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I don't think someone has designed taxes around incentives. In most countries wages are more heavily taxed than products, which balances the spending towards bu
by tajen 11y ago
I don't think someone has designed taxes around incentives. In most countries wages are more heavily taxed than products, which balances the spending towards buying more things rather than employing more people. It seems very stretched, but some ecologists suggest to tax petrol more heavily and tax wages less, so it would be easier to employ more people for a task than throw more petrol at it (I use petrol in terms of fast tranports).
- zeckalpha 11y agoWhat about tariffs? They're designed to incentivize buying products made at home. What about "sin" taxes? They're designed to incentivize good behavior? (Some) taxes are definitely designed around incentives.
- mollmerx 11y agoIn addition, sins are often easy to tax because consumption is rather inelastic, due to there being few alternatives. Thus, taxes on sins can produce higher revenues than taxes on more price sensitive goods or activities would.