Sunday, April 11, 2010

The First Shovel

There are 3 shovels that dug the whole that we have found yourself in. The first is innovation. Why do I say innovation dug the hole while others are saying it can get us out of the whole? It does because the motivation for innovation is most often too reduce costs. After all, the mantra of business is: reduce cost/ maximize profits which mean the elimination of manual labor. The reduction of manual labor means less pensions, less costly medical care, but also less taxes which the laboring classes contributed to the operation of the government.

1 comment:

  1. Well then, why not simply tax the innovations? When sales moved from retail shops to online stores, thereby eliminating salespeople and inventory maintenance, New York state accommodated for the tax loss by taxing the online sales within its stream of commerce. Is the suggestion that innovations in markets require innovation in taxation?

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