Skip to main content

Greed and why it damages the country

The Government are totally right on one thing, earning boosts the economy, on this basic fact there can be no dispute. Getting folk off benefits, including tax credits, and self sufficient in employment has to be the way to go but, he has it wrong, terribly wrong, damaging to the country wrong on the level of income people need to really make this a healthy top to bottom country.

The notion they have of making the rich richer and expecting it to filter down requires a mindset amongst the wealthy which simply doesn't exist.

What is required is to make those at the bottom wealthier, not rich but they must have expendable income. Look, it's obvious, anyone can understand it, except the government it seems, it's economics.

If you pay Joe Public minimum wage, even a living wage and it just about covers his living needs so, his everyday costs such as utilities, rent/mortgage, TV and so on then he is no longer a burden on the country but then, he is also not a financial contributor either as he either pays nothing or very little in tax and a small amount of VAT.

Pay Joe Public more than he needs and he will spent it or save it. If he spends (most likely) then he will need product to buy. The more there are like our Joe the more product will be needed, the more workers will be needed to manufacture and sell that product. This creates employment. If those new employees also have more than they truly need to cover their costs then they too buy product which requires more workers to provide it, deliver it and sell it which requires more workers ... with all this selling, companies make larger profits even on top of those extra wages, larger wages means more tax revenue.

The result is ... huge extra tax revenue for the country, unemployment right down, benefit costs slashed, huge increased profits for companies and shareholders ... everyone wins from this.

There is only one reason it doesn't happen and that word is 'greed'

Labels:

Comments

Post a Comment

Popular posts from this blog

Budget Day

So, we have the ‘Let’s buy a whole host of gullible voters day’ with George Osborne. No doubt we’ll be told how employment is rising, how the deficit is falling, how we’re all so much better off now than we were (compared to what?). We’ll be told that there are still tough times ahead but that only a Conservative government can steer us through them. It will be pointed out how inflation remains low, how not raising duty on fuel has helped everyone as is seen by the current lower prices at the pumps (it’s going up again George). In short, I should listen to this budget later and decide to vote Conservative in May but, I won’t. Labour certainly did nothing to avoid the mess the country got in but they didn’t cause it. They made the mistake of trying to be too conservative, allowing high finance the freedom to cause a catastrophic cock up for which they took zero responsibility. They made the mistake of allowing Gordon Brown to take the job of Prime Minister, one for which he is totally...
2 comments
Read more

The soundtrack of my life

Post a Comment
Read more

Not a good day

Today is a very emotional one for me. I have no idea why that would be the case but apparently it is. For a day that had nothing pre-arranged this one has turned out quite busy. First, I agreed to take Matt for breakfast though I wasn't really hungry. He was being quite argumentative in the morning about some thing or other, I don't recall what exactly but some matter of politics where he was going to argue the toss whilst knowing little or nothing about it. But, even so, I was quite upbeat as Jermaine had gone to school on time ... no, scrub that, i was upbeat until I yet again had to tell Zoey to get her arse out of her room, downstairs, do her chores and get to school, that is when this day started to go downward. I spent way too much money on a new doorbell, true, we needed one but not one that cost nearly £50! This too has not helped. I went to see a garage that can fit parking sensors to my car, all well and good but they needed me to supply paint to match the circles up ...
Read more