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| Friday, October 7, 2011 - 01:24 am |
Hello, I was elected President of the nation of Liberty in July 2921 (Fearless Blue Time). I have served my citizens well for over 32 years by running a fiscally responsible government. My citizens have respectfully paid their taxes year in and year out. This has been filling this nation's coffers for years so that I have amassed over $20T in my Direct Trade account.
As a result of my ideological stance of promoting an economy based on laissez faire capitalism, I have reduced the corporate tax to zero percent and invited private industry into my nation. The revenue earned from these companies has been more than enough to pay my nation's bills three times over.
Analyzing my budget, I have determined that an elimination of the tax on incomes would not harm my budget surplus significantly. In fact, the money left to my citizens in this way would allow them to entirely fund their own education, healthcare, and social security programs without the need of government funding. My consistent budget surplus also means that I have amassed more than is necessary to run my country.
As a result, I would like to do two things:
I would like to return my nation's cash reserve to my citizen's investment funds in the form of a one-time tax rebate.
Reason: the infusion of cash into private hands would give my citizens extra spending money with which they could contribute to their health, education, and social security.
I would like to eliminate all taxation on the incomes of my citizens.
Reason: the difference between private contributions to education, health, and social security and the net cost is less than the amount of income gained. The elimination of this tax would accomplish the same thing as the previously mentioned action.
Further, any discrepancy between the cost of these programs (education, health, and social security) and private contributions to them could be offset solely by the money collected from country resource fees.
In case any of this was unclear, I am asking that the following changes be made to the game:
1) The income tax be allowed to be reduced to 0% with the calculation of private contributions to the aforementioned programs to be proportionally increased by the increase in net income.
2) Allow players to manually give cash (one-way) to the country's investment fund and/or private pensions.
These changes are practical and may be chosen for ideological reasons. Reducing the tax would be realistic in that it would reduce the income gained by the country without any change to the distribution calculation of income of private contributions. To express more precisely, pretend that 30% of income goes to the tax and 30% goes to the aforementioned contributions, by reducing the tax to 0%, my citizens would have 1/.7 or 142% of their previous income, a 42% higher number. This increase would then be distributed to everything else that citizen's incomes go to in the same percentage as normal, meaning 30% of that 42% would go toward the aforementioned private contributions (12.6% increase). This would clearly and rightfully cause a net decrease in overall income. The other change, allowing the player to manually give cash (one-way) to the country's investment funds and private pensions, would give citizens greater non-salary income with which they can contribute to their own education, health, and social security (or any other thing that income goes toward).
I would like to reiterate that I am NOT proposing any changes to the calculations that determine what percentages of income goes where. I am proposing that the income tax be able to be reduced and this reduction be counted as additional income to be distributed to other avenues according to the SAME percentages as income is already distributed.
| Friday, October 7, 2011 - 02:38 am |
I like and dislike your idea.
I like the fact of being able to set taxes. Granted this game is a numbers game. Letting anyone set nations taxes for income tax would be huge addition. Allowing me to say i tax 90% and it goes to my pocket would mean starving people but that's my choice. On the other note saying i tax 20% and that income is for IF alone is again my choice. Id personally do something like this.
(i know this is a high number but is done for even example)
---100K yearly income---
IF/Penisons - 10%
Schools/Hospitals - 5%
Government income- 5%
As you see i take 20% of my peoples income less then what i do now and it allows me to make my own settings. With that it would be possible to make profit(breakeven) with education/healthcare costs and allow me to increase or decrease IF additions. This would also allow my population to spend more meaning more goods would be bought. In general being able to set tax rates, i am 110% for the change.
I don't agree with inserting cash into your IF. As far as i know there's no way to take it out other then dividends from shares. Adding more cash would mean that countries would need more corps to invest in. Last year i remember people maxing there portfolio at 350 so they raised it to 450. Allowing anyone to dump more money would mean a ton of cash going around and the following would happen.
A. More public's would be needed. With the GM updates there harder to come by.
B. Larger portfolio size
C. Adjustable tax rate(Which I'm totally for).
Adding to the IF should be done either setting taxes, or thought war.(Lets say you take a nation and gain the IF it had?)
These just my thoughts. I do like the thought, effort, and keep up the good work. Also i sent corps to your nation
| Friday, October 7, 2011 - 03:34 am |
I would like to reiterate that I am not implying that you should be able to determine where or what amount private citizens spend with their money. This is not currently and should not be a setting that a president has control over - as in the real world. I am merely requesting that the reduction in taxes be counted as additional income for my citizens.
On the subject of raising taxes higher than the current rate rather than simply lower, this may be unbalanced. The ability to lower taxes creates a net reduction in the money a president earns and therefore is only harmful to a president gaining income.
Unless another factor, say popular approval, were implemented, the ability to raise taxes would be entirely unbalanced. As I am not pushing for such a feature to be implemented, the current income tax rate should probably be the cap.
On the subject of the investment funds of citizens, not all of the money would need be invested in public companies. Money that is not invested in companies earns a small interest rate. I've noted that likely only the profit on this interest is computed in determining the extra income of citizens with the dividend merely adding to the investment fund cash. In fact, since this represents the money invested by citizens, the president should probably not have control over where it is invested - just as in the real world where governments cannot tell people where to invest their money (aside from taxation).
| Friday, October 7, 2011 - 03:52 am |
Capitalism is evil.
| Friday, October 7, 2011 - 04:01 am |
Capitalism is the system that allows citizens to freely choose where and how to spend money they have earned themselves. It is the system that allows ONLY the voluntary exchange of money, goods, services, and time (aside from that tax income needed to fund such things - courts, police, and military - as are required to ensure that the only exchanges that occur are voluntary and the system itself is not subjugated by foreign aggressors). It does not require any citizen to support any other citizen except by their own free will with their own freely earned resources.
How can such a system be evil?
| Friday, October 7, 2011 - 05:42 am |
Let me see. Who benefits from capitalism? They call them the capitalist class which is 1% of the entire population of the USA. How is that a good system what it doesnt benefit the other 99%?
Capitalism has ALWAYS throughout history only benefited a small amount of the population and that has not changed.
Do you understand what being a consumer in capitalism is all about? Let me put it this way.
What if a car company made a car that lasted 50 years and NEVER needed a parts? What if Microsoft released 10ghz processors right now instead of moving up 100Hz at a time? Dont think for a second they couldnt. They would go bankrupt.
For capitalism to work, these thing MUST become obsolete or breakdown. This is absolutely essential for the system to work and is incorporated into manufacturing.
Like the iPhone 1, 2, 3, 4, 4.1, 5, 6, 7.1, 7.2 etc. This absolute waste of resources and your time working for this nonsense.
In the current system where money is created out of thin air by banks, who in turn charges interest and fees for what is literally adding numbers to your bank account is completely ridiculous. Even the old gold standard wasnt much better. Not many people understand that commercial banks actually create most of your countries money and thats what they want.
Capitalism encourages crime because it puts so much emphasis on ownership. Most of which is owned by that 1%. A single person does not require billions or millions of dollars for useless junk while others spend 50 years trying to feed themselves and raising a family.
Without sounding like a greenie, capitalism does not account for keeping the one thing in this system that is vital for our existence. The earth we live on.
What is the statistics for the USA population vs resources used? Its something ridiculous that proves in itself that capitalism doesnt work, nor is it sustainable.
What is the driving force of capitalism is the weakness of the people. Greed and evny.
| Friday, October 7, 2011 - 05:47 am |
That being said. I don't know of a perfect system that will benefit us all equally or resolve those problems. There are a few ideas out there. Some have good points but raise more issues.
It's acutally hard to imagine a different system because it's all I've ever known.
But it's very clear to me and those who have some idea of what the monetary and capitalism is all about that it is an old, flawed and terrible system.
| Friday, October 7, 2011 - 06:08 am |
I find your ignorance of physics, economics, and sociology disturbing.
In either case, this thread is intended on allowing myself to actualize the capitalist ideology in this game. Please start another thread. If you post a link, I will be happy to comment further.
| Friday, October 7, 2011 - 07:01 am |
I appologise. I was just replying to your question above and your statement that was obviously not related to the game.