tag:blogger.com,1999:blog-6616959642391988608.post5245920983598829665..comments2024-03-28T00:18:25.641-07:00Comments on Calafia Beach Pundit: How taxes affect the incentive to workScott Grannishttp://www.blogger.com/profile/14028519647946868684noreply@blogger.comBlogger10125tag:blogger.com,1999:blog-6616959642391988608.post-59884554085093027642008-11-23T23:29:00.000-08:002008-11-23T23:29:00.000-08:00This comment has been removed by a blog administrator.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-6616959642391988608.post-64421710226525020062008-11-06T12:34:00.000-08:002008-11-06T12:34:00.000-08:00Scott, you are most probably right. I made those n...Scott, you are most probably right. I made those numbers up just to prove my point without any research.Anonymoushttps://www.blogger.com/profile/01630864203259599221noreply@blogger.comtag:blogger.com,1999:blog-6616959642391988608.post-89866707160321635862008-11-06T09:15:00.001-08:002008-11-06T09:15:00.001-08:00The only thing wrong with your example is that a g...The only thing wrong with your example is that a guy making 2000/mo doesn't pay any income taxes to begin with (after std deduction). Isn't it the case that the bottom 38% of taxpayers pay zero income tax?Scott Grannishttps://www.blogger.com/profile/14028519647946868684noreply@blogger.comtag:blogger.com,1999:blog-6616959642391988608.post-78744963274611038032008-11-06T09:15:00.000-08:002008-11-06T09:15:00.000-08:00The only thing wrong with your example is that a g...The only thing wrong with your example is that a guy making 2000/mo doesn't pay any income taxes to begin with (after std deduction). Isn't it the case that the bottom 38% of taxpayers pay zero income tax?Scott Grannishttps://www.blogger.com/profile/14028519647946868684noreply@blogger.comtag:blogger.com,1999:blog-6616959642391988608.post-50839932570531751212008-11-06T09:10:00.000-08:002008-11-06T09:10:00.000-08:00Right, I didn’t' remember the Laffer Curve. I can ...Right, I didn’t' remember the Laffer Curve. I can see this tax avoidance happening with people in the upper middle to higher income bracket.<BR/><BR/>Let's take a hypothetical example for the sake of looking at someone in the lower income bracket.<BR/><BR/>Joe makes $2000/month gross and nets $1700 with the hypothetical tax rate.<BR/><BR/>Joe has rent, car payments, insurance, and misc. expenses Anonymoushttps://www.blogger.com/profile/01630864203259599221noreply@blogger.comtag:blogger.com,1999:blog-6616959642391988608.post-77636570019159171362008-11-06T09:09:00.000-08:002008-11-06T09:09:00.000-08:00This comment has been removed by the author.Anonymoushttps://www.blogger.com/profile/01630864203259599221noreply@blogger.comtag:blogger.com,1999:blog-6616959642391988608.post-56155094756451543742008-11-05T13:32:00.000-08:002008-11-05T13:32:00.000-08:00Tadeh: Good point to bring up. Those who advocate ...Tadeh: Good point to bring up. Those who advocate higher tax rates must assume that people will work at least the same or harder in order to make up for what they lose in taxes. The Laffer Curve helps explain why this isn't necessarily the case. Surely there is some point at which higher taxes discourage work effort. As tax rates approach 100% there is no question but that work effort will be Scott Grannishttps://www.blogger.com/profile/14028519647946868684noreply@blogger.comtag:blogger.com,1999:blog-6616959642391988608.post-82206267060240405142008-11-05T11:20:00.000-08:002008-11-05T11:20:00.000-08:00Correct me if I'm wrong, but this analysis is only...Correct me if I'm wrong, but this analysis is only looking at one effect and not both effects: substitution and income. I haven't brushed up on my economics for a while, but this argument can go the other way, which follows:<BR/><BR/>One would work more to make up for the loss of income due to higher taxes.<BR/><BR/>Your argument was:<BR/><BR/>One will work less, since more is taken away by taxesAnonymoushttps://www.blogger.com/profile/01630864203259599221noreply@blogger.comtag:blogger.com,1999:blog-6616959642391988608.post-3198542427553702602008-10-27T09:28:00.000-07:002008-10-27T09:28:00.000-07:00The only thing worse would be actually nationalizi...The only thing worse would be actually nationalizing 401(k) plans the way the Argentine government now wants to do.<BR/><BR/>Beware politicians who want to get their hands into your pocket.Scott Grannishttps://www.blogger.com/profile/14028519647946868684noreply@blogger.comtag:blogger.com,1999:blog-6616959642391988608.post-90151297733209193352008-10-27T09:19:00.000-07:002008-10-27T09:19:00.000-07:00Think taxes will reduce the incentive to work? Wha...Think taxes will reduce the incentive to work? What about the idea of "nationalizing" 401K plans:<BR/><BR/>http://investmentnews.com/apps/pbcs.dll/article?AID=/20081012/REG/310139971Anonymousnoreply@blogger.com