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arb_trader

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  • Wall Street Breakfast: Argentina Downgrade, Amazon Smartphone, GM Investigation [View article]
    RE Discussion on VAT the last few days. Either some of you on WSB do not understand VAT, or I don’t (and I dont mean that in a bad way). Some of you seem to be confusing it with a sales tax. VAT and a sales tax are not the same thing.

    A sales tax only taxes the final point of sale. A VAT taxes anything along the supply chain that is deemed to “add value” hence the name Value Added Tax. Meaning, if I am GM and I buy steel to make cars, that increase in value from steel to car is taxed, even if I sell the car abroad. If I sell the car in the US, it is taxed again (on just the added value portion).

    Likewise, if I am Firestone, and I buy rubber to make tires, its taxed. And if I sell those tires to GM, who puts them on a new car which they sell for greater value… you get the idea. Think of it like a "distributed sales tax" like instead of collecting say $5 at the final point of sale, its 1/1/1/1/1 all along the the production chain.

    These taxes add up and would be passed on to the consumer. Also, ask yourself if you were GM and a VAT went into effect, where would you want to build your cars? Maybe I am misunderstanding something, because I don’t see how this helps our problem.

    I am not saying it is better or worse than our current tax system, which is clearly broken IMO and rewards companies for moving offshore and keeping global profits offshore. Just want to get the facts straight on what it is.

    Thanks all, have a great day!
    Jun 18 10:49 AM | 2 Likes Like |Link to Comment
  • Wall Street Breakfast: Argentina Downgrade, Amazon Smartphone, GM Investigation [View article]
    If Q1 was contracting and Fed is tapering... then naturally we should be hitting new highs... wait wut?
    Jun 18 10:08 AM | 2 Likes Like |Link to Comment
  • Wall Street Breakfast: Apple Lawsuit, BP Deals, Euro Woes [View article]
    For those interested:

    Average Federal Tax Rates, by Income Group, 2009 and 2010
    (Percentage of before-tax income)
    Source: Congressional Budget Office.

    Lowest Quintile 1.5
    Second Quintile 7.2
    Middle Quintile 11.5
    Fourth Quintile 15.6
    Highest Quintile 24.0
    Top 1 Percent 29.4

    And yes that includes the (regressive) payroll tax, not just income tax.

    link
    http://1.usa.gov/1jwJXkB
    Jun 17 03:52 PM | 1 Like Like |Link to Comment
  • Wall Street Breakfast: Apple Lawsuit, BP Deals, Euro Woes [View article]
    awe.. wow, what a run though... much earned rest.


    Where is John Corzine and did he really have the Heat in 4 games straight?
    Jun 17 10:30 AM | 8 Likes Like |Link to Comment
  • Wall Street Breakfast: Apple Lawsuit, BP Deals, Euro Woes [View article]
    For those keeping score at home, this would be about the 4th or 5th time Argentina has defaulted in its history.

    Here's a tip - stop lending them money!
    Jun 17 10:27 AM | 10 Likes Like |Link to Comment
  • Wall Street Breakfast: Must-Know News [View article]
    "You may have noticed that comments from the Left are usually responses motivated by initial comments from the Right."

    I have noticed this too, and often wonder why people always take the bait? A lot of troll baiting goes on on WSB, from both sides, and I wonder if people dont know it or actually enjoy it.
    Feb 21 11:16 AM | 2 Likes Like |Link to Comment
  • Wall Street Breakfast: Must-Know News [View article]
    "The experience of living in a country where phone lines were often tapped, instilled the importance of privacy in him"

    Wow that's rich. WhatsApp has some of the most intrusive permissions I have EVER seen for an app. Seriously. And I am usually pretty lax about permissions.
    Feb 21 11:08 AM | 3 Likes Like |Link to Comment
  • Wall Street Breakfast: Must-Know News [View article]
    "millions who are now signed up who before were -- uninsurable."

    link please?

    AFAIK 2.3 million have signed up, most because they got govt subsidy or had to when their policy was cancelled, not because they were previously uninsurable.
    Feb 21 11:02 AM | 8 Likes Like |Link to Comment
  • Wall Street Breakfast: Must-Know News [View article]
    Fear not DCV you have not missed it, opening ceremonies are tonight (or at least aired tonight in US. Think they start in a few hours EST). Apparently, they have pre-opening opening events now. Which were aired last night.
    Perhaps Kerry Killinger can join Stevie and Johnny in Sochi (whats with all the ee's??)
    Feb 7 09:01 AM | 1 Like Like |Link to Comment
  • Wall Street Breakfast: Must-Know News [View article]
    What a bummer bowl - I was so looking forward to it, as were so many I think. Not because of hype but it was looking like it should have been a really good game... then it all went wrong from the first snap.

    In market news, as goes January, so goes the year? Tired cliche, correlation <> causation? Or perception > reality. Thoughts?
    Feb 3 09:18 AM | 4 Likes Like |Link to Comment
  • Wall Street Breakfast: Must-Know News [View article]
    many thanks for all the replies!
    Jan 31 04:27 PM | Likes Like |Link to Comment
  • Wall Street Breakfast: Must-Know News [View article]
    Cool. Hope your knees are holding up. I know a lot of ex ball players with bad knees. Esxpensive surgery. Anyway, the fact that its the NY Giants and NY Jets, despite being in NJ tells you the kind of standing East Rutherford has in the tri-state.

    Its not that its a bad area (thats Newark) or whatever. Its that it... its like its not a real place. Its a non-place. No one is "from there." I probably could not have told you that was the town the stadium is in, as recent as 5 years ago, and I have lived in NY my whole life. And the fact the mayor didnt get tickets is a perfect summary of the situation.
    Jan 31 02:33 PM | Likes Like |Link to Comment
  • Wall Street Breakfast: Must-Know News [View article]
    robert.b.f, completely agree! Well said on the risk premium, wish I had that way with words.
    "rates are being held below the risk premium in an attempt to drive those funds into riskier assets like equities and support mortgage origination at low rates to shore up the housing market"
    Exactly, well said. Have a great weekend!
    Jan 31 02:25 PM | Likes Like |Link to Comment
  • Wall Street Breakfast: Must-Know News [View article]
    Can someone pls summarize the objection to Keystone? Seriously asking, not looking for partisanship - just whats the deal? I thought it was the fact that it was a big *$$ pipeline and the "human footprint" it would cause, but whats this about carbon emissions? I confess its friday and I am too lazy to google it and hunt around myself, help me out?
    Jan 31 09:52 AM | 3 Likes Like |Link to Comment
  • Wall Street Breakfast: Must-Know News [View article]
    Ack how can you live in NY and say Go Eagles, aaaaahhhhhhh! You must be from Philly then, originally?

    I went to a U2 concert at Giant Stadium. I didnt buy what I felt was the nicest T shirt, specifically because it said East Rutherford on it. It ruined it for me. TBH I didnt even know they had a mayor. No one lives there. Even people from Jersey are like, "uh no I live Hoboken, Weehawken, Jersey City..."

    have a great day!
    Jan 31 09:45 AM | 1 Like Like |Link to Comment
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