trickle down economics helps boat builders

[Gone fishing]

Let's hope they don't take away our George Bush tax cuts. Obama says if you make less than $250,000 a year you don't have to worry about a tax increase.

Does that mean that the rest of us should worry?

I kept my GW33 and I bought a big new boat with my tax cuts, if I lose my tax cut those kinds of purchases will go away; bad for workers who build luxury yachts, bad for workers who build large vacation homes and bad for workers in other luxury industries.

Trickle-down economics does work to help the middle-class.

 

[TBone]

Thats right, and the owners of those boat building businesses and home construction companies will also get hit when they break the $250,000 mark. So...

They lose the sale of the product.. less need for the workers...jobs lost.

They lose even more profit from the business due to high taxes, less money to run it, jobs cut due to the paying out higher taxes, as well as the loss of demand by people as your self that were buying with that money.

Results... people making over $250,000, less free spending money? maybe but will survive yes, Companies... loss of some sales and jobs cut, will feel the hit a little more and a little more serious on survival, but a well run company, with out the governments socialist nose in the way, will still manage,
the workers... some will lose thier jobs, others may have hours cut.
the workers familes... those who lost their job...wont be able to pay thier mortgage feed thier kids, or just continue to live thier lives they were satified with under $250,000.

So no they wont have to worry about being taxed, because with these socialists ways, they common worker can be assured that he will not be able to make the 250,000 mark..

Oh and if do you work hard and be the best at what you are doing, and by chance make a sucess out of your self.... well dont worry Obama will be thier to punish you and take you money from you....you bad person, making a profit with your capitalist mind set...how dare you!

Listen I dont make $250,000 or even close to it, probably never will, but I am an American who understands what it means to be free, and the way the goverment is going now, well boys I dont know, but I don't like it.
I think they have forgot that we the people are supposed to decide what the government does, not the government deciding what we do.

 

[Gone fishing]

Thanks for agreeing, I think we will not see a tax increase for we wealthies because there are too many people like us who contribute to both parties, both senators and everyone in between. It makes for a good sound bite to talk about helping the middle-class but congress will find a way to save our cuts that benefit the middle-class.

This new boat has been great for cruises to the islands but we really prefer our GW33 for short trips and picnic cruises.

 

[uncljohn]

Boo-whoo. You bought a BOAT with your last tax cut?!?!?!? Are you kidding me?!?!? I bought a months worth of mortgage payments or a month of child-care. Obviously you have no idea of what "middle-class" means or how "middle-class" people are being affected. And wow, trickle-down has been working terrifically for the past few years! Rich getting richer and poor getting poorer and middle-class barely hanging on.

Its really funny how you responded to Tbone by saying "Thanks for agreeing". As with many conservatives, they like those who agree and dislike those who dont. I'm sure you won't respond to me and say "Thanks for providing a slightly different perspective from an actual middle-class citizen who happens to own a decent boat."

I guess when you said "we wealthies" I should have been clued in. Get a life and get ready to pay your share of the economic burden. Sorry if you end of selling ONE of your boats or don't get to build that next vacation home.

 

[megabytes]

No comment necessary.
---------------------------

An excellent tale of how the world works.
Bar Stool Economics

Suppose that every day, ten men go out for beer and the bill for all ten comes to $100. If they paid their bill the way we pay our taxes, it would go something like this:

The first four men (the poorest) would pay nothing.
The fifth would pay $1.
The sixth would pay $3.
Th e seventh would pay $7.
The eighth would pay $12.
The ninth would pay $18.
The tenth man (the richest) would pay $59.

The ten men drank in the bar every day and seemed quite happy with the arrangement, until one day, the owner threw them a curve. 'Since you are all such good customers, he said, 'I'm going to reduce the cost of your daily beer by $20. Drinks for the ten now cost just $80.

The group still wanted to pay their bill the way we pay our taxes so the first four men were unaffected. They would still drink for free. But what about the other six men - the paying customers? How could they divide the $20 windfall so that everyone would get his 'fair share?'
They realized that $20 divided by six is $3.33. But if they subtracted that from everybody's share, then the fifth man and the sixth man would each end up being paid to drink his beer. So, the bar owner suggested that it would be fair to reduce each man's bill by roughly the same amount, and he proceeded to work out the amounts each should pay.

And so:

The fifth man, like the first four, now paid nothing (100% savings).
The sixth now paid $2 instead of $3 (33%savings).
The seventh now paid $5 instead of $7 (28%savings).
The eighth now paid $9 instead of $12 (25% savings).
The ninth now paid $14 instead of $18 (22% saving s).
The tenth now paid $49 instead of $59 (16% savings).

Each of the six was better off than before And the first four continued to drink for free. But once outside the restaurant, the men began to compare their savings.

'I only got a dollar out of the $20', declared the sixth man. He pointed to the tenth man,' but he got $10!'

'Yeah, that's right', exclaimed the fifth man. 'I only saved a dollar, too. It's unfair that he got ten times more than I!'

'That's true!!' shouted the seventh man. 'Why should he get $10 back when I got only two? The wealthy get all the breaks!'

'Wait a minute,' yelled the first four men in unison. 'We didn't get anything at all. The system exploits the poor!'

The nine men surrounded the tenth and beat him up.

The next night the tenth man didn't show up for drinks, so the nine sat down and had beers without him. But when it came time to pay the bill, they discovered something important. They didn't have enough money between all of them for even half of the bill!

And that, boys and girls , journalists and college professors, is how our tax system works. The people who pay the highest taxes get the most benefit from a tax reduction. Tax them too much, attack them for being wealthy, and they just may not show up anymore. In fact, they migh t start drinking overseas where the atmosphere is somewhat friendlier.

David R. Kamerschen, Ph.D.
Professor of Economics, University of Georgia

For those who understand, no explanation is needed.
For those who do not understand, no explanation is possible.

 

[Grog]

$250K is not that much money for a family depending on where you live. In the NE or So. Cal many homes cost over $600-900K. By the time you're done paing taxes (income and property) it's not that much. How do put such a hard number on that. And say couples working major OT to save, shame on you for working that hard.

It's sad (and scary) how one party is turning Socialist. If you want socialism, go live somewhere that already has it. How about those voting to "end the Iraq war". Good thing Obama wants a hard line for the withdrawl of our troops, he wants to invade Packistan and they're already in the region. Now they can be happy their vote started another war. We WILL LOOSE a war in the mountainous border region, we wouldn't be the first ones to loose their shirts there.


I know most of HiJack's post is BS but it hit a nerve.

 

[TBone]

Kinda sad whe someone actually lives out the American Dream and makes it, people want to punish you and make personal attacks.

Like I said before, i'm not even close to being "rich", but I can see and understand that the wealthy in this country pay MORE than fair share.

Yes it would be to bad if he had to sell one of his boats and couldnt buld his next vaca home, all the jobs that surrond those investments would not benefit. Who do you think is out there swinging the hammers build that luxury home?????? DUH!!! the working middle class!

Someone building another home makes alot of middle class people money. As well as those who will be paid to maintaining it. Heck maybe that extra landscaping account for some worker would help that person in giving him an incresed buget, were he could go out and buy a Grady White too!!!!

Some people dont get it :roll:

Wana fix a money problem, cut through all the B.S. welfare and SSI scamers, and only give it to those who need it.

You'd be surprised how many people I see everyday that are "disabled" and getting SSI :evil: But they run from the cops pretty damn good..... dont get me started on that one.

Megabytes, I like that story, im gona use that one!

 

[seasick]

It's all BS. The idea of taxing those who earn more than $250,000 is based on the fact that with an AGI of 250k or more, you are in the top 4% of wage earners. Therefore 96 out od 100 people like the idea! It's pure politics.
Look, when my garbage gets picked up, it cost the same as my neighbor. The cost of operation is not based on income, only the tax logic seems to be.
Our government spens more than it should. My neighbors spend more than they should. Neither saves what is prudent. We enjoyed the ride up but now don't want to take the blame for the repercussions of irresponsible fiscal discipline.
So, all of you who took that equity loan on your house because it was worth so much more, shame on you for falling for the sales pitch. We all have to suffer and we should all suffer the same.
The governement needs to reduce spending not cut taxes. The American people need to reduce spending and not relay on wholesale political bribery and irresponsible fiscal promisses.

 

[megabytes]

Well TBone, her is another.

FTR: I am a registered Indy and have voted different ways over the years but I am against socialism, big govt, and for free enterprise.


------------------------------------

Father/Daughter Talk

A young woman was about to finish her first year of college. Like so
many among other liberal ideals, was very much in favor of higher taxes
to support more government programs, in other words redistribution of
wealth.

She was deeply ashamed that her father was a rather staunch Republican,
a feeling she openly expressed. Based on the lectures that she had
participated in, and the occasional chat with a professor, she felt that
her father had for years harbored an evil, selfish desire to keep what
he thought should be his.

One day she was challenging her father on his opposition to higher taxes
on the rich and the need for more government programs. The
self-professed objectivity proclaimed by her professors had to be the
truth and she indicated so to her father. He responded by asking how she
was doing in school.

Taken aback, she answered rather haughtily that she had a 4.0 GPA, and
let him know that it was tough to maintain, insisting that she was
taking a very difficult course load and was constantly studying, which
left her no time to go out and party like other people she knew. She
didn't even have time for a boyfriend, and didn't really have many
college friends because she spent all her time studying.

Her father listened and then asked, 'How is your friend Audrey doing?'
She replied, 'Audrey is barely getting by. All she takes are easy
classes, she never studies, and she barely has a 2.0 GPA. She is so
popular on campus; college for her is a blast. She's always invited to
all the parties and lots of times she doesn't e even show up for classes
because she's too hung over.'

Her wise father asked his daughter, 'Why don't you go to the Dean's
office and ask him to deduct 1.0 off your GPA and give it to your friend
who only has a 2.0. That way you will both have a 3.0 GPA and certainly
that would be a fair and equal distribution of GPA.'

The daughter, visibly shocked by her! father' s suggestion, angrily
fired back, 'That's a crazy idea, and how would that be fair! I've
worked really hard for my grades! I've invested a lot of time, and a lot
of hard work! Audrey has done next to nothing toward her degree. She
played while I worked my tail off!'

The father slowly smiled, winked and said gently, 'Welcome to the
Republican party.'

If anyone has a better explanation of the difference between Republican
and Democrat I'm all ears.

 

[Tunacious D]

I thought it is our "Patriotic Duty" to pay (more) taxes...........

 

[seabob4]

Sorry, stumbled into the "rich man's" post. Thought that tax breaks were supposed to be funneled back into business owners companies? Didn't know it was to buy a new boat. We at the OEM level want to see 400 buyers, who have decent jobs, buy new $25,000 boats. That would be $10M dollars. We DON'T want to see a business owner take his tax break and buy himself a $500K yacht. You're not helping us worth a crap!!

 

[megabytes]

Economics is way more complex that someone spending $500K for their enjoyment. That purchase also generates:

o paychecks for boat builder employees, sales dealership, etc.
o sales and property taxes for various communities
o future sales of related goods and services

Spending money is good for the US ecomomy unless you are over-leveraged with debt. My wife and I have been fortunate to have a fairly good year with some extra cash from bonuses (don't mention retirement savings :cry

Besides paying down debt we have purchased:

o new canvas for Megabytes - $3700

o a new bedroom set for our second home (the first we've had there) $3100

o an oil painting for our second home living room $3000

o a HD TV for our bedroom - $1100

My point is not to suggest everyone should spend but rather that the bonus paid to me (taxes took a large chunk) has also benefitted others when we spent some of the money.

In the first case, I helped a small 4 person business to earn a living and in the third case the money was split by a small art gallery and the actual artist. We are not rich by any means but we do OK and intend to enjoy the fruits of our labor while trying to extend into retirement.

 

[Falcon2000]

Waaaaaaaaaaa Waaaaaaaaaaa

I used to enjoy the posts. After reading HiJacks I'm feeling sick!!

Isn't this forum about our love/problems with our Grady's and NOT politics?

 

[TBone]

Thanks Mega, I like that one too.

Its funny how clear it is to some, yet other dont get it.

If you think its bad now, wait till this next generation of youths, which I refer to as the "generation of entitlement", grow up(or should I say get older). So many are raised learning that the are entitled to everything beacuse they have see their parent(s) and friends parent(s) sit around all day and collect others "re-distributed wealth", free food, and housing. And if money is tight, well buckle down for a raise and pop out another kid, instant pay increase!
They have been grown in to this culture to EXPECT things, not EARN things. And they are coming with the full book of tricks. Getting older? no more school to skip? NO problem, seeing as you failed school, just goto to government and tell them you are illiterate, and BANG!!!! insant disability check!

Life must be great when every day is a Saturday! no work today, no work tomorrow.

As for the richies buying new boats, hell ya they are helping, in one way like Mega and I had earlier stated about the jobs and businesses.

And two, like I've re-stated, I am not even close to being rich, there is only five figures in my income, BUT, the rich guy who bought the 1994 Grady White Sailfish brand spanking new, at what? $130,000 plus dollars i'm guessing, created a extemely nice, one owner, used boat that I was able to purchase when he wanted a new one.

I would never been able to go out and buy one new, but because Mr. Wealthy can, he has created the oppurtunity for me. and the boat is awesome!!!!!!!!!!!

 

[megabytes]

Hey Falcon, I understand.

I was really focusing on the economic aspect and how it relates to boating but it is REALLY hard to talk economics without getting into politics.

So everyone have a good weekend and I will be back online Sunday eve.

PS: Speaking of *related* economics, I just have the routine engine service done and will soon received a bill for around $900. OUCH! :shock:

 

[seasick]

Re: Waaaaaaaaaaa Waaaaaaaaaaa

I used to enjoy the posts. After reading HiJacks I'm feeling sick!!

Isn't this forum about our love/problems with our Grady's and NOT politics?

At first I agreed with your statement but yesterday while fishing, a lot of the radio chatter was about the market! You can't get away even on the seas.

 

[TBone]

Re: Waaaaaaaaaaa Waaaaaaaaaaa

I used to enjoy the posts. After reading HiJacks I'm feeling sick!!

Isn't this forum about our love/problems with our Grady's and NOT politics?

At first I agreed with your statement but yesterday while fishing, a lot of the radio chatter was about the market! You can't get away even on the seas.

It is true, but if you turn a blind eye to what makes life go 'round.......well look at what we had to do with that alleged "bail-out". At least wool research got some funding thru that bull,.....uh,... i mean bill......

If your not paying attention to what the government is doing, they will literally pull the "wool" over your eyes!

Trust me they want people like us to "get away" from it, but we cant, if you do you will wake up one day to find America gone.....

Stay vigilant, stay strong, and fight for what you believe in, as you can see only the passive get passed on.

VOTE,.....AND VOTE YOUR HEART , NOT YOUR PARTY!

 

[seabob4]

See my above post on how "pissed-on" economics helps the boat builder.

 

[isurus22]

"Luxury Tax from 80s"

I love all of your posts. It is very true that the rich are easy targets for politicians but when they are taxed, everyone gets hurt.
For example, remember the tax in the late 80s on boats over $100k? It was the brain child of the democratic congress to get some income from those horrible rich people with money to burn...
As a result, those "rich" people decided not to buy boats and the boating industry and all of those middle class in that industry were the ones who got hurt. Many boat companies folded because of it. In the end, the economy lost way more money than was ever earned from those taxes.
I feel sorry for those in the luxury markets, like boats.

 

[Gone fishing]

Update, trickle down in action.

Update, trickle down in action. Our new-boat purchase will help a lot of people feeling the pinch from the latest turn down in the stock market. We contracted for a new 86 at the Annapolis boat show. It has better private crew quarters and advanced systems. Right now must be a good time for boats in this class because the yard has two other new contracts ahead of ours. Until the boat is ready we’ll use our 74 this winter that we keep in the Windward’s, a nice boat but it is 2 years old and lacked a number of things that we thought were important.