When you overtax, instead of gaining, you loose revenue. What is overtaxing? Well, in the world of finance there is something called the "Laffer Curve". This is a principle that is accepted by almost every analyst:
When you increase taxes, you also increase revenue. However there is a point where revenue seems to slow down and then a point is reached where in fact revenue starts declining.
This point has been reached and exceeded by the Greek "Government" and it shows in the declining revenues. So, what do they do to fix it? They increase taxes some more!!!
Now, my bet is that revenues will continue declining. It is as simple as that.
So, why are they taking theses austerity measures if they are not working? Because their purpose is not to increase revenue, but to make people more susceptible to their will. It is a kind of economic terrorism. And what do they have to gain from it? Well, much. When the economy defaults, and it will with these measures, politicians and hedge fund owners are going to make a lot of money. It is the only logical conclusion I can reach.
When you increase taxes, you also increase revenue. However there is a point where revenue seems to slow down and then a point is reached where in fact revenue starts declining.
This point has been reached and exceeded by the Greek "Government" and it shows in the declining revenues. So, what do they do to fix it? They increase taxes some more!!!
Now, my bet is that revenues will continue declining. It is as simple as that.
So, why are they taking theses austerity measures if they are not working? Because their purpose is not to increase revenue, but to make people more susceptible to their will. It is a kind of economic terrorism. And what do they have to gain from it? Well, much. When the economy defaults, and it will with these measures, politicians and hedge fund owners are going to make a lot of money. It is the only logical conclusion I can reach.
0 comments:
Post a Comment