Thursday, September 07, 2006

Regulation and Taxation

Bryan Caplan suggests standardization of Regulations is another big reason why Big Business supports Federal regulation. The serious end of the matter may well be Big Business ability to write this legislation to ensure no conflict with their Business format, eclipsing both Kolko’s thesis of suppressing competition and Caplan’s standardization. Big Business likes regulations where they can tell Federal Investigators where to look for noncompliance.

Calculated Risk gives the lowdown on the Housing industry, be sure to read the links. No one actually talks of the real reason behind the Slowdown: millions of Units have been built in the last Six years, and while Housing has not outpaced Population Growth as yet, it has exceeded Homeowners who possess the capacity to buy–given the current lavish construction mode. The $200k market is saturated.

Stumbling and Mumbling takes on Jane Galt. It is informative Reading, though I have not yet read it; Doctor’s appointment in an hour. It still advance two different views on the hazards of inequality. My personal view states that it is not per se Inequality which inhibits economic growth, but the suppression of Labor’s share of the Total Income. Labor is currently suffering a double whammy–low Wage Income combined with high taxation of Labor, with Business and the Wealthy evading their fair share. This stands not as a Call for sharply Progressive taxes, simply elimination of Tax breaks which allow Business and the Wealthy to pay a lower percentage share of their Income than does Wage Labor. lgl

No comments: