Sin taxes

I've often heard that proponents for higher taxes on smoking and alcohol say that it deters smoking and drinking.

If that is true, do higher taxes in general deter working?

Originally posted by whodey
I've often heard that proponents for higher taxes on smoking and alcohol say that it deters smoking and drinking.

If that is true, do higher taxes in general deter working?

Yes.

Originally posted by normbenign
Yes.

So both "work"?

Originally posted by whodey
I've often heard that proponents for higher taxes on smoking and alcohol say that it deters smoking and drinking.

If that is true, do higher taxes in general deter working?

Don't look too directly at the hypocrisy of sin taxes whodey you're going to vaporize your corneas with the blinding glare. Control freaks and state worshippers avert their gaze and pretend the contradiction doesn't exist.

You'll get nothing from them on this topic, it's just too obvious, place it right before them and they'll pretend it isn't there.

A better question might be; are they just lying or do they really believe it?

Are they stupid or plain evil?

Aus is looking at hiking the sin tax on luxury cars, after all being wealthy and/or enjoying the engineering and technology that goes into a high end car is obviously something people should be dissuaded from. Let them drive Trabants.

Originally posted by whodey
I've often heard that proponents for higher taxes on smoking and alcohol say that it deters smoking and drinking.

If that is true, do higher taxes in general deter working?

Sin (addiction) industries love sin taxes because governments become dependent on them. "Yes, tax me at ten cents a pack, then why reduce our shared dependence on income?"

Lotteries, anyone? Alcohol? Gasoline? Anything with a big excise tax?

Sorry, it's off topic from your usual rant.

Originally posted by whodey
I've often heard that proponents for higher taxes on smoking and alcohol say that it deters smoking and drinking.

If that is true, do higher taxes in general deter working?

Depends on what is being taxed.

Originally posted by whodey
I've often heard that proponents for higher taxes on smoking and alcohol say that it deters smoking and drinking.

If that is true, do higher taxes in general deter working?

A higher tax on income, does not result in you keeping more money if you don't work. Higher sales taxes similarly do not result in more retained income if you don't work. So I am not sure where you think the motivation to stop working is coming from.
You might be able to argue that higher taxes encourage tax evasion.

Originally posted by twhitehead
A higher tax on income, does not result in you keeping more money if you don't work. Higher sales taxes similarly do not result in more retained income if you don't work. So I am not sure where you think the motivation to stop working is coming from.
You might be able to argue that higher taxes encourage tax evasion.

Of course it is a factor.

A person looks for work, they consider what they're going to end up with in their hand after taking into account how many hours are going to be occupied doing that work, how much it cost to get to work (in time and money) then they decide whether or not it's worth their effort.

They draw a line in the sand, on one side they say "Yes I will be better off doing this job, I will take it." on the other side of the line they say "No, not enough in it for me."

Along comes the state bureaurat twiddling the tax dial, an artificial cost, for every 1% they add to the tax the line moves and a bunch more people decide the job is not worth their effort, reduce the tax and a few more people decide yes it is worth their effort.

Hiking the tax for people doing good things is no different from hiking the tax for people for doing bad things. It's a disincentive. You're one of those people with their hands held up to each side of their face refusing to look at the damage being done by taxing good things.

Originally posted by whodey
I've often heard that proponents for higher taxes on smoking and alcohol say that it deters smoking and drinking.

If that is true, do higher taxes in general deter working?

2 different things.

Originally posted by Zahlanzi
2 different things.

How so?

According to the left, smoking and drinking is a "sin", and as we all know, getting rich is a "sin" as well.

So how are they different?

Originally posted by whodey
How so?

According to the left, smoking and drinking is a "sin", and as we all know, getting rich is a "sin" as well.

So how are they different?

You decrease what you tax and increase what you subsidize.

Taxing people who make money and subsidizing those who do not work is quite the double wammy.

Originally posted by whodey
I've often heard that proponents for higher taxes on smoking and alcohol say that it deters smoking and drinking.

If that is true, do higher taxes in general deter working?

That depends on the relative income and substitution effects.

Originally posted by no1marauder
That depends on the relative income and substitution effects.

Nice point, the since tax only controls the poor who do not break the law.

Originally posted by Eladar
Nice point, the since tax only controls the poor who do not break the law.

Can you translate this sentence to English?

Originally posted by whodey
I've often heard that proponents for higher taxes on smoking and alcohol say that it deters smoking and drinking.

If that is true, do higher taxes in general deter working?

Taxes decrease the benefit of certain actions and as a result people will often choose substitutes. The government can encourage people to work less or smoke less.