>>So, if I get a tax break to buy the capital needed to produce fuel cells, I'll raise my prices? Does that makes sense to you?<<
please take an econ 101 course. you are embarrassing yourself.
if you get a tax break on the capital, the guy who's giving you the capital will be able to charge you a higher price because the demand for said capital will increase due to the lower cost. increase demand, all else being equal, will increase price.
housing is the perfect example. if the property tax deduction (tax break) was removed, housing prices would marginally drop because demand for homes would decrease (more expensive) as supply increased (more expensive).
since housing is supported with tax breaks, the prices remain higher than if the deduction wasn't there as demand is higher due to the lower tax break cost.
higher education is another good example. the more the government subsidizes, the more the colleges can charge and profit.
again, take an econ 101 class.
>>I don't think you have any idea what your talking about - you're just throwing numbers out on a message board and aren't actually prepared to quantify them.<<
i know you didn't pass an econ 101 class. unless you want to prove that the teachers who received a 20% pay increase and a 50% pension increase ARE NOT providing additional services for the money.
as costs go up for a product, demand goes down, all else being equal.
>>Look I'm busting your chops<<
uh, no. the only thing being busted is your lack of economics education.
>>because because you seem so sure that housing will tank >60%,<<
as of january, home prices in some areas are already down over 50% - check real estate in the inland empire.
webpages.charter.net
businessinsider.com
the fall to 60% is about as sure a thing as one can get with interest rates now headed north.
basically, you are a few months from being wrong, if you aren't wrong already.
>>but your arguments are very very vague.<<
quite projecting. |
