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I invite you to actually spell out that argument. Remember that companies are taxed on their surplus, not their income. So this means that these kinds of taxes
by Epa095 3y ago
I invite you to actually spell out that argument.
Remember that companies are taxed on their surplus, not their income. So this means that these kinds of taxes are not a extra cost that is evenly distributed among all companies, companies with low or no surplus will pay little. Up-coming competitors (with low surplus) get an advantage, increasing competition.
If the companies could simply increase their prices 15% today without loosing to competition with others, they would already have done so.
- Horffupolde 3y agoNo, because that’d be an independent increase. In this case shareholders are arbitraging their capital against central bank interest rates. So parent holds.