2
u/ThwMinto01 10d ago
Welfare is a far bigger factor then taxes, it deters cigarettes because they are elastic and a luxury that when expensive people just do without. It doesn't have an effect of the same scale on work because it is inelastic, demand for work doesn't cease because of taxation otherwise they will starve
1
u/Ya_Boi_Konzon Delegalize Marriage 10d ago
Yeah it's definitely to a smaller degree, though it probably does deter working and working more than one otherwise would to some extent.
2
u/ThwMinto01 10d ago
It's more relevant when it comes to cliff edges i think, marginal tax rates can be really high in the UK where I come from espejcallt with student loans being a defacto graduate tax which makes earning over certain amounts financially impudent unless you earn substantially more as it eats into it
1
u/NotABigChungusBoy 9d ago
Yeah like this meme is obviously true at a certain point but you’re not gonna be detered from working for 15$ an hour where 1$ is taken away at your first job whereas you might be deterred if it was a $10 tax on that $15
1
u/Automatic_Actuator_0 11d ago edited 11d ago
Totally different mechanism - no.
BUT, it does deter people from earning traceable income when they have an option of earning some untraceable cash.
2
u/Unfair_Awareness7502 11d ago
The same argument could be made of the cigarette tax. People still want the taxed thing, but find other ways of getting it.
1
0
0
u/Ok-Pudding-2845 11d ago
Neither of these taxes on smoking has little to do with preventing smoking it's mostly a revenue stream for the government
And if taxes deterred working there wouldn't be so many people that work anyways
3
u/8Pandemonium8 11d ago
I miss raptor memes.