Reply to: Leftist propoganda?

[AtW]

BUT there is no account taken of the reduction in corporation tax

It's possible that it was taken into account but the article did not mention it.

My guess would be that Treasury can get 70%+ in indirect taxes from the person who gets a bit more money on top of minimum wage, where as corp tax is optional for some people and those who pay it will do so at 20% rate at best.

[AtW]

What should really happen is that companies get tax credit for the amount of NI/PAYE their employees pay that can be offset against Corp Tax that company pays.

This would encourage employment in this country and will be good for shareholders.

There would be no point to pay higher PAYE taxes in order to reduce corp tax, so I reckon tax cheating will be limited and those firms that help generate tax take by providing employment will be rewarded appropriately.

[SpontaneousOrder]

Stumbling and Mumbling: Living Wage macroeconomics

There's no such thing as macro economics.

[Peoplesoft bloke]

Stumbling and Mumbling: Living Wage macroeconomics

[Old Greg]

I always make sure that I leave a restaurant with a smarter coat than the one I wore when I came in.

Except when you're blind dating Kent Phillip.

[DodgyAgent]

Maybe Dodgy nicked their last coat while they were queuing for the food bank.

I always make sure that I leave a restaurant with a smarter coat than the one I wore when I came in.

[Old Greg]

How is a winter coat an unforeseen expense?

Maybe Dodgy nicked their last coat while they were queuing for the food bank.

[Doggy Styles]

How is a winter coat an unforeseen expense?

Mine was a bar tab I'd forgotten about at the Red Lion.

[VectraMan]

General Secretary Frances O’Grady said: “The UK is in the midst of a living standards crisis, and while the economy is slowly starting to recover, ordinary people are a long way from feeling any benefit.

“Money is so tight that any unforeseen expenses – like a winter coat for the children or repairing a broken cooker – are forcing families to borrow just to keep their heads above water.”

How is a winter coat an unforeseen expense?

[doodab]

It's working out well in Detroit for car production, yeah for wage inflation!

It did at the time.

[MicrosoftBob]

The more money you give these people the more they will spend, increasing demand. That is what makes the economy tick, and IMO it would be far more sensible to have a bit of wage inflation than more personal debt at the current juncture.

The well known Trotskyite Henry Ford had a similar idea almost 100 years ago.

Henry Ford - Wikipedia, the free encyclopedia

It's working out well in Detroit for car production, yeah for wage inflation!

[doodab]

Note that the calculation of this £3.2bn boost for the exchequer includes the increased tax and NI take from the employees and increased employer's NI BUT there is no account taken of the reduction in corporation tax, tax/NI paid by bosses or the fact that reduced profits will mean less employees taken on with negative effects on tax and welfare.

There is no account of the savings on the benefits bill or the increased VAT take from them spending the money either. Or the overall economic effect of increasing consumer demand.

[doodab]

The more money you give these people the more they will spend, increasing demand. That is what makes the economy tick, and IMO it would be far more sensible to have a bit of wage inflation than more personal debt at the current juncture.

The well known Trotskyite Henry Ford had a similar idea almost 100 years ago.

Henry Ford - Wikipedia, the free encyclopedia

[Platypus]

Allowing companies to pay low pages then topping up with benefits is a taxpayer subsidy to those companies. Make them pay proper wages and save wealthy taxpayers like me the money

[SpontaneousOrder]

Minimum wage / living wage is just a full-on vote-winning scam, soaked up by the economically illiterate masses who don't realise it's exactly those kinds of policies that impoverish them in the first place.

Let prices do their thing - that's what they're for!