Quote:
Originally Posted by EldrickOnIce
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Wow, no way, an economic suppressor harms the economy?
Again, and I mentioned this almost immediately after the NDP took office: They instituted economic suppressors to a receding economy in the form of higher personal and corporate taxes, higher minimum wages and the royalty review.
Further, raising taxes when an economy is in recession is not only poor policy its straight up idiotic and demonstrates a clear lack of understanding of basic economics and prioritizing ideology over practicality.
Its about declining balances. The Government sees tax revenue as a fixed point despite the fact that it is isnt, its a percentage of revenue which is by definition a variable.
In order to maintain their 'fixed point' theory they raise their percentage of revenue to match the declining revenue pool trying to tax their way out of the hole and stifling the growth.
"We need 'X' number of dollars so we'll just increase the rate until we get the number we want while forgetting all other variables."