Re:EU censorship machines and link tax laws are nearing the ...
by Silhouette on Sunday May 27, 2018 @09:58AM
(#17166899)
But you make that argument like there's a fixed pot of money to go around.
Well, usually there is. For example, I have a business that should be in a good position to take on its first "real" employees right now. We have the opportunity to take on more work, which would bring in more revenue, which would both boost our profits and create decent paying work for the extra staff. Surely these are all good things from a productivity and economic point of view. But we aren't doing any of that, as a direct result of the time, money and extra risk that would be involved. Obviously an employee has to generate more benefit for the business than it costs to employ them or it's not worth hiring, and that's your "fixed pot of money" in the case of employment regulations.
If a business is so marginal that it can't cope with a change in interest rates or a new regulation or tax rate then any number of other tiny events would have sunk it anyway.
That's true. For a lot of new or very small businesses, one bit of significant bad luck can sink them. Hopefully they will grow beyond that to become more established and robust to minor setbacks, but that takes time and it doesn't just happen automatically. In the meantime, every adverse change in taxes or fees or regulatory overheads really can be a serious problem.
Well, usually there is. For example, I have a business that should be in a good position to take on its first "real" employees right now. We have the opportunity to take on more work, which would bring in more revenue, which would both boost our profits and create decent paying work for the extra staff. Surely these are all good things from a productivity and economic point of view. But we aren't doing any of that, as a direct result of the time, money and extra risk that would be involved. Obviously an employee has to generate more benefit for the business than it costs to employ them or it's not worth hiring, and that's your "fixed pot of money" in the case of employment regulations.
If a business is so marginal that it can't cope with a change in interest rates or a new regulation or tax rate then any number of other tiny events would have sunk it anyway.
That's true. For a lot of new or very small businesses, one bit of significant bad luck can sink them. Hopefully they will grow beyond that to become more established and robust to minor setbacks, but that takes time and it doesn't just happen automatically. In the meantime, every adverse change in taxes or fees or regulatory overheads really can be a serious problem.