I’m not even sure what you’re taking about it. But from the worker/anti capitalist perspective, deflation is even worse. The working class, who holds huge amounts of debt like student loans, ends up paying more as the value of money decreases. Imagine all of your student debts increasing in real value over time, on top of the already existing interest rate.
You don’t see how it’s a bad thing for people to have zero incentive to put money back into the economy? Everyone hoarding money and trying to spend as little as possible will surely have good results!
Do you actually think that 100% a tax burden will always fall on consumers?
It literally doesn’t. The price is the same either way. Reduced demand from the higher tax makes it so producers will lower prices. This is really basic microeconomics.
From Wikipedia: “tax burden does not depend on where the revenue is collected, but on the price elasticity of demand and price elasticity of supply”
It doesn’t make a difference which side you tax. If consumers are taxed then corporations will still feel it through reduced demand for their product. If corporations are taxed, consumers will still feel it through increased prices. The tax burden does not depend on who is taxed, but rather how elastic supply and demand are.
What’s the channel if you don’t mind sharing?
Lol this is ridiculous. I’ve been hiking in the Rockies plenty of times during the winter, as long as you take the proper precautions you will be fine.
Do you happen to have a link to any of the rebuttals? I watch him a lot so I’m curious.
Honestly tragic I can’t drink a beer while I have a picnic :(
Okay, so first of all, they currently have the power to raise and lower interest rates without the people’s approval. This isn’t some undemocratic seizure of power.
Secondly, I don’t think they should have carte blanche to raise and lower every tax. It could be within some range of the federally set tax rate, e.g 2.5 points above or below.
It’s merely an idea, as people often complain about the BoC only having “one lever”.
Because people don’t want higher taxes. Raising taxes is always politically unpopular even if for a valid reason. Politicians often do the opposite, e.g Trudeaus grocery rebate just puts more money into circulation and contributes to inflation. The BoC can operate autonomously from the federal government and could conceivably raise taxes when a politician would not have the political capital to do so.
why not just raise taxes, then?
Because it’s politically unpopular despite being good fiscal policy. Give some control to the central bank, who aren’t beholden to angry voters.
I agree that it’s unfortunate the central bank can only change interest rates. At the same time, fiscal policy often runs in the opposite direction. I wouldn’t be opposed to giving BoC some control over taxation, within a limited margin. It would give them one more tool so to speak.
High inflation is far worse for most workers than higher interest rates.
I’m liking it a lot but I really hope the dev adds 6 and 12 hour sort.
So cute, what are their names??
seconding this, Jimmy’s is great
Both provinces can have amazing nature, it’s not a competition.