thunderdrmz wrote:
Tune in later for a zzzzzzzz discussion on the "Income Tax versus Consumption Tax" (which also has some serious issues). LOL.
Having spent time overseas, stationed (homeported) in Japan for 5 years, I can tell you that the consumption tax idea is very flawed. I remember when they increased the tax by 5% (in the late 90's). Everything went up. Beer, food, soda, everything...To me, a consumption tax is an inflation tax.
Japan has been in an economic tailspin since 1990. Remember when they were the model of how an economy should be run? So not true. Japan now should be a model to our tax system of what not to do. The LDP (Liberal Democratic party) is the ruling party there and they, like our liberals do, believe highly in higher taxes.
If you thought our cost of living was high, you should spend some time in Japan. Living in Japan turned out to be a blessing for me, because when things here stateside started inflating, I was already use to it, being in Japan.
Let me give you a few examples (year 2000 prices, roughly) 100 Yen is almost 1 dollar:
1.5 liter of soda costs 330 Yen
Draft beer ran 600 yen
1 mango costs 1,000 yen (yes, $10 for a single mango)
12 oz soda costs 120 yen
What Japan should be a model of is their public transportation. Train ticket from Yokosuka to Yokohama (30 minute ride) runs 330 yen. To the heart of Tokyo (1 hr 15 minutes) runs around 900yen.
Anyways...back to the consumption tax. I do not care for that at all. I will take our tax system over that. Also, if you think our tax system is bad, some of the European countries have extremely high tax systems.
To quote Winston Churchill:
"There is no such thing as a good tax."
and the one many of us have heard before:
“We contend that for a nation to try to tax itself into prosperity is like a man standing in a bucket and trying to lift himself up by the handle”