Sunday, December 6, 2009
Danish Taxes
According to Wikipedia, "Denmark, with a mixed market capitalist economy and a large welfare state, ranks according to one measure, as having the world's highest level of income equality. Denmark has the best business climate in the world, according to the US business magazine Forbes. From 2006 to 2008, surveys ranked Denmark as "the happiest place in the world," based on standards of health, welfare, and education." The country is also pretty high in the GDP per capita and employment rankings. It pays generous unemployment benefits, and has free universal health care.
How is this utopia paid for? What a shocker - taxes. As of 2010, the top marginal rate of 42%, and the VAT is 25% (source). What's going on here? Something's gotta give, and sure enough, something does. Young Danes are leaving in droves - leaving, that is, after getting free education, which also includes English proficiency. From the article:
"The Organization for Economic Cooperation and Development, which is based in Paris, projects that Denmark’s growth rate will fall to an annual rate of slightly more than 1 percent for the five years beginning in 2009, reflecting a dwindling supply of a vital input for any economy: labor... studies suggest that about 1,000 people leave the country each year, a figure that masks an outflow of qualified Danes and an inflow of less skilled foreign workers who help, at least partially, to offset the losses."
Who would have thought that when you tax something, you get less of it? So when you tax productive people heavily, and pay others generously not to work... Gee, this is getting complicated. This is the point at which most politicians would stick their fingers up to their elbows in their ears, yell "La-la-la-la, I cannot hear you!", and hope you buy all the BS about the joys of equality and security - which are guaranteed if you only (re-)elect them, and doubly guaranteed if you only let them tax and spend more.
As a parting note, consider that 67% is not the total tax burden you pay in Denmark. The tax rate on non-electric vehicles is 200%, as noted by Dr. Perry at Carpe Diem. There is tax on income from securities, corporate tax, and property tax.
As some poet with economic literacy (or economist with poetic talent) wrote:
Tax his land, tax his wage,
Tax his bed in which he lays.
Tax his tractor, tax his mule,
Teach him taxes is the rule.
Tax his cow, tax his goat,
Tax his pants, tax his coat.
Tax his ties, tax his shirts,
Tax his work, tax his dirt.
Tax his chew, tax his smoke,
Teach him taxes are no joke.
Tax his car, tax his grass,
Tax the roads he must pass.
Tax his food, tax his drink,
Tax him if he tries to think.
Tax his sodas, tax his beers,
If he cries, tax his tears.
Tax his bills, tax his gas,
Tax his notes, tax his cash.
Tax him good and let him know
That after taxes, he has no dough.
If he hollers, tax him more,
Tax him until he's good and sore.
Tax his coffin, tax his grave,
Tax the sod in which he lays.
Put these words upon his tomb,
"Taxes drove me to my doom!"
And when he's gone, we won't relax,
We'll still be after the inheritance tax.
However, if something cannot go on forever, it will stop (Stein's Law), and socialists always run out of other people's money.
How is this utopia paid for? What a shocker - taxes. As of 2010, the top marginal rate of 42%, and the VAT is 25% (source). What's going on here? Something's gotta give, and sure enough, something does. Young Danes are leaving in droves - leaving, that is, after getting free education, which also includes English proficiency. From the article:
"The Organization for Economic Cooperation and Development, which is based in Paris, projects that Denmark’s growth rate will fall to an annual rate of slightly more than 1 percent for the five years beginning in 2009, reflecting a dwindling supply of a vital input for any economy: labor... studies suggest that about 1,000 people leave the country each year, a figure that masks an outflow of qualified Danes and an inflow of less skilled foreign workers who help, at least partially, to offset the losses."
Who would have thought that when you tax something, you get less of it? So when you tax productive people heavily, and pay others generously not to work... Gee, this is getting complicated. This is the point at which most politicians would stick their fingers up to their elbows in their ears, yell "La-la-la-la, I cannot hear you!", and hope you buy all the BS about the joys of equality and security - which are guaranteed if you only (re-)elect them, and doubly guaranteed if you only let them tax and spend more.
As a parting note, consider that 67% is not the total tax burden you pay in Denmark. The tax rate on non-electric vehicles is 200%, as noted by Dr. Perry at Carpe Diem. There is tax on income from securities, corporate tax, and property tax.
As some poet with economic literacy (or economist with poetic talent) wrote:
Tax his land, tax his wage,
Tax his bed in which he lays.
Tax his tractor, tax his mule,
Teach him taxes is the rule.
Tax his cow, tax his goat,
Tax his pants, tax his coat.
Tax his ties, tax his shirts,
Tax his work, tax his dirt.
Tax his chew, tax his smoke,
Teach him taxes are no joke.
Tax his car, tax his grass,
Tax the roads he must pass.
Tax his food, tax his drink,
Tax him if he tries to think.
Tax his sodas, tax his beers,
If he cries, tax his tears.
Tax his bills, tax his gas,
Tax his notes, tax his cash.
Tax him good and let him know
That after taxes, he has no dough.
If he hollers, tax him more,
Tax him until he's good and sore.
Tax his coffin, tax his grave,
Tax the sod in which he lays.
Put these words upon his tomb,
"Taxes drove me to my doom!"
And when he's gone, we won't relax,
We'll still be after the inheritance tax.
However, if something cannot go on forever, it will stop (Stein's Law), and socialists always run out of other people's money.
Wednesday, December 2, 2009
Quotes of the Day
"No lesson seems to be so deeply inculcated by the experience of life as that you should never trust experts. If you believe doctors, nothing is wholesome: if you believe the theologians, nothing is innocent: if you believe the soldiers, nothing is safe. They all require their strong wine diluted by a very large admixture of insipid common sense."
"After all, the great characteristic of this country is that it is a free country, and by a free country I mean a country where people are allowed, so long as they do not hurt their neighbours, to do as they like. I do not mean a country where six men may make five men do exactly as they like. That is not my notion of freedom."
"On general grounds I object to Parliament trying to regulate private morality in matters which only affects the person who commits the offence."
"There is no danger which we have to contend with which is so serious as an exaggeration of the power, the useful power, of the interference of the State. It is not that the State may not or ought not to interfere when it can do so with advantage, but that the occasions on which it can so interfere are so lamentably few and the difficulties that lie in its way are so great. But I think that some of us are in danger of an opposite error. What we have to struggle against is the unnecessary interference of the State, and still more when that interference involves any injustice to any people, especially to any minority. All those who defend freedom are bound as their first duty to be the champions of minorities, and the danger of allowing the majority, which holds the power of the State, to interfere at its will is that the interests of the minority will be disregarded and crushed out under the omnipotent force of a popular vote."
- Robert Cecil, 3rd Marquess of Salisbury.
"After all, the great characteristic of this country is that it is a free country, and by a free country I mean a country where people are allowed, so long as they do not hurt their neighbours, to do as they like. I do not mean a country where six men may make five men do exactly as they like. That is not my notion of freedom."
"On general grounds I object to Parliament trying to regulate private morality in matters which only affects the person who commits the offence."
"There is no danger which we have to contend with which is so serious as an exaggeration of the power, the useful power, of the interference of the State. It is not that the State may not or ought not to interfere when it can do so with advantage, but that the occasions on which it can so interfere are so lamentably few and the difficulties that lie in its way are so great. But I think that some of us are in danger of an opposite error. What we have to struggle against is the unnecessary interference of the State, and still more when that interference involves any injustice to any people, especially to any minority. All those who defend freedom are bound as their first duty to be the champions of minorities, and the danger of allowing the majority, which holds the power of the State, to interfere at its will is that the interests of the minority will be disregarded and crushed out under the omnipotent force of a popular vote."
- Robert Cecil, 3rd Marquess of Salisbury.
Sunday, November 22, 2009
Subliminal Messages
This is pure genius, and funnier still when you speak Russian.
H/T Depleted Cranium.
H/T Depleted Cranium.
Thursday, November 19, 2009
Hero of the Day
Dog present or not, when you are 91, and naked, and you not only scare the crap out of a 26-year-old burglar, but hold him at gunpoint until police get there to cuff him, you deserve a drink and a hat-tip. Well done, Mr. Thompson!
Friday, October 9, 2009
What Are They Smoking At Burger King?
Burger King, a venerable burger joint (if a chain with 12,000 outlets can be called that) is revamping its restaurants to give them "an upmarket feel". Huh? The thinking must go something like this: "We hate to be competing with McD and Wendy's... Let's go upscale and incur a cost disadvantage that will price us out of this market and go compete with Ruby Tuesday and Applebee's (perception-wise), and with Pizza Hut and Domino's (value-wise)."
Now, in my humble opinion, BK has the best french fries of all burger chains, and their burgers are pretty damn good. They had a lot going for them, not least brand equity - recall a famous Pulp Fiction dialogue? However, whoever is mapping their corporate strategy is smoking something really, really good. Many companies suffer an identity crisis at some point, and try to reposition themselves. There are good ways to do it. There are bad ways to do it. And then (to quote Al Gore) there is that little known third category that includes Burger King - the phrase "unmitigated disaster" comes to mind.
Let's try to see some of their advertising efforts:
This? Really? They share a golden shower?
This? Really?? The last time I wanted to wake up with a man in my bed was... I'll get back to you on this one, but do not hold your breath.
This? "So special, people may think you're special?" Are we positioning a friggin' BK burger as "what-I-do-not-eat-to-avoid-getting-assaulted-by-psychotic-bitches"?
This? Wow, edgy! Simon & Garfunkel! Mostly Garfunkel, of course. Was Bob Dylan not available?
This? Oh no, this is just too rich... "I like square butts and I cannot lie?" "Phone book implants?" "A butt with sharp right angles?" "He's so spongy?" "Shake that cubicle butt?" "Bob got it goin' on, been known to rock him a thong???!!!" I am.... bemused.
This? And my inner cowboy has what exactly in common with women with mustaches?
This? Maybe I don't?
This? Midgets and "jugs"? Classy!!!
This? There was something there, right up to the "EAT THIS MEAT" part... Yeah, and the 0:37 part where you need frame-by-frame replay to make sure that there was no hand-to-crotch action going on. And the "till my innie turns into an outie" part. And the "I need to stuff a big burger beef jalapeno good thing down" part.
This? The peep-show patron special. When you are so dumb you have not discovered the internet for your porn needs... you may just need a BK burger too. The combination of a sultry male voice and "a very generous king"... touche!
This? Right!!! Piss off one half of your potential customers with a sexist ad...
This? The nipple pinch? "They took my nipples?" I feel so... Well, I know there is a word out there for what I feel, and I'll find it one day. Suffice it to know, it's not a kind word.
Really, Burger King, what is your target customer base again? Maybe, just maybe, even the imperfect financial markets smelled a real stinker (sinker?) here.
Now, in my humble opinion, BK has the best french fries of all burger chains, and their burgers are pretty damn good. They had a lot going for them, not least brand equity - recall a famous Pulp Fiction dialogue? However, whoever is mapping their corporate strategy is smoking something really, really good. Many companies suffer an identity crisis at some point, and try to reposition themselves. There are good ways to do it. There are bad ways to do it. And then (to quote Al Gore) there is that little known third category that includes Burger King - the phrase "unmitigated disaster" comes to mind.
Let's try to see some of their advertising efforts:
This? Really? They share a golden shower?
This? Really?? The last time I wanted to wake up with a man in my bed was... I'll get back to you on this one, but do not hold your breath.
This? "So special, people may think you're special?" Are we positioning a friggin' BK burger as "what-I-do-not-eat-to-avoid-getting-assaulted-by-psychotic-bitches"?
This? Wow, edgy! Simon & Garfunkel! Mostly Garfunkel, of course. Was Bob Dylan not available?
This? Oh no, this is just too rich... "I like square butts and I cannot lie?" "Phone book implants?" "A butt with sharp right angles?" "He's so spongy?" "Shake that cubicle butt?" "Bob got it goin' on, been known to rock him a thong???!!!" I am.... bemused.
This? And my inner cowboy has what exactly in common with women with mustaches?
This? Maybe I don't?
This? Midgets and "jugs"? Classy!!!
This? There was something there, right up to the "EAT THIS MEAT" part... Yeah, and the 0:37 part where you need frame-by-frame replay to make sure that there was no hand-to-crotch action going on. And the "till my innie turns into an outie" part. And the "I need to stuff a big burger beef jalapeno good thing down" part.
This? The peep-show patron special. When you are so dumb you have not discovered the internet for your porn needs... you may just need a BK burger too. The combination of a sultry male voice and "a very generous king"... touche!
This? Right!!! Piss off one half of your potential customers with a sexist ad...
This? The nipple pinch? "They took my nipples?" I feel so... Well, I know there is a word out there for what I feel, and I'll find it one day. Suffice it to know, it's not a kind word.
Really, Burger King, what is your target customer base again? Maybe, just maybe, even the imperfect financial markets smelled a real stinker (sinker?) here.
Monday, October 5, 2009
In a Parallel Universe Called Washington, DC
Sen. Benjamin L. Cardin (D-Md.), has this profound insight about the health care bill: "The larger the bill is, the more it's going to save." Just so we do not decide he may be kidding, the genius senator adds emphasis: "and that, he said, is the key", according to the linked WaPo article.
I am going to look for my jaw in the basement.
I am going to look for my jaw in the basement.
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