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FORUMS > The Sin Bin > Proof the "Trickle Down" effect is a myth? |
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| Quote: Sal Paradise "OK BP in 2012 they had residual cash after tax of 19bn this included invested 23bn in capital projects - what do you think they should do with that money? When they have given all this money away how do they fund another Gulf of Mexico clean up. They pay huge dividends too which benefits loads of ordinary people through pension funds
These big companies generate huge sums of cash just through their ordinary activities Apple had 147bn of cash and that is after they paid $9bn in taxation.'"
Why don't you understand the difference between how much a company generates, where it keeps it and what it does with it compared to what Oxfam is complaining about?
The Oxfam report does not adopt the naive position you want to imply.
Of course large corporations generate large amounts of cash. It is what they do with it and where they keep it for tax purposes that is the issue.
As to Apple they have been criticized by numerous economists and analysts for sitting on the cash. They even had one large investor insisting they did a share buy-back so his investment would increase in value.
However, the fact Apple have a large cash reserve and this is frowned upon by many who are fully paid up members of to the capitalist system only lends weight to what Oxfam are saying. It certainly doesn't detract from it and your argument we should all stop using Apple products is pretty childish (mind you I personally only own one Apple product, an Apple TV and that will be being replaced by a non-Apple product soon).
Quote: Sal Paradise "On the difference between benefits and working, I have consistently said remove employers NI from all low earners - say anyone earning <17k and pay it to directly to the employee. Even the government has woken up to the ideal it is the net that matters not the gross.'"
You are deflecting the issue again and that idea won't work anyway as explained previously.
Why have you not answered the question as to why you are more bothered about £1.5bn of benefit fraud than a tax gap of £35bn?
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26.jpg Last league derby at Central Park 5/9/1999: Wigan 28 St. Helens 20
Last league derby at Knowsley Road 2/4/2010: St. Helens 10 Wigan 18:26.jpg |
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| Quote: Richie "I've had a read of the article, and it isn't clear on how it measures "wealth"
Reading the thread, it seems we're assuming it's cash.
I'm not sure that's really the case though, and any measure of wealth would usually include assets. So if, for example, Bill Gates spend $10b on a yacht, he's still classed as having that $10b as part of his measure of wealth, but you would also think in spending that $10b it has also "trickled down" to the yacht maker, their workers and suppliers and their staff etc.'"
I don't know how many yachts the owners of Wall Mart have but it has been well documented recently that their workers in the US have had to resort to food banks as has been their low pay. Given what the report says about half the worlds wealth being held by such a tiny minority, of which the Wall Mart owners are part, what more evidence do you need that their wealth isn't trickling down and the trickle down effect is a fantasy invented by the right to justify their continued control of and hoarding of Capital?
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| Quote: DaveO "I don't know how many yachts the owners of Wall Mart have but it has been well documented recently that their workers in the US have had to resort to food banks as has been their low pay. Given what the report says about half the worlds wealth being held by such a tiny minority, of which the Wall Mart owners are part, what more evidence do you need that their wealth isn't trickling down and the trickle down effect is a fantasy invented by the right to justify their continued control of and hoarding of Capital?'"
What do the owners of Wal-Mart do with the wealth they're hoarding? Is it cash stuffed in a mattress?
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1977_1349889235.jpg "You are working for Satan." [i:2886spie]Kirkstaller[/i:2886spie]
"Dare to know!" [i:2886spie]Immanuel Kant[/i:2886spie]
"Do not take life too seriously. You will never get out of it alive" [i:2886spie]Elbert Hubbard[/i:2886spie]
"We are all in the gutter, but some of us are looking at the stars." [i:2886spie]Oscar Wilde[/i:2886spie]
[url=http://thevoluptuousmanifesto.blogspot.co.uk:2886spie][color=#4000FF:2886spie]The Voluptuous Manifesto[/color:2886spie][/url:2886spie] – thoughts on all sorts of stuff.:d7dc4b20b2c2dd7b76ac6eac29d5604e_1977.jpg |
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| Quote: DaveO "I don't know how many yachts the owners of Wall Mart have but it has been well documented recently that their workers in the US have had to resort to food banks as has been their low pay. Given what the report says about half the worlds wealth being held by such a tiny minority, of which the Wall Mart owners are part, what more evidence do you need that their wealth isn't trickling down and the trickle down effect is a fantasy invented by the right to justify their continued control of and hoarding of Capital?'"
In [iThe Wal-Mart Effect[/i, Charles Fishman discovered – to his surprise – that five years after a new Wal-Mart tin box had landed in any area, local poverty levels had increased.
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1977_1349889235.jpg "You are working for Satan." [i:2886spie]Kirkstaller[/i:2886spie]
"Dare to know!" [i:2886spie]Immanuel Kant[/i:2886spie]
"Do not take life too seriously. You will never get out of it alive" [i:2886spie]Elbert Hubbard[/i:2886spie]
"We are all in the gutter, but some of us are looking at the stars." [i:2886spie]Oscar Wilde[/i:2886spie]
[url=http://thevoluptuousmanifesto.blogspot.co.uk:2886spie][color=#4000FF:2886spie]The Voluptuous Manifesto[/color:2886spie][/url:2886spie] – thoughts on all sorts of stuff.:d7dc4b20b2c2dd7b76ac6eac29d5604e_1977.jpg |
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| Quote: Richie "What do the owners of Wal-Mart do with the wealth they're hoarding? Is it cash stuffed in a mattress?'"
Pay their employees better – which will boost local and national economies as well.
And change a policy of driving down prices, year on year, with the concomitant effect of driving down quality of goods and/or driving companies out of business or abroad – which again will boost local economies as well as the national economy.
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icons077e_files/5454-3678dentheman-msnicons.jpg Your job is to say to yourself on a job interview does the hiring manager likes me or not. If you aren't a particular manager's cup of tea, you haven't failed -- you've dodged a bullet.:icons077e_files/5454-3678dentheman-msnicons.jpg |
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| Quote: DaveO "Why don't you understand the difference between how much a company generates, where it keeps it and what it does with it compared to what Oxfam is complaining about?
The Oxfam report does not adopt the naive position you want to imply.
Of course large corporations generate large amounts of cash. It is what they do with it and where they keep it for tax purposes that is the issue.
As to Apple they have been criticized by numerous economists and analysts for sitting on the cash. They even had one large investor insisting they did a share buy-back so his investment would increase in value.
However, the fact Apple have a large cash reserve and this is frowned upon by many who are fully paid up members of to the capitalist system only lends weight to what Oxfam are saying. It certainly doesn't detract from it and your argument we should all stop using Apple products is pretty childish (mind you I personally only own one Apple product, an Apple TV and that will be being replaced by a non-Apple product soon).
You are deflecting the issue again and that idea won't work anyway as explained previously.
Why have you not answered the question as to why you are more bothered about £1.5bn of benefit fraud than a tax gap of £35bn?'"
Deflection - coming from an expert here - not one word on BP and the trickle down benefit of the dividends and taxation they pay out!!
I asked you what these companies should do with these monies - not an answer
I asked you how these companies are supposed to pay for business disaster such as a Gulf of Mexico or a downturn in business if they haven't got these cash reserves - just like the banks didn't have sufficient reserves, simple we all suffer.
I answered your question about benefit fraud and tax avoidance about 4 post ago - you like Poloball must struggle with reading. Those who avoid tax do at least employ people and pay dividends so they do may a contribution to society as a whole, benefit fraud only takes from society as a whole - is that simple enough for you to understand?
On the minimum wage you said it would not bring the level up to the agreed living wage - that is not the same as saying give the lower paid a 14% salary increase would increase the incentive to work.
No it is your turn to answer some of the questions - start with the trickle down effect of Mr Gates boat - something you just dodged yet again.
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1977_1349889235.jpg "You are working for Satan." [i:2886spie]Kirkstaller[/i:2886spie]
"Dare to know!" [i:2886spie]Immanuel Kant[/i:2886spie]
"Do not take life too seriously. You will never get out of it alive" [i:2886spie]Elbert Hubbard[/i:2886spie]
"We are all in the gutter, but some of us are looking at the stars." [i:2886spie]Oscar Wilde[/i:2886spie]
[url=http://thevoluptuousmanifesto.blogspot.co.uk:2886spie][color=#4000FF:2886spie]The Voluptuous Manifesto[/color:2886spie][/url:2886spie] – thoughts on all sorts of stuff.:d7dc4b20b2c2dd7b76ac6eac29d5604e_1977.jpg |
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| Sal, talking of "deflection", why do you never answer any questions dealing with the ethics/philosophy of such issues?
You never, for instance, explain why you don't think that a fairer society would be a good thing and should be worked for. You simply dismiss the mere idea.
Or do you believe that it might be a good idea – but it isn't going to happen so why bother trying?
But behind your stated view of a fairer society as being simply a fact of life, there must be a philosophical basis for the apparently concomitant belief that there's no point trying; one that explains why it is not only impossible to change things, but why one should not try. What is it?
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icons077e_files/5454-3678dentheman-msnicons.jpg Your job is to say to yourself on a job interview does the hiring manager likes me or not. If you aren't a particular manager's cup of tea, you haven't failed -- you've dodged a bullet.:icons077e_files/5454-3678dentheman-msnicons.jpg |
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| Quote: Mintball "Very little. Which is rather the point.
Indeed, you said
I am not saying if you feel strongly enough about something you should do what you can to change things. One thing you cannot change is human nature - communism/socialism failed because it tried to impose a system of supposed fairness/level playing field on human nature. You can slag capitalism off - its worst excesses are pretty horrible - but it values are embraced by human nature which craves the opportunity to leap frog fellow citizens at their expense. It would be great if we are born with same intellence, desire to get on, luck, stable upbringing etc. but that is not reality. Life is not fair, it never will be.
You hold much weight to food banks - so exactly how many people in this country are reliant on food banks and how much of their disposable income that they could be spending on food are they spending on things like cigarettes/drugs/gambling.
Are you seriously suggesting that if David Baldacci supplied an article to newspaper written in Word the paper would reject it? You are saying the product you type on is far more important than the words you type - that's an interesting point that has occured to a few of us
Pretty easy to convert Word into Pages/Quark etc. Where I work we print product, the Genesis of which is turning customer's artwork into plates - we can this artwork on a multitude of platforms many of which are not Apple related.
You are confirming that your principles are pretty flexible depending on how they impact you?
Would you agree standards of living are significantly higher than they were 40 years ago? So if that is the case your argument about poverty and increased numbers of single mothers doesn't stack up. Opportunities are there for anyone to progress and their are countless examples of kids from the "Streets" making a huge success of their life - it is about desire, ability and graft. You cannot say its all unfair because others are not prepared to grasp the opportunity.
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Rank | Posts | Team |
International Chairman | 47951 | No Team Selected |
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May 2002 | 23 years | |
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1977_1349889235.jpg "You are working for Satan." [i:2886spie]Kirkstaller[/i:2886spie]
"Dare to know!" [i:2886spie]Immanuel Kant[/i:2886spie]
"Do not take life too seriously. You will never get out of it alive" [i:2886spie]Elbert Hubbard[/i:2886spie]
"We are all in the gutter, but some of us are looking at the stars." [i:2886spie]Oscar Wilde[/i:2886spie]
[url=http://thevoluptuousmanifesto.blogspot.co.uk:2886spie][color=#4000FF:2886spie]The Voluptuous Manifesto[/color:2886spie][/url:2886spie] – thoughts on all sorts of stuff.:d7dc4b20b2c2dd7b76ac6eac29d5604e_1977.jpg |
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| Quote: Sal Paradise "... Life is not fair, it never will be...'"
Yes. You keep repeating this. You have also stated that someone who isn't poor themselves shouldn't campaign for a fairer society. Strangely, you've yet to answer, AFAIK, the question of whether that means that, in your opinion, only slaves should have campaigned against slavery.
Quote: Sal Paradise "You hold much weight to food banks ...'"
I what?
Are you drunk so early in the day?
Quote: Sal Paradise " - so exactly how many people in this country are reliant on food banks and how much of their disposable income that they could be spending on food are they spending on things like cigarettes/drugs/gambling...'"
If you'd been paying any attention at all, this has been discussed, more than once, on here. It has been pointed out, for instance, that you cannot simply walk into a foodbank and grab what you fancy. Checks are done first to ensure that you are in such need.
Current figures are between 5-600,000. The prediction is for this to hit the million mark this year rlStory – it's Sky News, so not something anyone could class as 'left-wing'rl. And that's without mentioning the Red Cross food parcels and the Save the Children spending.
Trying to pretend that need is only a matter of spending on the 'right' things is nothing other than the same sort of sheer nastiness of the likes of the liar IDS and his cronies. I hadn't quite placed you in that bracket before. I hope it's mere delusion on the basis of propaganda.
Quote: Sal Paradise "Are you seriously suggesting that if David Baldacci supplied an article to newspaper written in Word the paper would reject it? You are saying the product you type on is far more important than the words you type - that's an interesting point that has occured to a few of us www.cracked.com/article_20731_5- ... ng_p2.html
Number 1.
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| Quote: Sal Paradise "If I could legally avoid paying tax I would and I do - I have an ISA and I partake in a share save scheme at work both give me tax benefits and I suspect if you were honest so do you. So comparing legal avoidance to what amounts to theft isn't apples and apples.'"
Using ISAs and share schemes are not tax avoidance though. The article DaveO linked to specifically said that avoidance does not include tax planning (making use of tax relief for the purpose they were intended). They define tax avoidance as
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193.jpg Northampton RL....details here: //www.northamptonrl.co.uk:193.jpg |
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| Quote: DaveO "Why do you ask? They are mega-rich and make themselves richer by regular share buy backs (as opposed to using this cash to invest in the business) while we see reports of their employees resorting to food banks and suffering from low pay. You don't see anything the slightest bit wrong with this situation?'"
Ok. You don't want to answer the question, fair enough. We can move on to the next one you prompted: where does the cash they use to buy back shares go?
Whether it's the right thing for a business to buy shares back (or sell owned shares) is far too complex to look into here. There are reasons a business might buy it's shares and reasons it might not. Without a serious analysis of Wal-Mart's business we couldn't answer that, and even then I suspect professional analysts would differ on the answer.
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