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by AnthonyMouse 15 days ago
> The choice isn't "Keep the money or have subsidies", the choice is "The money goes to other stuff or get subsidies".

That's the false dichotomy that happens in a broken government, but then why hold that out as something desirable?

> Are those interest-free or managed by for-profit entities?

Is the larger amount of mortgage or car loan debt they have to carry when they pay the extra money in tax?

> Because "not taking it from you to begin with" isn't a practical and realistic alternative, that's not how the world, and especially taxes and government works...

Your argument seems to be that lowering taxes on ordinary people is impossible?

1 comments

> That's the false dichotomy that happens in a broken government, but then why hold that out as something desirable?

Personally I see it as stuff that happens in countries where the government care about the well-being of all, not just a select few (usually the ones with the most money). It's desirable that society improves, lots of that happens because of tax money. Subsidies usually means re-allocating funds, not raising taxes, although that might happen over time. Still, increasing taxes isn't inherently bad, especially when used for good. But I also know this is a somewhat controversial point of view in many hyper-capitalistic societies.

> Your argument seems to be that lowering taxes on ordinary people is impossible?

Yeah sure, I'm also clearly arguing for murdering children. Fun discussion, hope you'll enjoy the rest of your Tuesday :)

I'm honestly having trouble comprehending what your position is supposed to be here. It really seems to be that using the money to lower taxes on ordinary people rather than providing them with subsidies is a thing that could never happen. As if the prospect that their taxes could be lower than they are now, rather than only the same or higher, is something you can't even imagine.
Well off people do not allocate capital in a way that's socially or economically (on a national level) optimal. So the government has to do that for them (even if those who the majority of taxes personally benefit less from that than if they were allowed to keep that money).

I don't think that's entirely unreasonable. After all there are hardly any personal incentives for individuals to invest into infrastructure, education or healthcare of people who can't afford it and plenty of other areas even if that's what allowed them to accumulate a significant proportion of not the overwhelming majority of their wealth over the long term.

> Well off people do not allocate capital in a way that's socially or economically (on a national level) optimal. So the government has to do that for them (even if those who the majority of taxes personally benefit less from that than if they were allowed to keep that money).

But we're talking about a government subsidy for something people do have a personal incentive to invest in.

On top of that, the misalignment of incentives applies even more to government officials, who have perverse incentives to enrich cronies, make inefficient transfers to special interests in a specific range of "not currently voting for them but close enough to the line to be worth paying off" at the expense of the public at large, or just not care about getting a given thing right because their position is being secured by something unrelated.

If there's hardly any individual desire, as you say, to fund the development of the poor then taxes in that pursuit are illegitimate under a theory taxation happens by the assent of the people (even if only roughly a majority or their representatives).

Given that most taxation done with the the advertised goal of helping the poor in Australia does happen with popular assent of individuals, I would theorize your position is false and that people do have some individual incentives to develop services offered to the poor -- for profit, humanitarian / charitable reasons, and a variety of other considerations.

> have some individual incentives to develop services offered to the poor

I never said that wasn't the case but historically that "some" was never sufficient. On average people are rational and selfish to a larger extent than they are altruistic.

> taxes in that pursuit are illegitimate under a theory taxation happens by the assent of the people

Well the whole concept of an organized society falls apart if individuals can personally freely chose which laws to obey and which taxes to pay. You have to have a balance based on a reasonable consensus, otherwise you end up with totalitarianism or anarchy (and in that case the people who have the means and resources to do that will establish alternative power structures and will end up subjugating those who do not AND also outcompete those how have the means but are unwilling to do the same).

No, I'm not talking about picking and choosing for a voted tax. I'm saying it can't be true most people don't want to help fund the poor if the majority are voting to tax themselves to fund the poor. Clearly under anything remotely resembling the Australian representation of what they claim their representative democracy is, the majority of people already decided they individually are incentivized to help the poor develop infrastructure.

It can't simultaneously be true that most don't want to help the poor at their own cost while also the tax has been legitimized by the majority wanting to help the poor at their own cost. Only individuals or representatives elected by individuals can vote and if their incentive was to not help the poor then they'd vote not to and that would be that.