Mods, if this is in the wrong forum, please move it.
With the growing wage gap in america, and the complete failure of the trickle down "experiment", I think I might have realized something.
Even assuming completely sociopathic business CEOS, the plan to redistribute wealth so that the average citizen gets poorer over time is directly counterproductive to the goal of making more money.
If you raise taxes on the rich, by a little bit at a time,as a percentage, can't you later, y'know, bilk the peasents for more money? Am i horribly misinformed or is this how developing countries.. develop?
Maybe my math is wrong? Lets see here... (napkin math incoming)
R = rich money = 1000
Rn number of rich guys = 10
P = poor money = 1000
Pn = number of poor guys = 1000
r / number of rich guys - 1% = 99
That doesn't sound too bad.
Call the number subtracted Rt(rich tax)
P / number of poor guys = 1
1 + Pn/(Pn/Rt) = 1.01
Call that NPM (new poor money)
Hmm that doesn't seem like much. My math is good so far though i think. Now then,
Assume 1% growth (its asking a lot but sometimes it happens)
NRM + 1% = 999.9
NPM + 1% = 1020.1
NPM - .5% = 1014.9995
Call that Pt (poor tax)
NRM + pt = 1005,0005
Did everyone get richer? Maybe poor tax happens first?
Yeah everyone just got richer. Trickle-up economics works.
The only way the current situation makes sense is if something like this conversation happened:
CEO: "Mr President, Please cut taxes on the rich."
President: "My finance guy just did the math, you know you're screwing yourselves too right? Long term,
everyone makes less money.
CEO: "Yeah i know, but I retire in two years, I'll be dead in twelve, you owe me for the campaign donations,
and my shareholders want gains this quarter."
President: "Fine, I'll do it, but you're gonna need to help me make the public stupid again."
CEO: "Advertising campaign?"
President: "Media too. They have to forget 9th grade math, ignore expert opinions that run counter to the narritve,
AND ignore other countries in similar economic situations."
CEO: "I can do the first two but the third ones tough. maybe start a war? I find xenophobia helps me forget
facts I don't like."
President: "That will tank the economy harder."
CEO: "Not my problem."
President: "Fine, i'll consider it."
I desperately want to be wrong about all this.
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With the growing wage gap in america, and the complete failure of the trickle down "experiment", I think I might have realized something.
Even assuming completely sociopathic business CEOS, the plan to redistribute wealth so that the average citizen gets poorer over time is directly counterproductive to the goal of making more money.
If you raise taxes on the rich, by a little bit at a time,as a percentage, can't you later, y'know, bilk the peasents for more money? Am i horribly misinformed or is this how developing countries.. develop?
Maybe my math is wrong? Lets see here... (napkin math incoming)
R = rich money = 1000
Rn number of rich guys = 10
P = poor money = 1000
Pn = number of poor guys = 1000
r / number of rich guys - 1% = 99
That doesn't sound too bad.
Call the number subtracted Rt(rich tax)
P / number of poor guys = 1
1 + Pn/(Pn/Rt) = 1.01
Call that NPM (new poor money)
Hmm that doesn't seem like much. My math is good so far though i think. Now then,
Assume 1% growth (its asking a lot but sometimes it happens)
NRM + 1% = 999.9
NPM + 1% = 1020.1
NPM - .5% = 1014.9995
Call that Pt (poor tax)
NRM + pt = 1005,0005
Did everyone get richer? Maybe poor tax happens first?
NPM - .5% = 1004.5
NRM + pt = 995.5
NRM + 1% growth = 1005.455
NPM + 1% growth = 1014.545
Yeah everyone just got richer. Trickle-up economics works.
The only way the current situation makes sense is if something like this conversation happened:
CEO: "Mr President, Please cut taxes on the rich."
President: "My finance guy just did the math, you know you're screwing yourselves too right? Long term,
everyone makes less money.
CEO: "Yeah i know, but I retire in two years, I'll be dead in twelve, you owe me for the campaign donations,
and my shareholders want gains this quarter."
President: "Fine, I'll do it, but you're gonna need to help me make the public stupid again."
CEO: "Advertising campaign?"
President: "Media too. They have to forget 9th grade math, ignore expert opinions that run counter to the narritve,
AND ignore other countries in similar economic situations."
CEO: "I can do the first two but the third ones tough. maybe start a war? I find xenophobia helps me forget
facts I don't like."
President: "That will tank the economy harder."
CEO: "Not my problem."
President: "Fine, i'll consider it."
I desperately want to be wrong about all this.