Im not saying that we would have a tax revolt because the taxes are to high or to low. Im saying that if people had to pay a lump sum no matter how low the taxes , they would still dislike the idea of pay that amount. In other words im saying it would be more of a psychological responce. But i dont know i could be wrong, im no psy expert.
You don't need to be a psy expert. All you need is everyday experience in real life situations to understand NO ONE likes to pay a lump sum for ANYTHING. That isn't a tax specific circumstance.
In almost any situation the average person is naturally unwilling or simply unable to pay a lump sum bill. Isn't that the whole basis for paying for things over time?
People have their home insurance and taxes impounded because it saves them the trouble, discipline and probably bill shock of paying that in a lump sum too.
If for example, a person never knew what it was like to write a check for their rent but had it automatically deducted from their pay...I'm sure paying rent for the first time in lump sum would be something they'd need to get used to as well.
Point is, people are able to see exactly what they pay per pay period when they get their earnings statement attached to their checks. And exactly what they pay per year when they file their taxes.
I think we're both suggesting people if forced to pay in lump sum once a year would have a problem with it. Where we part ways is, you think they would have a problem paying it because of the amount they now actually see. I think they would have trouble paying it because the average person wouldn't be disciplined enough to have it
to pay ultimately costing them more money.
My point here (dovetailing into my next point) is that this theory is just another belief or saying held by tax and econ intellectual types who have apparently never played the practicality of it out in their minds.
Your second explanation didnt make much sense to me to be honest. I mean you said a whole lot, but in my view it was a whole lot of meaningless word play with little foundation in actual economics. My statement still holds an underemployed productive person is still better for the economy than an unemployed unproductive person.
I mean i dont want to be disrespectful. But id like to ask if you have an educational background in economics or not. I ask becuase if you dont have an economics background, id try to explain my points a bit better becuase i dont think your understanding them.
Fair enough..and for the record I don't have a background in Econ. But sometimes that exactly the problem with those who do. Intellectuals get mired in the minutia of theory without ever spending much time examining the reality.
First, a person looking for work in their career field to maximize their earning potential
is being productive. That
is their new job. Secondly, u/e claims are based on insurance paid for by an employer for the employment of a worker. So in a normal claim circumstance the u/e claim paid to a claimant should have no impact on the g'ment aside from the paper pusher they employ to waste time processing the claims. While the claimant is still consuming, spending and recycling money into the economy.
I tried to articulate my last response in clear, concise paragraphs but if you didn't get it no need in me reiterating it this time.
But suffice it to say in practical terms it would be beyond foolish for a person to forgo a u/e claim to take a job making close to what u/e would be paying them. They would be better off focusing all of their energy on getting a job commensurate with their earning potential. Underemployment is a last resort...not something (if you have any sense) you'd do in lieu of a u/e claim.
It's better for the person and the economy that they get back to earning their potential asap as opposed to languishing in underemployment undermining their career field opportunity. Lastly an underemployed person kills two unfortunate birds with one stone. They're not focusing on earning their potential and therefore consuming accordingly if they did and there's the potential they are keeping some other person with the appropriate talent level for the lesser job from getting it.:2 cents:
There are only 2 ways ever it would make sense to accept underemployed in lieu of u/e IMO; if someone had a high earning potential and the underemployment was still significantly higher than u/e. Or a person accepts some type of internship work where they're effectively being retrained in lieu of being commensurately paid.
Now of course I wouldn't expect you'd find any of this between the pages and theories of some Econ book but these are most certainly the practical realities.