Quote:
Originally Posted by BillCosby
Windfall tax??
It seems to me they still have the ability to tax............
Unless that was outlawed along w/ some of our freedumbs.......
They lack the will to do anything in both parties..........
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Please correct me if I'm wrong, but I'm guessing that YOU believe that a free and open and unregulated market is the best economic system? Or do you believe only in socialism in which your government regulates all business?
If you prefer the open market system, in which all companies succeed or fail based on supply and demand, then surely you can understand that it makes little sense to charge a windfall profits tax.
Oil companies do not have a monopoly--right? You are free to purchase their products at any number of players in that industry. You are equally free to purchase nothing from them--right?
You can't have it both ways; an open market which is unregulated and a windfall tax when a company does exceedingly well. And I have asked you and others on this topic in the past; how do you define 'windfall'?? Is this a specific quantity of money--like $10 billion or $10 million or $10 thousand? Is this a specific percentage--like anything over 15% net profit? And surely whatever numbers you select must also apply to all businesses--right?
Fundamentally this is about supply and demand and today demand is higher than supply for oil so people are paying a premium. If you don't wish to live in socialism, and if you wish for the oil companies to have lower profits, then reduce your demand of that product that is in limited supply. If enough people agree with your position, then as demand slows the prices will lower. If they continue their demand, full knowing they are already paying a premium, then the prices will continue to rise to whatever level the consumer can accept.
Windfall taxes in my opinion would be a form of regulation. The only way I can ever accept this type of tax is in a monopoly situation where the consumer has no choice...