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Old Oct 2, 2014, 5:44 am
  #12  
evanb
 
Join Date: Dec 2010
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Programs: UA 1K, BA Gold, LH/SN/LX Senator
Posts: 449
None emotive response:

Originally Posted by SAWorldVoyager
Govt receives X per year from taxpayer, said government will spend at least X, more than likely 2X. They will never lower taxes, or spend wisely. That is a given.
Government in South Africa has run a deficit, like almost every other country in the world. Spending is certainly not twice revenue, more like 10% higher than revenue. Governments can do this indefinitely since unlike us they don't retire or die. Over time government debt to GDP rises, and falls, but they manage to run these perpetual deficits without debt to GDP constantly rising since the denominator (GDP) grows quicker than the numerator (the debt) more often than not.

Originally Posted by SAWorldVoyager
Only certain percentage of the population (you and I online) contribute the X
An absolute fallacy! While the poor do not pay much in the way of income tax they do pay tax in the way of VAT, excise duties, fuel levies, and implicit taxes on trade. These amount to 41% of government revenue, which is more than income tax contributes. While the poor may not pay a large amount of tax in absolute terms, they pay a considerable portion of their income in taxes.

Originally Posted by SAWorldVoyager
and that percentage of population use no govt infrastructure, they pay for private schools, hospital, security, etolls etc. Essentially we get zero value.
And that percentage of the population uses plenty of government infrastructure. They use the roads, their private education receives state subsidies, they use the state funded (very generously I might add) universities, they use their private healthcare which is state subsidized through a tax rebate. The middle class actually use more state services than the poor, mostly because we actually have access to it.

While I am certainly not a fan of this government and they way they conduct their business I don't need to be part of this us and them mentality with the poor.
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