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-> If one prefers that the taxes be included in the price, then one condones th
-> practice of "hiding" taxes from the consumer. According to
my reckoning, on
-> a politician would favor this strategy. I can't imagine a consumer preferin
-> this strategy as a matter of convenience. What he is doing, in effect, is
-> making it convenient for the politicians to hide the fact that he is being
-> taxed.
Here, politicians *claim* that not including taxes in the sticker price
makes the taxes more visible to consumers. When you have to pay an
extra dollar, above the sticker price, you become painfully aware that
the dollar is going in tax.
I just got back from a trip to Alberta, where there is no provincial
sales tax, since monstrous oil revenues keep the provincial coffers
bulging. At present, the province is running a budgetary surplus of
about $2000 per inhabitant of the province, per year. You might think
that the absence of tax would make prices lower. Not so. Prices there
are substantially higher there than here in Ontario, even with the
sales tax. Even petroleum products are far more expensive. A litre of
gasoline costs about $1.10 (Canadian) there. Here in Toronto, it's only
75 cents, including all taxes! Go figure...
dow
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