Quote:
Originally Posted by UFO
The problem I see with this view is that it's TOO big-pictured, the polar opposite of the short-sighted self-centered haste. If businesses save money, you are assuming that they are going to WANT to hire more peope, or WANT to pay their existing staff higher wages. What if they don't? Then all of a sudden many of the benefits of HST to this greater good of the economy no longer exists.
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The problem with your argument, is that all you can see is Businesses making money of the customers. You forget that Businesses need to compete to survive.
Do you know how Walmart has expanded so much across the states? It's because they are able to offer low prices which takes out competition. If they can lower prices, they will because the guy next door won't be able to offer the same price. If through HST - they are able to lower prices even further, they will. I'm not going to get into an argument about big box corporations, or how Walmart underpays their employees - but they're the biggest example of how lower prices benefits the companies.