production companies or strip clubs would provide a disincentive going into that business, and might push them into something else. Or the money could be put to use in sex education, disease prevention, internet addiction, and stopping sex slavery. I also think an estate tax is a good thing to pay down the national debt. Taxes are a necessary evil. And we need to come up with a way to pay the bills. Just adding it to the national debt and forgetting about it isn't going to work anymore. Hoping that lowering everyone's taxes and they will spend it all locally (instead of saving it or buying an imported item) don't really work it seems. ---------- Post added at 05:51 AM ---------- Previous post was at 05:42 AM ---------- Quote:
Objectionable behavior is something that costs society to clean up what an individual (or others who partake in such activity) decides to do. If your impact on the amount of money the government needs to spend is low, you pay less in taxes. If you decide to partake in activities that might make the government spend a lot of money today or in the future, then you should pay for it. The easy solution is just to levy income taxes, sales taxes, and property taxes. If you had to pay the full amount of taxes each year in order to balance the budget, I think you would be pissed and call our government socialist, even though you aren't getting very much compared to a actual socialist country. If you taxed high fructose corn syrup to make it better to use real sugar again, it would be a good thing. Instead of food companies trying to make a quick buck by using the cheap option that is probably a major cause in the obesity epidemic, people would have to adjust their eating habits if a Coke or Pepsi was $3. Actually, with health care costs, psychiatric/mental issues, and subsidized gym memberships, it might be a lot more. Then again, the whole French Revolution started when taxes were levied on every little thing... The American Revolution started when England was taxing us, but not letting us influence our own policy... Now, we just allow massive government spending and hand the bill to the next generation, I worry about the youth revolting. Last edited by ASU2003; 03-30-2009 at 02:03 AM.. |
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03-30-2009, 02:31 AM | #9 (permalink) | |
Junkie
Location: New York
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There was a news article within the last week or so stating a correlation between eating red meat and some kinds of cancer. What's next, a steak tax? It's kind of obvious now that our governor gave up his plans for a soda tax after Obama's giveaway, that this was really about increasing tax revenue for the state. My taxes are way too high already. |
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03-30-2009, 03:42 AM | #10 (permalink) | |
immoral minority
Location: Back in Ohio
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And I know that there are a lot of taxes. But, someone has to pay for it. Here is a partial list of taxes: Accounts receivable tax Building permit tax Car registration tax Capital gain tax CDL License tax Cigarette tax Corporate Income Tax Court Fines Dog License Tax Estate Tax Federal Unemployment Tax Fishing License Tax Food License Tax Fuel Permit Tax Gasoline Tax Hunting License Tax Federal Income tax Inheritance Tax Interest Expense (Tax on gains) Inventory Tax IRS interest charges IRS penalties Liquor tax Local Income tax Luxury tax Marriage License tax Medicare tax Parking meters Property tax Real Estate tax Septic permit tax Social Security tax Truckers Road Usage tax Sales tax Recreational Vehicle tax Toll Booth, bridges and tunnels tax School tax State income tax State unemployment tax Telephone federal excise tax Telephone Service Fee Tax Telephone surcharge, minimum usage surcharge, and recurring charges tax Traffic fines Trailer registration tax Utility taxes Vehicle License registration tax Vehicle sales tax Watercraft Registration tax Well permit tax Workers compensation tax |
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03-30-2009, 05:51 AM | #11 (permalink) | |
Insane
Location: Orlando, Florida
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I'm not opposed to taxes in general, I see them as a necessary evil. I am opposed to taxing something simply because people disapprove of it. I don't have a problem with (reasonable) taxes on gasoline, for example, becuase it could be justified, by using said funds to build and maintain the roads upon which people drive their vehicles (provided said tax is actually used in the fashion I describe). |
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03-30-2009, 06:18 AM | #12 (permalink) |
Who You Crappin?
Location: Everywhere and Nowhere
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I'd be interested to see some numbers of the # of US Citizens who a) can't afford health insurance but b) smoke regularly. Maybe making smoking cost prohibitive will cause some people to spend that money on insurance instead
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03-30-2009, 06:28 AM | #13 (permalink) |
Ambling Toward the Light
Location: The Early 16th Century
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While I am not thrilled with taxes in general, I consider the so called "sin" taxes as viable incentives to change behavior. They leave the idea of personal freedom in tact while generating revenue for society as a whole. If you do not wish to pay the tax, change your behavior. It is really that simple. I consider it an adaptation of some sort of flat tax where we pay for the luxuries we want.
Frankly, I think we should do this with more stuff in conjunction with making more things legal. I saw a commentary sometime in the last week or so by a Harvard economist where he noted that this country spends $44 Billion on drug enforcement annually (that is federal, state and local rolled into one number). He estimates that if we would just legalize drugs and tax them we could save the $44 Billion and generate an additional $33 Billion in revenue (not to mention the impact it would have violent and property crime that is connected to drugs in some way). Granted, these are just estimates on his part but for a country running the deficits the US is currently running, a policy change worth an estimated $77 Billion on the plus sides sounds like it should at least get talked about.
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SQL query SELECT * FROM users WHERE clue > 0 Zero rows returned.... |
03-30-2009, 08:12 AM | #14 (permalink) |
Junkie
Location: Ohio
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I have no problem with taxes being used to maintain the general infrastructure of our country(roads, police, fire, etc) but the govn't has no right what so ever to punish me for the way I choose to live my life....PERIOD! We have way too many taxes already. I'm tired of being double and triple taxed. Like paying tax when you buy a house or car, and pay a tax when you sell car or house.
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03-30-2009, 09:09 AM | #16 (permalink) | |
Junkie
Location: New York
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If I happen to like non-diet soda and have no health issues because I drink it, then I shouldn't have to pay more taxes to drink it. My opinion, the government is way too involved in individual's lives. |
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03-30-2009, 09:20 AM | #17 (permalink) |
Easy Rider
Location: Moscow on the Ohio
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I have a problem with our government taxing legal activities in an effort to discourage them. Sin taxes just don't seem to fit in with the concept of a free nation. I don't like the idea of the politians in power at any given time determining what sins should be taxed. I imagine back in the fifties there were those who might want to tax rock"n"roll and maybe in the sixies long hair and peace symbols. There are polititians today objecting to low baggy pants and rap music. Some even advocate making some of these activities against the law. It seems like every week there is some substance now determined to cause cancer. I have no problem with advocating people do not eat so much red meat or avoiding charcoal cooking for instance but that is different than trying to tax it out of existence. |
03-30-2009, 10:26 AM | #19 (permalink) |
Banned
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The flip side of this argument is should we give tax breaks for positive behavior? You get to write off interest for education and home loans, but not credit cards anymore. Widows and widowers have a small amount protected from estate taxes. Money spent for health insurance is not taxed, and retirement plan taxes are deferred until you are theoretically in a lower tax bracket in retirement.
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03-30-2009, 10:33 AM | #20 (permalink) |
Human
Administrator
Location: Chicago
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new man: I think that's a perfectly reasonable pairing. In fact, I think it's one of the main benefits of higher taxes on things that cost society. We then lower taxes on things that help society.
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Le temps détruit tout "Musicians are the carriers and communicators of spirit in the most immediate sense." - Kurt Elling |
03-30-2009, 11:53 AM | #21 (permalink) |
Tilted Cat Head
Administrator
Location: Manhattan, NY
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I think that taxing to discourage behavior is fine, but linking the tax revenue to a benefit is incorrect since eventually the discouraged behavior no longer can finance the benefit, or the budget feels that they have a new income stream and thus no longer allocate funds.
The examples of this are the cigarette taxes to healthcare, and lottery where the schools win too.
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I don't care if you are black, white, purple, green, Chinese, Japanese, Korean, hippie, cop, bum, admin, user, English, Irish, French, Catholic, Protestant, Jewish, Buddhist, Muslim, indian, cowboy, tall, short, fat, skinny, emo, punk, mod, rocker, straight, gay, lesbian, jock, nerd, geek, Democrat, Republican, Libertarian, Independent, driver, pedestrian, or bicyclist, either you're an asshole or you're not. |
03-30-2009, 12:03 PM | #22 (permalink) |
Lennonite Priest
Location: Mansfield, Ohio USA
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What happens when people stop the activity being taxed or find a black market for it? What happens when that tax revenue disappears because of this? What do they go after next?
You make it so only the rich can smoke, drink and partake in what government taxes "for our benefit" and we become nothing more than second or third class citizens. America where the streets are paved with the tears of the forefathers crying over what we have allowed the greatest country in history to become.
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I just love people who use the excuse "I use/do this because I LOVE the feeling/joy/happiness it brings me" and expect you to be ok with that as you watch them destroy their life blindly following. My response is, "I like to put forks in an eletrical socket, just LOVE that feeling, can't ever get enough of it, so will you let me put this copper fork in that electric socket?" |
03-30-2009, 12:47 PM | #23 (permalink) |
Easy Rider
Location: Moscow on the Ohio
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I suspect that people who are for sin taxes may feel differently when polititians determine that some of their activities are targeted for additional taxation. There is an almost endless list of behaviors and substances that could fit into the should be discouraged category. I wish there was some way to find these intrusions on our legal personal liberties unconstitutional.
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03-30-2009, 12:56 PM | #24 (permalink) | |
Junkie
Location: bedford, tx
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"no amount of force can control a free man, a man whose mind is free. No, not the rack, not fission bombs, not anything. You cannot conquer a free man; the most you can do is kill him." |
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03-30-2009, 03:14 PM | #25 (permalink) |
Human
Administrator
Location: Chicago
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Well let's think about this then... how to distinguish between the more obviously useful (carbon taxes) and the potential abuses (porn taxes)?
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Le temps détruit tout "Musicians are the carriers and communicators of spirit in the most immediate sense." - Kurt Elling |
03-30-2009, 03:25 PM | #26 (permalink) | |
Lennonite Priest
Location: Mansfield, Ohio USA
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Taxes on golf.... wasteful uses of land why look at them, eyesores, sand traps, little ponds, trees, golf carts emitting toxic waste.... besides only very rich golf. Taxes on fast food.... very unhealthy have to protect you from those healthcare costs and obviously you can afford the taxes you aren't cooking at home which is cheaper to do. Taxes on daycare..... one of the parents or grandparents should watch them... having to work is no excuse, obviously you can afford the taxes YOU WORK. Taxes on cellphones... they may cause brain cancer that will overburden our health system, besides you can live without having to carry a phone around. Yeah, as sarcastic and stupid as those sound, I have a feeling once they get every thin dime they can out of tobacco, caffeine, trans fat, and so on, they will go after other things....possibly the above.
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I just love people who use the excuse "I use/do this because I LOVE the feeling/joy/happiness it brings me" and expect you to be ok with that as you watch them destroy their life blindly following. My response is, "I like to put forks in an eletrical socket, just LOVE that feeling, can't ever get enough of it, so will you let me put this copper fork in that electric socket?" |
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03-30-2009, 04:04 PM | #27 (permalink) |
has all her shots.
Location: Florida
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This is an interesting topic and I don't quite know what I think of it.
If the government were to impose taxes aimed at curbing undesirable behaviors, we would probably want to limit it to those behaviors that are the primary factors in proven financial burdens on society. Which includes cigarettes and not porn, for example. The reality of it is though, that politicians and other influential types are so gifted in finessing bullshit for public consumption, that abuse and manipulation of the system would be inevitable. Just as an aside, when I first glance at this thread title I thought it read: TEXAS to discourage certain behaviors. I have to admit I perked up at that.
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Most people go through life dreading they'll have a traumatic experience. Freaks were born with their trauma. They've already passed their test in life. They're aristocrats. - Diane Arbus PESSIMISM, n. A philosophy forced upon the convictions of the observer by the disheartening prevalence of the optimist with his scarecrow hope and his unsightly smile. - Ambrose Bierce |
03-30-2009, 10:21 PM | #29 (permalink) | |
Lennonite Priest
Location: Mansfield, Ohio USA
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I'm to the point now where there is only 1 way I would approve it: Government subsidizes the insurance companies premiums based on income with government subsidizing the cost AND an iron clad law that states government has no right to dictate or tax what a person can or cannot eat or do. If it is legal.... they cannot regulate it or tax it any more than it now is without 67% of both houses approval. In other words, no new taxes or regulations on tobacco, diet/regular soda, caffeine, sugar, meat, skydiving, bungee jumping, whatever.
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I just love people who use the excuse "I use/do this because I LOVE the feeling/joy/happiness it brings me" and expect you to be ok with that as you watch them destroy their life blindly following. My response is, "I like to put forks in an eletrical socket, just LOVE that feeling, can't ever get enough of it, so will you let me put this copper fork in that electric socket?" |
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03-30-2009, 11:50 PM | #30 (permalink) | |
immoral minority
Location: Back in Ohio
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I am now understanding why nothing has been done to the current health insurance setup in 40 years. There is no way to make a universal system that will please everyone in the US. There are small things like electronic records, digital ID cards, and computerized reminders that make sense for everyone, but when you try to figure out who is going to pay for it and how to promote healthy and happy people, it doesn't go anywhere. |
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03-31-2009, 01:53 AM | #31 (permalink) | |
Junkie
Location: New York
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03-31-2009, 04:24 AM | #32 (permalink) |
Who You Crappin?
Location: Everywhere and Nowhere
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But if you base it on a European system like England or France, there ARE not premiums. Your taxes pay for everything. No bills ever. So, would you be willing to have an increase in your federal income tax if it meant you never paid another doctor/hospital bill for the rest of your life?
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03-31-2009, 05:02 AM | #33 (permalink) | |
Junkie
Location: New York
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I think the government taxes me for far too many things already, but that's another discussion. |
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03-31-2009, 05:38 AM | #34 (permalink) |
Junkie
Location: Ohio
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I don't want higher taxes in exchange for a bad healthcare system. Universal Healthcare would mean the Govn't gets to tell me which doctor I can go to and how often. I don't want to have to wait 3 months to have a surgery or see a physician like they do in Canada and in Europe
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03-31-2009, 05:48 AM | #35 (permalink) | |
Who You Crappin?
Location: Everywhere and Nowhere
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As long as US insurance companies are in it for profit, then I want to change the system. |
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03-31-2009, 06:05 AM | #36 (permalink) | |
Junkie
Location: bedford, tx
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__________________
"no amount of force can control a free man, a man whose mind is free. No, not the rack, not fission bombs, not anything. You cannot conquer a free man; the most you can do is kill him." |
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03-31-2009, 06:29 AM | #37 (permalink) | |
Junkie
Location: Ohio
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Perspectives on the European Health Care Systems: Some Lessons for America what this article says in a nutshell is that no system is perfect, especially the european system of healthcare. What needs to happen is a type of hybrid form, private healthcare and govn't systems. I personally don't want higher taxes to pay for healthcare. The govn't has proven that they are incompotent and inefficient when it comes to money management. Just look at any govn't agency and programs and it is clear they don't work or are broken. Medicare is practicaly bankrupt, so is social security |
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03-31-2009, 07:16 AM | #38 (permalink) |
Addict
Location: Midway, KY
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The issue for me is of two parts. Positive for the use of tax to shape behavior. Negative for the ability of government to manage the tax responsibly.
I would like to see taxes used as a means to shape behavior in both positive and negative direction. Economists smarter than me have shown this to be one of the most cost effective way of changing behavior. That is, carbon-tax versus EPA trying to monitor and regulate industrial pollution. The former is a much more simple way to get the company to change their carbon footprint. The latter has a much higher cost to both the taxpayer and to the company. I also support tax breaks/incentives to encourage growth and investment by individuals and companies, for example, in sustainable energy to stick with a similar theme. I honestly don't have too much worry over taxation being used to shape individual behaviour, re: porn, fast food, sugary soda, etc. Maybe I'm naive, but I just don't see legislation like that actually moving forward. Who knows, the Christian lobby is so powerful in this country, maybe they could push through a tax break on attending church... oh wait, that already exists. One of the main problems that I see with taxes being used to discourage certain behaviors, is that the tax will just drop into the bottomless pit that is our government's yawning, hungry mouth. It is extremely unlikely that the extra taxes will be used for what they were intended, or that they will offset some other area of taxation. More likely, is that the extra tax revenue will be used to fund some ridiculous pork project or congressional junkets to Thailand. I'm reminded of the early days of state lotteries. I live in Florida at the time that they were pushing the idea of starting a lottery there. They sold the idea, and sold it hard, with the promise that every dollar that the lottery raised would go to funding education. How can you argue with that? Everybody likes kids, wants them to get a better education, right? Well, what they didn't say was that they were going to use the extra cash from the lottery to take state tax revenues away from funding education and spend it somewhere else. The net benefit to education was exactly zero. I worry that taxes used to shape behavior would be used in exactly the same way. Get some extra tax to fund program A, remove existing funding for program A, redirect that funding to unrelated program Y. |
03-31-2009, 01:38 PM | #39 (permalink) | |
has all her shots.
Location: Florida
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Quote:
__________________
Most people go through life dreading they'll have a traumatic experience. Freaks were born with their trauma. They've already passed their test in life. They're aristocrats. - Diane Arbus PESSIMISM, n. A philosophy forced upon the convictions of the observer by the disheartening prevalence of the optimist with his scarecrow hope and his unsightly smile. - Ambrose Bierce |
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03-31-2009, 01:58 PM | #40 (permalink) |
Junkie
Location: bedford, tx
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nah, i'm good. making my mental note now to have at least one extra cup of coffee before I try posting on message boards.
__________________
"no amount of force can control a free man, a man whose mind is free. No, not the rack, not fission bombs, not anything. You cannot conquer a free man; the most you can do is kill him." |
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behaviors, discourage, revenue, tax |
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