What happens when you raise the minimum wage in a down economy?
www.nytimes.com
Tag: Economics
Candy from Mexico, Sugar from Minnesota
Candy maker, Kirk Vashaw, of Spangler Candy Company, the maker of Dum Dums lollipops states that he could pay no taxes (zero tax rate!) and have no regulations and would still not be able to compete with foreign producers of candy because of the Farm Bill’s price supports for sugar. This price support costs the company $15,000 per day. Hear Zoe Chace’s report for Planet Money. Read the Farm Bill.
Netflixed
The author, Gina Keating, as quoted by NPR’s Steve Inskeep:
“This is a much bigger bet. It’s a lot more expensive; it is going to hit their bottom line in terms of cost,” she says, “and the objective here is to sign up subscribers — that’s all it is. It’s to bring people in the door, get them to see House of Cards, and then look around and see what else there is, and stick around.”‘
Inskeep went on to ask her if Netflix, with their 15 years of data concerning subscribers, knew that there were potential subscribers that could be reached by the business model of offering an original series, all at one time. Keating confirmed this.
She’s correct. The first thing I thought when I heard this interview was, maybe it’s time to add streaming to my Netflix subscription. I’ve been Netflixed.
Don’t forget your credit union
Credit unions have stepped up their lending. In Austin and across the country, many of these cooperatives have posted record lending growth in recent years and are pushing for the ability to do more. Meanwhile, forthcoming crowdfunding rules could open up a new, multibillion-dollar pipeline between small businesses and the investing public at large.
Read more at Statesman.com
What is my total tax bill?
The American Institute of CPA’s has created a calculator that gives an idea of the total taxes, federal, state, and local, that we pay. TotalTaxInsights.org is brought to you by the American Institute of CPAs, a longtime advocate for sound tax policy, tax simplification and taxpayer education
Pedernales Brewing makes waves in local craft beer market – Austin Business Journal
Note his fund raising model.
Pedernales Brewing makes waves in local craft beer market – Austin Business Journal.
Wal-Mart Pushes to Open Smaller Stores
If Wal-Mart includes fresh produce and deli/food to go sections like Tesco in the UK, they will have a winning model. The area around the University of Texas could use a shop like this. The only grocery store available by foot in the area is a small, expensive shop opened by The Co-op. Even Wheatsville is too far to go if you live in the apartments west of Guadalupe. HEB is at Hancock Center, a couple of miles away.
Walgreens should convert their stores into Wal-Greens, add fresh fruit and vegetables and healthy take out options. That company already has great real estate in many neighborhoods. Here’s an article about the food oasis stores that Walgreens has opened.
The Accountant Who Changed The World
We’ve been using T-accounts for a long time!
The First Middle Class Tax Increase
The temporary decrease in the employee portion of the Social Security Tax is set to expire December 31, 2012. Neither party seems inclined to extend it. Since the Social Security Tax wage base is $110,00, employees earning over $110,000 do not pay this tax. This indicates that this rise in tax rates will only affect the lower and middle class.
Toppling Off the Fiscal Cliff: Whose Taxes Rise and How Much?.
Submerged Government Assistance
Suzanne Mettler and John Sides write in their NY Times article that 96% of Americans have relied on government assistance. This includes the deduction for mortgage interest and tax free employer paid health insurance. They call these submerged government social policies. In my opinion, these are the two most likely tax benefits that we will lose in order to balance the federal budget. They also note that ideology determines whether we label government policies as used by producers or moochers.