tag:blogger.com,1999:blog-6382255864661846735.post7281375143134760549..comments2024-02-24T08:45:36.112+00:00Comments on TheFatBigot Opines: We are all expert economists nowTheFatBigothttp://www.blogger.com/profile/17255526385076528633noreply@blogger.comBlogger4125tag:blogger.com,1999:blog-6382255864661846735.post-53099883473087318862010-02-22T09:21:04.801+00:002010-02-22T09:21:04.801+00:00Very good read, Mr. FatBigot. I very much enjoy r...Very good read, Mr. FatBigot. I very much enjoy reading your blog postings, as you have a unique viewpoint express it quite well. Blog on, sir.Roger Sowellhttps://www.blogger.com/profile/15390264574157209871noreply@blogger.comtag:blogger.com,1999:blog-6382255864661846735.post-22637092040453647962010-02-21T09:43:45.311+00:002010-02-21T09:43:45.311+00:00Welcome back.
I do think that we have lost sight...Welcome back. <br /><br />I do think that we have lost sight of what public services are during this recession. A public service is a service provided to help the private sector. Rather than my business open a hospital it makes more sense for all the businesses in my area to join together and open a hospital. The government saves us having to do this by doing it for us for which we pay them in taxes.<br /><br />You can say the same for any arm of the public sector save a few, CDC springs to mind, tourism boards too.<br /><br />The government now seems to view the public sector not as some necessary evil to support the private but as a means and an end in itself.Normannoreply@blogger.comtag:blogger.com,1999:blog-6382255864661846735.post-91273594336313228492010-02-21T08:32:17.091+00:002010-02-21T08:32:17.091+00:00Good to see you back, FatBigot, I've missed yo...Good to see you back, FatBigot, I've missed your commonsense and trenchant analyses of our economic/political woes!Alex Cullhttps://www.blogger.com/profile/00138628377297964672noreply@blogger.comtag:blogger.com,1999:blog-6382255864661846735.post-44290313826650339762010-02-21T08:03:30.400+00:002010-02-21T08:03:30.400+00:00That's a good summary, especially this:
"...That's a good summary, especially this:<br /><br /><i>"The most obvious indirect effect of reducing government spending on non-value-added activities is that it allows taxes to be reduced so that break-even businesses become viable because their overheads are lower."</i><br /><br />And the tax that is most likely to send break-even businesses over the edge is of course VAT (which a business has to pay, even it is making losses - unlike corporation tax!).<br /><br />(Now, try applying the same logic to Business Rates - while it may, superficially, send a business over the edge, it would only do so if there is another slightly more profitable business ready and willing to occupy those same premises (if not, then the rental value and hence the business rates would adjust downwards), ergo Business Rates tend to increase rather than decrease economic activity).Mark Wadsworthhttps://www.blogger.com/profile/07733511175178098449noreply@blogger.com