Hungary Jack wrote:I think it's great that the term "deleveraging" has become part of our vernacular.
The U.S. will grow marginally in 2012, forecasts Goldman's Chief Economist Jan Hatzius, narrowly avoiding a recession as the private sector continues to deleverage. Europe however, is already mired in recession, Hatzius says, and will need to recapitalize its banks and significantly shore up its safety net if it want to fix its sovereign debt problems and avoid risk of contagion. [U.S. Economy, Global & FX] 2 Comments http://seekingalpha.com/currents/all
Today - Friday, October 14, 2011
The Dow rallied over 1000 points in two weeks and most experts thought it would go right back down but it doesn't seem to want to, despite very mixed earnings reports, poor business outlook (very slow growth forecast at best) and Europe needing magic tricks to keep afloat. Solar stocks are looking stronger, finally- GE announced it is financing projects- the stocks were beaten to death and now they are cheap enough for the big boys to buy in.
slide_into_first wrote:The Dow rallied over 1000 points in two weeks and most experts thought it would go right back down but it doesn't seem to want to, despite very mixed earnings reports, poor business outlook (very slow growth forecast at best) and Europe needing magic tricks to keep afloat. Solar stocks are looking stronger, finally- GE announced it is financing projects- the stocks were beaten to death and now they are cheap enough for the big boys to buy in.
You're trying to mold this board into your best of both worlds forum utopia, aren't you?
Either Al Sharpton is dumb, or I am (probably me).
He showed a graph in which corporations pay 12 percent or so of federal taxes. Individuals pay something like 45 percent. Payroll taxes make up something like 35 percent. He adds the 35 and the 45 and says that individuals are paying something like 80 percent of taxes. This is where I'm confused. Don't corporations and other businesses cover half of the payroll tax?
Employers cut checks for half of payroll tax, but economically speaking, 100% is paid by employees. Employers offer less take home pay because of the tax cost. A similar argument applies to the corporate income tax. There, the question is whether the burden is own owners or customers. My understanding is that most falls on owners in the form of reduced profit.
In all of the companies I've ever worked with, I've never seen one that takes payroll taxes into account when deciding on rate of pay. But it does go on the P&L which creates the bottom line that goes into determining whether you are bringing in enough income or not, or paying too much expenses or not. That's what the companies I'm familiar with look at.
Our GDP is now officially over where it was when the Great Recession began. All that wealth created will surely start trickling down to the great masses of unemployed and underemployed/uninsured any minute now! Laissez les bons temps rouler!
heyzeus wrote:Our GDP is now officially over where it was when the Great Recession began. All that wealth created will surely start trickling down to the great masses of unemployed and underemployed/uninsured any minute now! Laissez les bons temps rouler!
