Big Pharma and Big Media

[zeb1]

No minds are changed on T Nation at this level.

The conversation has ended go in peace.

Thanks be to God.

[Zeppelin795]

And what incentive is there to create jobs if the majority of people have very limited disposable income?

[Zeppelin795]

And “job creators” will not expand business if people can’t buy products and services.

[Zeppelin795]

So this person was involved with production? It is essentially unearned income.

[zeb1]

@Zeppelin795

And what incentive is there to create jobs if the majority of people have very limited disposable income?

If there were more jobs more people would have more disposable income.

@Zeppelin795

And “job creators” will not expand business if people can’t buy products and services.

If more people had jobs more people could buy products and the job creators would create even more jobs.

(No minds are changed on T Nation PWI)

[Zeppelin795]

How true.

[Zeppelin795]

Obama is merely a representative of the financial wing of the corporate democratic party. Is it any wonder no executives of the big banks were put in jail?

[Zeppelin795]

I wonder what Keyenes thought about biblical jubilee where debts were erased from time to time. As it was thought that creditors would become too powerful and debtors too dependant.

[Basement_Gainz]

Again. If you’d like to see places without capital markets I’d recommend most of Africa. Even Communist China has capital markets for investors to divert capital to businesses (with controls of course). Socialist Sweden has vibrant markets.

You are to the left of China on this issue.

[zeb1]

@Basement_Gainz

You are to the left of China on this issue.

The Military Band of the People's Liberation Army of China - Edinburgh Military Tattoo 2015

[anon50325502]

@Zeppelin795

Job creation doesn’t happen unless people are able to buy products and services.

Am I gonna need to hold your hand on this one per usual?

[dungeondweller]

“Medical spa” treatments like anxiety? That’s why my friend brings her son here from Toronto. She made an appointment in Canada but the wait was 12 months. She felt that she should do something to help get him back into school a bit earlier than that.

[Zeppelin795]

So tell me, how do jobs get created if people don’t have disposable income?

[Zeppelin795]

Is this why China is slowing down?

[anon50325502]

Hand holding it is.

First, let’s recap.

I said:

You said:

So, a couple of things:

First of all, I said capital investment creates jobs at a lower cost than debt. Obviously (well, I would hope anyway), a company isn’t going to incur capital expenditures if there isn’t a demand for their goods or services and/or the project improves the goods/services they already provide and has an NPV > 0. I.e. there is a positive return on the project.

Secondly and more relevant to my statement is a) it cost less money to raise capital via a stock offering versus taking on additional debt. This is expressed/determined via the WACC formula I’m confident you’ve heard of and b) when an offering occurs the capital generated almost definitely will result in capital expenditure in the form of R&D, new product lines, expansions, etc… This in and of itself creates full-time and part-time jobs as well as temporary/consulting work. Those jobs result in income that will almost certainly be put back into the economy in some form.

Hopefully, that will suffice.

[Zeppelin795]

Wow you brought in mathematics, I shudder. Most economists who are popular and are even granted the Nobel Prize in economics are awarded the prize because the mathematics are logically consistent in it’s own framework not because of how they work in the real world. They often have disastrous effects. Here is a 65 year old economic study on how the economics have worked out. http://graphics8.nytimes.com/news/business/0915taxesandeconomy.pdf The tax rate used to be much higher even with loopholes and deductions but the GDP was higher. How is this possible? Shouldn’t the opposite be true? Yes I know correlation is not causation but is this simply an outlier position? It is what your side hangs on to so to give off plausible deniability.

[anon50325502]

@Zeppelin795

Wow you brought in mathematics, I shudder.

Lol, you’re such a fucking idiot.

[anon50325502]

@Zeppelin795

Here is a 65 year old economic study on how the economics have worked out.

This isn’t even remotely what that analysis is about. [quote=“Zeppelin795, post:296, topic:229191”]
The tax rate used to be much higher even with loopholes and deductions but the GDP was higher. How is this possible?
[/quote]

Because they’re two entirely different things… [quote=“Zeppelin795, post:296, topic:229191”]
GDP was higher.
[/quote]

Huh?

Real Gross Domestic Product

@Zeppelin795

It is what your side hangs on to so to give off plausible deniability.

You don’t even know what “side” I’m on.

Guess you forgot about this:

@anon50325502

@Zeppelin795

Then what happened in the 50’s and 60’s when the tax rate for an individual peaked around 91% and the corporate tax peaked around 51%, I believe. The economy should have collapsed according right-economists, right?

Do you understand what the difference is between a statutory tax rate and an effective tax rate?

Here is lefty loony bloomberg on what you’re asking:
http://www.bloombergview.com/articles/2013-01-02/1950s-tax-fantasy-is-a-republican-nightmare

Sanders Campaign Could Win In Spite of Corporate Media Spin

Then what happened in the 50’s and 60’s when the tax rate for an individual peaked around 91% and the corporate tax peaked around 51%, I believe. The economy should have collapsed according right-economists, right?

[zeb1]

Zep. I have a question for you that might seem a bit off beat but please humor me. Do you believe that the US landed men on the moon and returned them safely to earth?

If so I have a follow up…

Thank You

[hugh_gilly]

Somebody once tried to explain to me that philosophy was the subject of whether the moon landing was real or not.