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346 points Kye | 2 comments | 25 Aug 25 17:41 UTC | HN request time: 0.419s | source
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cheema33 ◴[25 Aug 25 18:13 UTC] No.45016963[source]▶
This needs to be repeated. Tariffs are a tax on ordinary citizens. Unlike regular taxes, tariffs are not progressive and therefore benefit the wealthy.

These are the sort of things the poor and middle class voted for. To make the rich, richer. And then turn around and complain that rich are getting richer and they are getting poorer.

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gosub100[dead post] ◴[25 Aug 25 18:31 UTC] No.45017227[source]▶
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paxys ◴[25 Aug 25 18:33 UTC] No.45017259[source]▶
Not all tax is the same. The left prefers progressive taxation (if you make more income you pay more tax), the right prefers regressive (if you buy or use goods or services you pay tax on them). Sales taxes and tariffs are in the latter category.
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georgeplusplus ◴[25 Aug 25 18:40 UTC] No.45017365[source]▶
It’s disingenuous to consider one’s total income when weighing the fairness of a tax like sales tax. The thought that a sales tax is somehow benefiting one group over the other is ridiculous far left extreme thinking.

You pay for a service and that service has a rate. To think that the only good kind of taxation are those that are progressive is the dumbest thing I ever heard.

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czzr ◴[25 Aug 25 20:05 UTC] No.45018349[source]▶
It’s very, very basic economics - the marginal utility of money decreases, so progressive taxation is better than regressive taxation.
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1. SpicyLemonZest ◴[25 Aug 25 20:34 UTC] No.45018656[source]▶
It's basic economics in the sense that it's an oversimplified toy model. In the real world, every country I'm aware of gets a substantial amount of its tax revenue from consumption taxes, and indeed the US's lack of VAT means it's currently much more dependent on progressive income taxes than peer countries. (https://www.oecd.org/content/dam/oecd/en/topics/policy-sub-i...)
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2. czzr ◴[25 Aug 25 23:08 UTC] No.45020276[source]▶
I responded to a comment that called progressive taxation a crazy “far left” idea - I’m not sure the second and third order details of taxation policy are really relevant here…

But ok - yes, sure, in real life it’s a mix and the mix is worth debating. Note also that consumption taxes often have exemptions/reductions to offset the most severe regressive effects.