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To: SolidSupplySide

Inflation jumped prices up 3% of the tax adjusted price of goods and services when the GST went into effect.

Inflation is not caused by taxes (fiscal policy). Inflation is wholly a monetary (policy) phenomenon. Do you know the difference?

Yes I know the difference, so lets just say the Australian price indexes based on price of goods and services rose 3% beyond what was accountable for the 10% VAT replacing the wholesale tax imposed.

http://www.abs.gov.au/ausstats/abs@.nsf/0/43742a462f6606ecca256e7d0000264a?OpenDocument


395 posted on 02/03/2005 3:58:00 PM PST by ancient_geezer (Don't reform it, Replace it!!)
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To: ancient_geezer
Yes I know the difference, so lets just say the Australian price indexes based on price of goods and services rose 3% beyond what was accountable for the 10% VAT replacing the wholesale tax imposed.

Say whatever you want. Inflation is a monetary issue, not a fiscal one. If prices rose 3%, it was due to monetary policy.

What school of thought would argue otherwise?

400 posted on 02/03/2005 4:03:36 PM PST by SolidSupplySide
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To: ancient_geezer

AG, can you find some example of a country the has a high rate NRST so we can compare it to the Australian experience with a GST.


413 posted on 02/03/2005 4:21:33 PM PST by Your Nightmare
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