The Baker: for all of you who want higher Wealth and Capital Gains Taxes

[4est_4est_Gump]

The Baker
A lesson on the taxation of (windfall and capital gains) profits

I am in the kitchen this rainy morning, baking a pie and waiting for the storms, happy that we have beautiful flowers and even more emerging buds yet fearing that the weather shall certainly get worse before it gets better, very much in the same manner that I anxiously regard our current economy in the hands of egalitarian politicians focused on the positive benefits to my life of Social Justice, Equality, and Brotherhood.

As I bake, I am reflecting on the morning conversations with static thinking drawing room economists whom verily view the economy as a fixed (zero-sum) pie to be divided up into (already taxed) operating costs and profit, then taxing the profit as if that tax had no effect on the output of future pies or the owner of the pie but creates great effect upon Social Justice and the economic weather of the day.

The old ditty, the butcher, the baker, the candlestick maker begins running through my head and I think of the old days. I imagine myself a baker of old and reflect in the manner of “In Walden Bakery” on my craft and its economics.

 

[4est_4est_Gump]

Economy as a pie, the metaphor

Tired of raising a handful of pigs, a cow, some chickens and a few, scant row crops upon the lands allotted to me by my medieval lord, I have scrupulously scrimped, saved, and sacrificed in order to follow my natural inclinations and passion and become a baker. With my labor, my sweat equity and denial of sleep, I build and oven and purchase some bake pans, flour, sugar, apples, salt and wood. Then I bake a pie for sale.

The first slice goes to king and crown and it purchases, in their view, laws, roads, police and army to keep my oven and business safe, secure and able to fairly trade with my neighbors.

The next slices of my pie go to those who provide me with the raw materials, the forester (wood for my oven), the miller (flour and sugar via other sustenance farmers), the orchard owner (the apples), the salt trader, the blacksmith (bake pans) and their middleman, the merchant. The eggs came from my chickens, which require a small piece of my pie for the price of their feed for I am an industrious man.

The very last piece, the most delicious piece of all is reserved for my family and myself. It represents their future, for I shall continue to bake pies and by degrees, provide for them a much better future by selling this precious piece of my life to another for his pleasure, a reward for his, similar hard work, sweat, toil and tears.

If upon seeing my gain and my rise in stature in the community, the king sees an opportunity to make himself more popular among his subjects and institutes a profit tax to take a sliver from this piece of pie (after all, I will not miss it and thus the noble, caring king gets to trumpet throughout the land that he is feeding the hungry child of my neighbor with my fine pie, for if we give free piece of the Baker’s pie to everyone that cannot afford one through their own labors and sacrifice never mind that doing without a daily slice of pie is sacrifice by another name), then everyone will be better off for having provided for their neighbor with their most excellent labor under the rule of a most beneficent king.

 

[4est_4est_Gump]

Choice one, the Baker simply “eats” the loss of his pie’s profit

The baker does not live on pie alone. I will sell that slice of pie and use it to buy potatoes, milk and tea (Wicksteed). If I do my duty to king and crown and cheerfully surrender a small slice of that last piece of pie to king and crown then I will have to make cuts in my future purchases of potatoes milk and tea which represents a loss to the merchant, the farmer, and the trader, but king and crown will certainly gain favor, however temporary of some hungry child, if in fact it really does do good deeds with my pie and not just add to the glory of the castle or purchase the favor of its knights.

But crown and king actually suffer a loss that offsets that additional small piece of pie. How can that be? That is because I must make the calculation of what to surrender along with surrendering my piece of pie. I might very well put off growing my family and robbing future king and crown of a pie making citizen, a soldier, a policeman or a dutiful wife for the butcher or candlestick maker. The loss to king and crown might be the apprentice not hired, the new pan nor purchased and thus the extra pie not baked to maximize sales of pie and increase my own wealth and the subsequent additional small pieces of pie with which to advertise the loving largess of king and crown.

One thing is for sure, in my calculations I would surely come to a resentment of king, crown and the tax collector for the very privilege of this productivity tax on my income.

Eventually, if everyone makes this choice, then all their children will live on the king and crown’s pie, which, of course, they do not bake therefore there will be no pie for all, only the king and crown’s chosen, for short of war, pestilence and disease, the king’s people shall grow in number, but the amount of pie will remain the same and everyone will enjoy smaller and smaller pieces and king and crown will be pressed by the needs of an angry and hungry populace to grab larger slices of pie to alleviate the suffering, maintain arms and curry the favor of the lords so necessary to rule.

 

[4est_4est_Gump]

Choice two, pass the cost on

I do have another clear choice, one which my fellow armchair economists insist will not happen and that is that I might make the choice to simply charge more for the next pie; everyone gets a smaller slice in effect for should they decide to purchase pie they now, in turn, have less to spend on potatoes, milk and tea, perhaps they decide to do without pie, perhaps they put off hiring an apprentice or expanding their own family until they can save more to provide pie to king and country.

Again, this is a road that leads only to resentment of king, crown and the tax collector and I find myself in the same spiral as before so my fellow citizens and I, in effect, have this Hobson’s Choice of a lesser economy or the wrath of king and crown for shorting the tax collector and finding ourselves before his lords, imprisoned by his police and guarded by his army branded as criminals unwilling to provide free pie for the children of the kingdom, a most heinous crime indeed.

Of course, a wise king would not demand an additional slice of pie merely for the act of paying taxes, paying suppliers, baking a good pie that people will surrender some potatoes milk and tea for the pleasure of eating it without baking it and in doing so making a profit for he and I can clearly see that my immediate profit is his future gain.

 

[4est_4est_Gump]

Conclusion

While this exercise has focused on a medieval baker, it is one easily scalable to any modern business and the government that rules over it for the laws expressed in are fixed and easily determined. There is no such a thing as a free slice of pie; someone has to pay for it. If more pie is taken now, there will be less pie in the future and free pie now is merely a temporary friendly specter that becomes the nightmare haunting of the future.

 

[Disgustipated]

The Baker
A lesson on the taxation of (windfall and capital gains) profits

I am in the kitchen this rainy morning, baking a pie and waiting for the storms, happy that we have beautiful flowers and even more emerging buds yet fearing that the weather shall certainly get worse before it gets better, very much in the same manner that I anxiously regard our current economy in the hands of egalitarian politicians focused on the positive benefits to my life of Social Justice, Equality, and Brotherhood.

As I bake, I am reflecting on the morning conversations with static thinking drawing room economists whom verily view the economy as a fixed (zero-sum) pie to be divided up into (already taxed) operating costs and profit, then taxing the profit as if that tax had no effect on the output of future pies or the owner of the pie but creates great effect upon Social Justice and the economic weather of the day.

The old ditty, the butcher, the baker, the candlestick maker begins running through my head and I think of the old days. I imagine myself a baker of old and reflect in the manner of “In Walden Bakery” on my craft and its economics.

SHUT

Tired of raising a handful of pigs, a cow, some chickens and a few, scant row crops upon the lands allotted to me by my medieval lord, I have scrupulously scrimped, saved, and sacrificed in order to follow my natural inclinations and passion and become a baker. With my labor, my sweat equity and denial of sleep, I build and oven and purchase some bake pans, flour, sugar, apples, salt and wood. Then I bake a pie for sale.

The first slice goes to king and crown and it purchases, in their view, laws, roads, police and army to keep my oven and business safe, secure and able to fairly trade with my neighbors.

The next slices of my pie go to those who provide me with the raw materials, the forester (wood for my oven), the miller (flour and sugar via other sustenance farmers), the orchard owner (the apples), the salt trader, the blacksmith (bake pans) and their middleman, the merchant. The eggs came from my chickens, which require a small piece of my pie for the price of their feed for I am an industrious man.

The very last piece, the most delicious piece of all is reserved for my family and myself. It represents their future, for I shall continue to bake pies and by degrees, provide for them a much better future by selling this precious piece of my life to another for his pleasure, a reward for his, similar hard work, sweat, toil and tears.

If upon seeing my gain and my rise in stature in the community, the king sees an opportunity to make himself more popular among his subjects and institutes a profit tax to take a sliver from this piece of pie (after all, I will not miss it and thus the noble, caring king gets to trumpet throughout the land that he is feeding the hungry child of my neighbor with my fine pie, for if we give free piece of the Baker’s pie to everyone that cannot afford one through their own labors and sacrifice never mind that doing without a daily slice of pie is sacrifice by another name), then everyone will be better off for having provided for their neighbor with their most excellent labor under the rule of a most beneficent king.

THE

The baker does not live on pie alone. I will sell that slice of pie and use it to buy potatoes, milk and tea (Wicksteed). If I do my duty to king and crown and cheerfully surrender a small slice of that last piece of pie to king and crown then I will have to make cuts in my future purchases of potatoes milk and tea which represents a loss to the merchant, the farmer, and the trader, but king and crown will certainly gain favor, however temporary of some hungry child, if in fact it really does do good deeds with my pie and not just add to the glory of the castle or purchase the favor of its knights.

But crown and king actually suffer a loss that offsets that additional small piece of pie. How can that be? That is because I must make the calculation of what to surrender along with surrendering my piece of pie. I might very well put off growing my family and robbing future king and crown of a pie making citizen, a soldier, a policeman or a dutiful wife for the butcher or candlestick maker. The loss to king and crown might be the apprentice not hired, the new pan nor purchased and thus the extra pie not baked to maximize sales of pie and increase my own wealth and the subsequent additional small pieces of pie with which to advertise the loving largess of king and crown.

One thing is for sure, in my calculations I would surely come to a resentment of king, crown and the tax collector for the very privilege of this productivity tax on my income.

Eventually, if everyone makes this choice, then all their children will live on the king and crown’s pie, which, of course, they do not bake therefore there will be no pie for all, only the king and crown’s chosen, for short of war, pestilence and disease, the king’s people shall grow in number, but the amount of pie will remain the same and everyone will enjoy smaller and smaller pieces and king and crown will be pressed by the needs of an angry and hungry populace to grab larger slices of pie to alleviate the suffering, maintain arms and curry the favor of the lords so necessary to rule.

FUCK

I do have another clear choice, one which my fellow armchair economists insist will not happen and that is that I might make the choice to simply charge more for the next pie; everyone gets a smaller slice in effect for should they decide to purchase pie they now, in turn, have less to spend on potatoes, milk and tea, perhaps they decide to do without pie, perhaps they put off hiring an apprentice or expanding their own family until they can save more to provide pie to king and country.

Again, this is a road that leads only to resentment of king, crown and the tax collector and I find myself in the same spiral as before so my fellow citizens and I, in effect, have this Hobson’s Choice of a lesser economy or the wrath of king and crown for shorting the tax collector and finding ourselves before his lords, imprisoned by his police and guarded by his army branded as criminals unwilling to provide free pie for the children of the kingdom, a most heinous crime indeed.

Of course, a wise king would not demand an additional slice of pie merely for the act of paying taxes, paying suppliers, baking a good pie that people will surrender some potatoes milk and tea for the pleasure of eating it without baking it and in doing so making a profit for he and I can clearly see that my immediate profit is his future gain.

UP

While this exercise has focused on a medieval baker, it is one easily scalable to any modern business and the government that rules over it for the laws expressed in are fixed and easily determined. There is no such a thing as a free slice of pie; someone has to pay for it. If more pie is taken now, there will be less pie in the future and free pie now is merely a temporary friendly specter that becomes the nightmare haunting of the future.

ASSHOLE

 

[MeeMie]

Excellent lesson demonstrated.

I'm not surprised that the irreverant post made didn't address any of the content but rather was a personal attack.

Afterall ...... it's the loonie way.

It's impossible for loonies to debate a point without swearing or name calling.
(cue here: Luke claiming not to be a liberal)

Anyone who studies the history of ideas should notice how much more often people on the political left, more so than others, denigrate and demonize those who disagree with them -- instead of answering their arguments.
Thomas Sowell

 

[Ulaven_Demorte]

Actual conclusion:
A pantload.

No businessperson has ever refused to invest in business that is profitable because they must pay tax on those profits. In fact, historically our economy showed much better growth when the top end tax rates were MUCH higher than the historical lows they are at today.

If your fictitious piemaker did raise his prices then another piemaker will take his business and be happy with the profits made.

Isn't that the way the free market is supposed to work?

 

[miles]

Excellent lesson demonstrated.

I'm not surprised that the irreverant post made didn't address any of the content but rather was a personal attack.

Afterall ...... it's the loonie way.

It's impossible for loonies to debate a point without swearing or name calling.
(cue here: Luke claiming not to be a liberal)

Anyone who studies the history of ideas should notice how much more often people on the political left, more so than others, denigrate and demonize those who disagree with them -- instead of answering their arguments.
Thomas Sowell

Rather childlike, isn't it?

 

[miles]

Excellent lesson demonstrated.

I'm not surprised that the irreverant post made didn't address any of the content but rather was a personal attack.

Afterall ...... it's the loonie way.

It's impossible for loonies to debate a point without swearing or name calling.
(cue here: Luke claiming not to be a liberal)

Anyone who studies the history of ideas should notice how much more often people on the political left, more so than others, denigrate and demonize those who disagree with them -- instead of answering their arguments.
Thomas Sowell

PS - I propose using some type of symbol to note when they use their typical debate tactics. I'm open to suggestions.

 

[4est_4est_Gump]

Actual conclusion:
A pantload.

No businessperson has ever refused to invest in business that is profitable because they must pay tax on those profits. In fact, historically our economy showed much better growth when the top end tax rates were MUCH higher than the historical lows they are at today.

If your fictitious piemaker did raise his prices then another piemaker will take his business and be happy with the profits made.

Isn't that the way the free market is supposed to work?

I'm sorry, but then he would be hit with the same tax as I was, king and crown don't have it in for me, they're in it for the children, and the lords, well, mainly the lords, once they smell pie, they want a cut of the action too...

 

[4est_4est_Gump]

PS - I propose using some type of symbol to note when they use their typical debate tactics. I'm open to suggestions.

:caning:

 

[4est_4est_Gump]

Excellent lesson demonstrated.

I'm not surprised that the irreverant post made didn't address any of the content but rather was a personal attack.

Afterall ...... it's the loonie way.

It's impossible for loonies to debate a point without swearing or name calling.
(cue here: Luke claiming not to be a liberal)

Anyone who studies the history of ideas should notice how much more often people on the political left, more so than others, denigrate and demonize those who disagree with them -- instead of answering their arguments.
Thomas Sowell

A least he didn't say "American Thinker..."

 

[Disgustipated]

Actual conclusion:
A pantload.

No businessperson has ever refused to invest in business that is profitable because they must pay tax on those profits. In fact, historically our economy showed much better growth when the top end tax rates were MUCH higher than the historical lows they are at today.

If your fictitious piemaker did raise his prices then another piemaker will take his business and be happy with the profits made.

Isn't that the way the free market is supposed to work?

It's because these idiots have never been in business and/or have never run a successful business.

 

[MeeMie]

PS - I propose using some type of symbol to note when they use their typical debate tactics. I'm open to suggestions.

How about this one?

http://forum.literotica.com/attachment.php?attachmentid=1053485&d=1295130796


seems fitting.

 

[4est_4est_Gump]

It's because these idiots have never been in business and/or have never run a successful business.

I have so.

Construction
Computer Consulting
Martial Arts School Chain

The first taught me how not to run a business and what happens when government becomes your partner.

The second two were successful and proof that I learned from the fist go-around.

Do you have anything at all other than ad hominem because we all know for a fact that U_D has not owned a business...

 

[miles]

How about this one?

http://forum.literotica.com/attachment.php?attachmentid=1053485&d=1295130796


seems fitting.

Dead on.

 

[4est_4est_Gump]

How about this one?

http://forum.literotica.com/attachment.php?attachmentid=1053485&d=1295130796


seems fitting.

Not serious enough and a little too large...

How about ♨?

 

[miles]

A few more Loonie Lib Debate Tactics:

It’s okay to put words in someone else’s mouth. "Are you saying you enjoy torturing kittens and puppies?" (I experienced this twice yesterday)

Accuse or imply a conservative poster is gay This is a favorite tactic of male lit libs.

 

[miles]

Not serious enough and a little too large...

How about ♨?

Jackass is more fitting.

 

[4est_4est_Gump]

Then use Francis...






I'm sticking with pie...

♨

 

[Disgustipated]

I have so.

Construction
Computer Consulting
Martial Arts School Chain

The first taught me how not to run a business and what happens when government becomes your partner.

The second two were successful and proof that I learned from the fist go-around.

Do you have anything at all other than ad hominem because we all know for a fact that U_D has not owned a business...

Dead on.

ad hominem

Not serious enough and a little too large...

How about ♨?

ad hominem

Jackass is more fitting.

ad hominem

See how that works, A_J? And miles' BFF, Koala, uses gay slurs all the fucking time as a response to Liberal posters. You guys really suck at this.

 

[miles]

More tactics:

Always reframe the other side’s argument into something you can actually debate against.

Another common tactic loonies employ when they clearly don't understand the discussion. Similar to deflecting and/or changing the subject.

 

[4est_4est_Gump]

http://horsefame.tripod.com/img/5franc.jpg





♨

 

[miles]

If someone from the left gets in trouble, they dismiss it as old news or irrelevant