RE: Oil Economics, a (long) thought experiment

From: Rafal Smigrodzki (rms2g@virginia.edu)
Date: Tue Feb 04 2003 - 16:15:17 MST

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    Matt wrote:

    >
    > Government spending is a (very big) issue that is separate from the
    > issue of how best to raise the money to run government. Would you be
    > better or worse off if your oil heating bill increased by $200 next
    > winter AND you also got an additional $200 in your tax rebate check?
    > That is the question I am asking.

    ### For me the answer would be easy - I'll take the tax rebate, and use it
    to upgrade my furnace. Next year I would still get the tax rebate, but the
    heating bill would be no longer 200$ higher.

    Lowering taxes *and* reducing the not-contracted-for services of the state
    increases my freedom and my ability to increase my standard of living,
    except in the special cases of national defense, information provision, and
    a few other minor uses.

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

    >
    > By the by, I've known some dang good workers who relied on welfare to
    > get back on their feet from knocks beyond their control. If done
    > wisely (and I acknowledge that often it is not) I think welfare can
    > be an excellent investment in the future of the nation.

    ### Agreed. Would you be interested in reading my "poorhouse" proposal in
    the archives, and tell me what you think?

    Rafal



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