That's a function of people avoiding taxes as rates get higher--even if it means making less money. There's little incentive to do better when more than half is taken from societal producers and given to bureaucrats and entitlement junkies. Even one of Obama's former economic advisors (I forget her name) recoginzed this and did some studies on it.
I know, but what kind of a piss poor attitude is that? Reminds me of when I was an employee, all I ever wanted to do was the bare minimum.
no, I must admit I am quite ignorant on that subject, don't even know enough to lie about it convincingly. Spare me the media, there is no end to the criticism there But what's the deal with Iceland, and how did they resolve the recession that apparently they were going through until 2009?
Doesn't Socialism eventually break the spirit of the 90% of the population who are "equal, worker bees"?... the only ones being happy are the elite overlords? Wasn't America founded to get away from that?
Didn't they get their losses written off??? "Icelanders have resisted international pressure to make them fully reimburse the two governments for $5.4 billion they spent making whole Dutch and British depositors who lost their savings in the financial collapse." Edit: OK, you are referring to the fact that they let their banks fail... "âThis is the proper process. If you go through a bubble economy and you need to correct it, the answer is not to convert private debt into public debt. Rather it is to restructure the debt to the level of the assets.â http://www.nytimes.com/2010/12/08/business/global/08icecon.html
yeah thanks, interesting little article. Like you say, media don't cover it much when it's Iceland. If that was USA in 2009, they would have a whole library of books on it by now. And I'm sure it would be somebodys fault, depending on what network you are watching. And that's the thing us common men can't figure out. Why didn't we just do that? I like it, simple, and easy to remember.
Not necessarily. Some write-offs have some sort of tax break cushion. Other losses are written off as "all the money is gone, must move on". Just because there is some sort of "write-off" doesn't mean somebody got well over it. The "Icelandic write-off" resulted in their stock market declining from about 7500 to about 500. That is, the capital market lost about 93% of its value in the reset. Now, we look at the "recovery" from the write-off low and say "it's a good thing"... ignoring the wealth lost by all in the write-down process.