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July 16, 2009 at 6:53 PM in reply to: OT- ‘Since when does our great free-market country punish success’… #432159July 16, 2009 at 6:53 PM in reply to: OT- ‘Since when does our great free-market country punish success’… #432457
EconProf
ParticipantThe record on tax cuts and their stimulative effect on the economy is not hard to find: goggle Reagan Tax Cuts or Kennedy Tax Cuts Revenue Effects, and you will find a variety of studies, articles, statistics, etc.
The clear message: total government revenues collected go UP in the years following the tax cut as the economy expands and people earn more and pay more in our progressive tax rate structure. For this to work, the tax rates have to first be high enough to discourage work, investment, risk-taking, etc. Kennedy cut marginal rates from a wartime-inspired 90% to 70% in the early 1960s and investment and the economy took off. Revenues increased from $94 billion to $153 billion from 1961 to 1968 (up 33% after inflation).
The early 1980s Reagan tax cut, once fully in effect in January of 1983 stimulated investment, hiring, and the economy to increase revenues by 54% by 1989 (28% after inflation).
With top federal rates now around 40%, there is less room for the stimulative effect to outweigh the effect of lower absolute rates, so there is some debate as to whether rate cuts would be revenue neutral or even decrease total revenues. But as to whether different tax rates and tax types affect behavior, that argument has long been settled.July 16, 2009 at 6:53 PM in reply to: OT- ‘Since when does our great free-market country punish success’… #432528EconProf
ParticipantThe record on tax cuts and their stimulative effect on the economy is not hard to find: goggle Reagan Tax Cuts or Kennedy Tax Cuts Revenue Effects, and you will find a variety of studies, articles, statistics, etc.
The clear message: total government revenues collected go UP in the years following the tax cut as the economy expands and people earn more and pay more in our progressive tax rate structure. For this to work, the tax rates have to first be high enough to discourage work, investment, risk-taking, etc. Kennedy cut marginal rates from a wartime-inspired 90% to 70% in the early 1960s and investment and the economy took off. Revenues increased from $94 billion to $153 billion from 1961 to 1968 (up 33% after inflation).
The early 1980s Reagan tax cut, once fully in effect in January of 1983 stimulated investment, hiring, and the economy to increase revenues by 54% by 1989 (28% after inflation).
With top federal rates now around 40%, there is less room for the stimulative effect to outweigh the effect of lower absolute rates, so there is some debate as to whether rate cuts would be revenue neutral or even decrease total revenues. But as to whether different tax rates and tax types affect behavior, that argument has long been settled.July 16, 2009 at 6:53 PM in reply to: OT- ‘Since when does our great free-market country punish success’… #432692EconProf
ParticipantThe record on tax cuts and their stimulative effect on the economy is not hard to find: goggle Reagan Tax Cuts or Kennedy Tax Cuts Revenue Effects, and you will find a variety of studies, articles, statistics, etc.
The clear message: total government revenues collected go UP in the years following the tax cut as the economy expands and people earn more and pay more in our progressive tax rate structure. For this to work, the tax rates have to first be high enough to discourage work, investment, risk-taking, etc. Kennedy cut marginal rates from a wartime-inspired 90% to 70% in the early 1960s and investment and the economy took off. Revenues increased from $94 billion to $153 billion from 1961 to 1968 (up 33% after inflation).
The early 1980s Reagan tax cut, once fully in effect in January of 1983 stimulated investment, hiring, and the economy to increase revenues by 54% by 1989 (28% after inflation).
With top federal rates now around 40%, there is less room for the stimulative effect to outweigh the effect of lower absolute rates, so there is some debate as to whether rate cuts would be revenue neutral or even decrease total revenues. But as to whether different tax rates and tax types affect behavior, that argument has long been settled.EconProf
ParticipantBack to the original subject of this thread, condo living close to neighbors:
Whether you will live next to angels or devils in your beach area condo is absolutely crucial to whether you will be happy there or not. So…go and meet them. Put on your happy face, knock on their door, tell them you are considering the next door unit, and ask them questions about the complex, the neighborhood, dogs, the HOA, parking, party problems, vacation rentals, etc. You will get far more useful information than from your broker. Of course, all the time you are carefully evaluating THEM, and gaining valuable information about your likely future neighbors.EconProf
ParticipantBack to the original subject of this thread, condo living close to neighbors:
Whether you will live next to angels or devils in your beach area condo is absolutely crucial to whether you will be happy there or not. So…go and meet them. Put on your happy face, knock on their door, tell them you are considering the next door unit, and ask them questions about the complex, the neighborhood, dogs, the HOA, parking, party problems, vacation rentals, etc. You will get far more useful information than from your broker. Of course, all the time you are carefully evaluating THEM, and gaining valuable information about your likely future neighbors.EconProf
ParticipantBack to the original subject of this thread, condo living close to neighbors:
Whether you will live next to angels or devils in your beach area condo is absolutely crucial to whether you will be happy there or not. So…go and meet them. Put on your happy face, knock on their door, tell them you are considering the next door unit, and ask them questions about the complex, the neighborhood, dogs, the HOA, parking, party problems, vacation rentals, etc. You will get far more useful information than from your broker. Of course, all the time you are carefully evaluating THEM, and gaining valuable information about your likely future neighbors.EconProf
ParticipantBack to the original subject of this thread, condo living close to neighbors:
Whether you will live next to angels or devils in your beach area condo is absolutely crucial to whether you will be happy there or not. So…go and meet them. Put on your happy face, knock on their door, tell them you are considering the next door unit, and ask them questions about the complex, the neighborhood, dogs, the HOA, parking, party problems, vacation rentals, etc. You will get far more useful information than from your broker. Of course, all the time you are carefully evaluating THEM, and gaining valuable information about your likely future neighbors.EconProf
ParticipantBack to the original subject of this thread, condo living close to neighbors:
Whether you will live next to angels or devils in your beach area condo is absolutely crucial to whether you will be happy there or not. So…go and meet them. Put on your happy face, knock on their door, tell them you are considering the next door unit, and ask them questions about the complex, the neighborhood, dogs, the HOA, parking, party problems, vacation rentals, etc. You will get far more useful information than from your broker. Of course, all the time you are carefully evaluating THEM, and gaining valuable information about your likely future neighbors.EconProf
ParticipantRen, you are quite right to plug in generous allowances for fixup, maintenance, replacement of major systems like roofs, W/H, carpets, etc. The biggest mistake of beginning landlords is to underestimate these expenses, along with vacancy downtime, in projecting future whether a property will run a positive or negative cash flow.
EconProf
ParticipantRen, you are quite right to plug in generous allowances for fixup, maintenance, replacement of major systems like roofs, W/H, carpets, etc. The biggest mistake of beginning landlords is to underestimate these expenses, along with vacancy downtime, in projecting future whether a property will run a positive or negative cash flow.
EconProf
ParticipantRen, you are quite right to plug in generous allowances for fixup, maintenance, replacement of major systems like roofs, W/H, carpets, etc. The biggest mistake of beginning landlords is to underestimate these expenses, along with vacancy downtime, in projecting future whether a property will run a positive or negative cash flow.
EconProf
ParticipantRen, you are quite right to plug in generous allowances for fixup, maintenance, replacement of major systems like roofs, W/H, carpets, etc. The biggest mistake of beginning landlords is to underestimate these expenses, along with vacancy downtime, in projecting future whether a property will run a positive or negative cash flow.
EconProf
ParticipantRen, you are quite right to plug in generous allowances for fixup, maintenance, replacement of major systems like roofs, W/H, carpets, etc. The biggest mistake of beginning landlords is to underestimate these expenses, along with vacancy downtime, in projecting future whether a property will run a positive or negative cash flow.
EconProf
ParticipantI have two appeals pending.
What’s important is the number you received upon filing your appeal. Call or go to the Assessor’s Office at the county admin. building to get a status update.
They are sooooo swamped, which may work in your favor. They have (I believe) two years in which to grant you an answer, a hearing, or simply cave and give you the value you asked for. Here’s betting a whole bunch of people will get timed out and simply get the value they demanded.
In one Florida jusisdiction with plummeting values, the time expired for the county to respond and they had to grant all the appeals by law. I think a similar situation will prevail here.
Homeowners, if you bought in the last few years, you should be documenting your current value and appealing your assessment. The potential savings are in the thousands. Get comps from actual sales that occurred 3 months before or after Jan 1, 2009. Other dates will not be considered relevant by the Assessor’s Office. -
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