Quote:
Originally Posted by Codein
I'm thinking of experimenting with a socialist-style taxation concept, where by richer players are taxed a higher percentage where as poorer players are taxed at a lower rate.
There could be bands, such as:
Band A: Highest rate. (30 percent)
Band B: Middle rate. (20 percent)
Band C: Low rate. (10 percent)
Band D: Exemption rate.
Also, I would keep a log of transactions and produce visual aids, such as graphs, using a sample of the data and make predictions.
I'm sure if the current system was researched into deep enough, looking at it from an economist point of view rather than a technical point of view, you could effectively curb inflation and deflate the economy without constant resets.
However, I'm unsure what measures you ARE already taking, so I can't say you're not looking into it deeply either way.
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the correct term is progressive tax, please don't confuse it with socialism.
Quote:
Originally Posted by MontyPython
I disagree with this idea. Socialism's way of operation discourages success and glorifies mediocrity. If you climb up the ladder only to be taxed more heavily than your fellow player who's not working as hard as you to make money, it really kills the incentive. When everyone is essentially brought down to the same level, regardless of how hard they work, it destroys the will to work/succeed. Socialism doesn't work out well in real life, and it wouldn't work in Era.
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I'm guessing you saw the word socialism and decided not to read the rest of the post.
Unless wealth is already worthless, there is always an incentive to make more money. If someone making 500,000 were taxed 20 percent, they'd have 400,000 after taxes. If someone making 1 million were taxed 25 percent, they'd have 750,000 after taxes. What was once twice has much is now 1.875 as much, which is still a considerable amount of money.
The issues you'll typically see with a progressive tax is people trying to skew the amount of money they make based on tax proportions IE, if the 20 percent scaled from 500,000 to 999,999 you'd be better off taking 999,999 instead of 1 million. This is combated by vastly reducing the tax brackets.