n_huffhines
What's it gonna cost?
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Since minimum wage + payroll taxes/SS contributions, etc. = more than what they pay workers in China, the answer to this question is a moot point.
You assume that the people required to do that work would do so for what they pay people in China.
That is the key flaw in your logic.
They would not, regardless of what the minimum wage was and regardless of taxes.
It is simply a fact of our nation's standard of living that we cannot compete wages-wise with what people in those countries will accept for those jobs. Its not a question of the minimum wage or taxes; it is a question of whether people are willing to do that job and still be incredibly poor compared to what they could make in any other job.
It is not the minimum wage that is the problem.
Also, I must point out that companies are willing to pay American workers more, because they are more productive. But if they are 20% more productive, and you have to pay them 30% more, than those jobs are going elsewhere.
You assume that the people required to do that work would do so for what they pay people in China.
That is the key flaw in your logic.
They would not, regardless of what the minimum wage was and regardless of taxes.
It is simply a fact of our nation's standard of living that we cannot compete wages-wise with what people in those countries will accept for those jobs. Its not a question of the minimum wage or taxes; it is a question of whether people are willing to do that job and still be incredibly poor compared to what they could make in any other job.
It is not the minimum wage that is the problem.
I do agree (to a point) with your last statement. Minimum wage rates are not causing the exodus of Ameican jobs. More so are all of the regulations and work rules and that drive up the cost of having American employees.
With the cost of health insurance, workmans comp, safety programs, overtime rules, EPA regulations ext ext, the cost of manufacturing goes through the roof.
That's what happens when you buy from a vendor within your state. If bought from another state, nobody can claim the sales tax.
Not quite true. If you import something into your state for personal use you are required to file a use tax return and pay the tax. Not paying the use/sales tax is not avoiding the tax, it is evading it.
Individuals have been getting away with this because the states haven't been able to effectively audit individuals so cost/reward isn't there.
Wait, Apple set up a corp office in Nevada to avoid California taxes? They're plain stupid, Delaware is the place to go!
http://www.nytimes.com/2009/05/30/business/30delaware.html?_r=1
5: No Tax or Duty shall be laid on Articles exported from any State.
6: No Preference shall be given by any Regulation of Commerce or Revenue to the Ports of one State over those of another: nor shall Vessels bound to, or from, one State, be obliged to enter, clear, or pay Duties in another.
Section 9
Can someone give a theory as to why this does not apply to sales tax on things bought in another state? If I buy something from Alabama and bring it to Tennessee, the seller exported it and I imported it.
Just guessing but this might be why they call it a "use tax", i.e. there is no TN sales tax on a sale in another state but if you bring the item into TN then there is a tax on its "use" proportional to its sales value.
If you buy a new car out of state they will hit you with this when you go to buy your TN tags.