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Motivation by Money





Darkwind
Well there may be some threads have disussed something similar, at the moment I am simply too lazy to surf through them all... So with that disclaimer Smile, here goes:

When I was in the military, a team mate of mine and I had a discussion over politics. I told him I didn't feel too close to our two-party system (democrat/republican) and felt somewhere in the middle. He said he was republican true and true. After we talked some more, he said he was all for the traditional republican economic system. In this system, the government should reward those with money over handoing out money to those that don't. He said this is important to motivate people to become successful.

If one gets punished for making money by being taxed over another who does not, then why should anybody ever strive to be successful when the government will simply balance the field financially? This was his idea. Now I can shoot holes in it, but I like to hear other opinions. Any takers?
cheh
you American?


anyway, this isn't a political discussion anyway. it's an economical one. and I must say as an economy student that I agree with your friend. if the taxes are set too progressively, two things can happed to the economy:
1.) (this one mostly goes for working people) people won't be motivated to engage in profitable actions and will rather stay in the lower income class where the tax rates are lower;
2.) (this one goes mostly for companies but can work for the workers aswell) people/companies will move to other countries where the tax rates are lower and instead of paying alot to their own country, they'll rather pay little to another countries goverment.

and at the end of the day, the goverment will get less from high tax rates as they would from low tax rates.



and this is just one of the effects that high taxes get, another very important one is on the competitiveness of the countries economy. it normally increases with the decrease of tax rates.
but maybe I'll tell more about that some other time. Very Happy
kelhamcrisis
i too agree with your friend in a way. People should not be punished financially by the government for becoming successful.

However, there are arguments the other way. What's the point of tax really? it's not to punish people, it's to make the country you live in a better, safer place. So if all the money taken in tax was given back out to the people who were successful, how much better/safer would your country be? not very...

I hope i didn't misunderstand the point of the question though...

At the end of the day, there are two certain things in life. Death, and taxes.
R2.DETARD
This really isn't the place for a fair discussion on this subject, cause how many lumberjacks do you know who want web hosting?
so I'll try and take their side.

People shouldn't be rewarded for being born rich. I mean, if you get born in Compton that's not your fault, you just got born.
monetary rewards should be on how far you've come in life not how much you have now.
starting out as a mechanic and then going on to own your own auto repair shop which earns you $6K a year ought to be rewarded more than
working at daddy's watch company earning $150K.

in that sense i agree, but not if you are rewarded on a linear
lots of cash = lots more cash scale.
statusfashions
spend, buy spend spend spend...
this is money is for...
then for status....you should have money
to give bribe to have your work done you should have money
to have your children study in better school and have good education you should have money.
to spend hours on internet like me here writing posts you hsould have money
to make money .... you hsould have money
to invest you should have money
to find a love you should have money.
to make your spouse happy you should have money to buy a gift
now tell me what other reason you need for having money
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