What is the PNM's plan for the economy?

[De Dragon]

Does anyone have a link to Dr. Terrence Farrell's recent article?

Which one?

[Numb3r4]

^^ The most recent article where the unions called for his apology.

Thanks in advance.

[Numb3r4]

From what I gather the IMF is already here.....so I guess we know the PNM plan for the economy.....call the IMF.

Or so I was told could someone confirm if the IMF is actually here?
Unlike what Imbert said the IMF does not consult.....

[De Dragon]

^^ The most recent article where the unions called for his apology.

Thanks in advance.

Not the newspaper article, but what FITUN said in response:
http://www.google.tt/url?sa=t&rct=j&q=& ... DFFk0vDOGw

[joker]

The turmoil this country in.... could see a 1990 again..

[S_2NR]

The turmoil this country in.... could see a 1990 again..

I admit things are bad. But 'turmoil' is an exaggeration

[eliteauto]

^^ The most recent article where the unions called for his apology.

Thanks in advance.

it was a speech given to 2 Rotary Clubs who invited him to speak on the economy ( The context that some can't understand) so what you'll get is news clips from various media.
http://news.power102fm.com/economist-sa ... stop-34861

http://ctntworld.com/cnews3/index.php?o ... Itemid=707

http://www.newsday.co.tt/business/0,226819.html

OIL AND gas prices will not rebound in the short term. As such, TT will have to bring its expenditure down to match income and face structural adjustments, advised chairman of the Economic Development Advisory Board (EDAB) Dr Terrence Farrell.

At a joint luncheon on Tuesday by the Rotary Clubs of Maraval and Port-of-Spain at Goodwill Industries Ltd, Port- of-Spain, Farrell said the Saudis who pushed down the price of oil and gas will keep them down, “until they have driven the shale producers completely out of the market, because they can withstand it.” Iran, which has now re-entered the market, he said, was ramping up its production from 2.8 million barrels a day to 3.2 and 3.4 million barrels a day. “So, understand something, there will be no rebound in oil and gas prices. So while the previous administration, previous prime minister and the previous minister of finance were waiting for the rebound, there is going to be no rebound,” he said.

Oil and gas prices were going to remain at a low level for some time to come, he said, and TT has to internalise where it stands. Noting the oil and gas sector accounts for 85 percent of export earnings, and that the oil price has plummeted in recent times from US$100 a barrel to US$35 a barrel, he said, “Frankly speaking, it does not matter how far down it has plummeted, we are in trouble.” He said, “Those people who are watching the price of oil every day and praying, hoping that it will rise by some miracle, that the Trinidadian God will put his hand and raise oil prices, it ain’t gonna happen.” The problem, he said, was compounded by falling production. Oil production in 1978 was 228,000 barrels a day and now it was down to 78,000 barrels a day, and falling, while gas production was down from four bcf (billion cubic feet) to 3.8 bcf.

With a sharp decline in income, he said, TT has the option to either use up the savings to maintain expenditure or bring expenditure down to maintain income.

TT was not in a recession, he said, but was undergoing a period of structural adjustment.

“Recession,” he said, refers to a slowing, and maybe contraction, of the growth rate of the economy due to falling demand. That may last for about six months to about two years.

The economy is either self-corrected or stimulated to come out of that situation. “In the circumstances we are facing,” he said, “you cannot stimulate yourself out of this situation.” Noting the EDAB was tasked to work on the diversification of the economy as part of the adjustment process, Farrell said diversification was necessary, but it could only be achieved through a transformation of the mind. He said it also requires soft and hard infrastructure, and higher productivity from society. The population has not benefitted from the waste of billions of taxpayers’ dollars in hard infrastructure, he said, except for “architects, engineers, contractors, workers, politicians, and people in the Panama Papers.” Billions of dollars in investments, he said, were spent in unfinished or finished projects. They include a virtually empty Tamana Intech Park, an unopened Couva Children’s Hospital built with Chinese funding that has to be repaid, unoccupied Government Campus Plaza in Port-of-Spain, an unfinished Tarouba Stadium, Caroni Racing Complex which was stopped in the 1970s after millions of dollars were spent, and the newly- built National Aquatic Centre.

The adjustment was going to be hard, contentious and challenging because the TT society was a rent-seeking society — a society of handouts, he said. When people think about handouts, they think about CEPEP, URP. However, he said, trade unions, the private sector, non-governmental organisations, and religious bodies were all seeking their share.

“Everybody is saying to Government ‘gimme, gimme, gimme’” in a society that functions like “crabs in a barrel”, he said.

read and form your own opinions.



Perhaps De Dragon can show us the political parts, especially the parts that are patently pro-PNM??

Farrell made the politics a central part of his speech and that is different from Rambaran's speech? What, pray tell was the difference, contextually or content wise? Did you even listen to or bother to read Farrell's comments?

[De Dragon]

I like to gadfly the PNM bunch on this forum, but even they have to admit that the communication regarding our economic circumstances are disastrous. Bimbert says tough measures or the IMF, and then returns with said IMF. Farrell says there is no recession, Standard's and Poor's says economic recession.
I think that they underestimate Trinbagonians ability to gripe and then simmer down, so by not telling people the truth, and being consistent, they are losing credibility with the brighter more well read crowd.

[De Dragon]

^^ The most recent article where the unions called for his apology.

Thanks in advance.

it was a speech given to 2 Rotary Clubs who invited him to speak on the economy ( The context that some can't understand) so what you'll get is news clips from various media.
http://news.power102fm.com/economist-sa ... stop-34861

http://ctntworld.com/cnews3/index.php?o ... Itemid=707

http://www.newsday.co.tt/business/0,226819.html

OIL AND gas prices will not rebound in the short term. As such, TT will have to bring its expenditure down to match income and face structural adjustments, advised chairman of the Economic Development Advisory Board (EDAB) Dr Terrence Farrell.

At a joint luncheon on Tuesday by the Rotary Clubs of Maraval and Port-of-Spain at Goodwill Industries Ltd, Port- of-Spain, Farrell said the Saudis who pushed down the price of oil and gas will keep them down, “until they have driven the shale producers completely out of the market, because they can withstand it.” Iran, which has now re-entered the market, he said, was ramping up its production from 2.8 million barrels a day to 3.2 and 3.4 million barrels a day. “So, understand something, there will be no rebound in oil and gas prices. So while the previous administration, previous prime minister and the previous minister of finance were waiting for the rebound, there is going to be no rebound,” he said.

Oil and gas prices were going to remain at a low level for some time to come, he said, and TT has to internalise where it stands. Noting the oil and gas sector accounts for 85 percent of export earnings, and that the oil price has plummeted in recent times from US$100 a barrel to US$35 a barrel, he said, “Frankly speaking, it does not matter how far down it has plummeted, we are in trouble.” He said, “Those people who are watching the price of oil every day and praying, hoping that it will rise by some miracle, that the Trinidadian God will put his hand and raise oil prices, it ain’t gonna happen.” The problem, he said, was compounded by falling production. Oil production in 1978 was 228,000 barrels a day and now it was down to 78,000 barrels a day, and falling, while gas production was down from four bcf (billion cubic feet) to 3.8 bcf.

With a sharp decline in income, he said, TT has the option to either use up the savings to maintain expenditure or bring expenditure down to maintain income.

TT was not in a recession, he said, but was undergoing a period of structural adjustment.

“Recession,” he said, refers to a slowing, and maybe contraction, of the growth rate of the economy due to falling demand. That may last for about six months to about two years.

The economy is either self-corrected or stimulated to come out of that situation. “In the circumstances we are facing,” he said, “you cannot stimulate yourself out of this situation.” Noting the EDAB was tasked to work on the diversification of the economy as part of the adjustment process, Farrell said diversification was necessary, but it could only be achieved through a transformation of the mind. He said it also requires soft and hard infrastructure, and higher productivity from society. The population has not benefitted from the waste of billions of taxpayers’ dollars in hard infrastructure, he said, except for “architects, engineers, contractors, workers, politicians, and people in the Panama Papers.” Billions of dollars in investments, he said, were spent in unfinished or finished projects. They include a virtually empty Tamana Intech Park, an unopened Couva Children’s Hospital built with Chinese funding that has to be repaid, unoccupied Government Campus Plaza in Port-of-Spain, an unfinished Tarouba Stadium, Caroni Racing Complex which was stopped in the 1970s after millions of dollars were spent, and the newly- built National Aquatic Centre.

The adjustment was going to be hard, contentious and challenging because the TT society was a rent-seeking society — a society of handouts, he said. When people think about handouts, they think about CEPEP, URP. However, he said, trade unions, the private sector, non-governmental organisations, and religious bodies were all seeking their share.

“Everybody is saying to Government ‘gimme, gimme, gimme’” in a society that functions like “crabs in a barrel”, he said.

read and form your own opinions.



Perhaps De Dragon can show us the political parts, especially the parts that are patently pro-PNM??

Farrell made the politics a central part of his speech and that is different from Rambaran's speech? What, pray tell was the difference, contextually or content wise? Did you even listen to or bother to read Farrell's comments?

What pray tell are those? What part do they play in a speech about the economy. A detached professional would merely state the existing economic landscape with no politics, look at all the economic statements issued by S&P, IMF, World Bank, they are all very dry analyses with no political slant.
S&P also said that there is a recession BTW, I can't see why like his boss, he refuses to simply acknowledge it. I guess he has more experience than the S&P people who merely do this for a living

[eliteauto]

[quote="De Dragon"]I like to gadfly the PNM bunch on this forum, but even they have to admit that the communication regarding our economic circumstances are disastrous. Bimbert says tough measures or the IMF, and then returns with said IMF. Farrell says there is no recession, Standard's and Poor's says economic recession.
I think that they underestimate Trinbagonians ability to gripe and then simmer down, so by not telling people the truth, and being consistent, they are losing credibility with the brighter more well read crowd.[/quote]


translation "ah get make out posting rubbish to fulfil meh UNC maters wishes so I'll pretend it was a bait and shift the goalpost like I always try to do"

Pal you're a joke, instead of discussing the issues intelligently ( and you're not a stupid person) you pushing your political tabanca. I totally agree you're a gadfly though.

As for the unbolded part you're correct you have to understand that economists speak differently to say the same thing, most are out of touch with the human side of an equation it's just how they are. The various definitions of our circumstances are semantics that add up to the same thing whether recession, depression, structural adjustment etc the "well read crowd" will grasp what is being communicated, if they don't they're not that well read as they think they are. As for "telling the truth" many of the "well read" know the truth others don't wanna hear it because it clashes with their political biases. The Gov't is hedging because the bitter pill is so much that the Opposition would never get on the page because party > country., look at you instead of seeing the points in a post you see the poster so once that person is who you babel a PNM your job is to oppose the post. Wanna know why International agencies are saying the measures aren't enough? Because the measures proposed are so harsh that the Gov't is afraid of the political fallout and they won't get the support of the Opposition side of the population, so they water them down and still ppl beyotch. Anytime you ( De Dragon) wanna hear what the real situation and recommended solutions are, leave your party hat at home and I'd put you with the ppl making the recommendations, it'll just cost you some Stag

[eliteauto]

^^ The most recent article where the unions called for his apology.

Thanks in advance.

it was a speech given to 2 Rotary Clubs who invited him to speak on the economy ( The context that some can't understand) so what you'll get is news clips from various media.
http://news.power102fm.com/economist-sa ... stop-34861

http://ctntworld.com/cnews3/index.php?o ... Itemid=707

http://www.newsday.co.tt/business/0,226819.html

OIL AND gas prices will not rebound in the short term. As such, TT will have to bring its expenditure down to match income and face structural adjustments, advised chairman of the Economic Development Advisory Board (EDAB) Dr Terrence Farrell.

At a joint luncheon on Tuesday by the Rotary Clubs of Maraval and Port-of-Spain at Goodwill Industries Ltd, Port- of-Spain, Farrell said the Saudis who pushed down the price of oil and gas will keep them down, “until they have driven the shale producers completely out of the market, because they can withstand it.” Iran, which has now re-entered the market, he said, was ramping up its production from 2.8 million barrels a day to 3.2 and 3.4 million barrels a day. “So, understand something, there will be no rebound in oil and gas prices. So while the previous administration, previous prime minister and the previous minister of finance were waiting for the rebound, there is going to be no rebound,” he said.

Oil and gas prices were going to remain at a low level for some time to come, he said, and TT has to internalise where it stands. Noting the oil and gas sector accounts for 85 percent of export earnings, and that the oil price has plummeted in recent times from US$100 a barrel to US$35 a barrel, he said, “Frankly speaking, it does not matter how far down it has plummeted, we are in trouble.” He said, “Those people who are watching the price of oil every day and praying, hoping that it will rise by some miracle, that the Trinidadian God will put his hand and raise oil prices, it ain’t gonna happen.” The problem, he said, was compounded by falling production. Oil production in 1978 was 228,000 barrels a day and now it was down to 78,000 barrels a day, and falling, while gas production was down from four bcf (billion cubic feet) to 3.8 bcf.

With a sharp decline in income, he said, TT has the option to either use up the savings to maintain expenditure or bring expenditure down to maintain income.

TT was not in a recession, he said, but was undergoing a period of structural adjustment.

“Recession,” he said, refers to a slowing, and maybe contraction, of the growth rate of the economy due to falling demand. That may last for about six months to about two years.

The economy is either self-corrected or stimulated to come out of that situation. “In the circumstances we are facing,” he said, “you cannot stimulate yourself out of this situation.” Noting the EDAB was tasked to work on the diversification of the economy as part of the adjustment process, Farrell said diversification was necessary, but it could only be achieved through a transformation of the mind. He said it also requires soft and hard infrastructure, and higher productivity from society. The population has not benefitted from the waste of billions of taxpayers’ dollars in hard infrastructure, he said, except for “architects, engineers, contractors, workers, politicians, and people in the Panama Papers.” Billions of dollars in investments, he said, were spent in unfinished or finished projects. They include a virtually empty Tamana Intech Park, an unopened Couva Children’s Hospital built with Chinese funding that has to be repaid, unoccupied Government Campus Plaza in Port-of-Spain, an unfinished Tarouba Stadium, Caroni Racing Complex which was stopped in the 1970s after millions of dollars were spent, and the newly- built National Aquatic Centre.

The adjustment was going to be hard, contentious and challenging because the TT society was a rent-seeking society — a society of handouts, he said. When people think about handouts, they think about CEPEP, URP. However, he said, trade unions, the private sector, non-governmental organisations, and religious bodies were all seeking their share.

“Everybody is saying to Government ‘gimme, gimme, gimme’” in a society that functions like “crabs in a barrel”, he said.

read and form your own opinions.



Perhaps De Dragon can show us the political parts, especially the parts that are patently pro-PNM??

Farrell made the politics a central part of his speech and that is different from Rambaran's speech? What, pray tell was the difference, contextually or content wise? Did you even listen to or bother to read Farrell's comments?

What pray tell are those? What part do they play in a speech about the economy. A detached professional would merely state the existing economic landscape with no politics, look at all the economic statements issued by S&P, IMF, World Bank, they are all very dry analyses with no political slant.
S&P also said that there is a recession BTW, I can't see why like his boss, he refuses to simply acknowledge it. I guess he has more experience than the S&P people who merely do this for a living

What you mean what pray tell are those? So that's a political statement and not the truth? Every Gov't in T&T has in the past done exactly that when oil prices dip, how long have you been hearing about economic diversification? I've been hearing that since the early 80's , in fact if oil shot up today you'd prob see this Gov't going down the same road, in the "context" of his speech it's called giving a background but since you're PP#1 you see all criticism ( is that criticism or fact?) as being pro-PNM, you stated that politics was a central part of his speech so 2 lines in an entire presentation = central? As for your last part maybe you should get familiar with Dr Farrell's resume, dunno why allyuh feel "international advisors " are better than locals, where you think many of our economists go to work? You still trying to tread water with semantics

[sMASH]

The turmoil this country in.... could see a 1990 again..

Which party was in power at that time? And which group had belly to start it?

[sMASH]

The turmoil this country in.... could see a 1990 again..

Which party was in power at that time? And which group had belly to start it?

[Miktay]

Terry Farrell getz it. Those calling 4 diversification by gubbament decree s/take note.

Noting the EDAB was tasked to work on the diversification of the economy as part of the adjustment process, Farrell said diversification was necessary, but it could only be achieved through a transformation of the mind. He said it also requires soft and hard infrastructure, and higher productivity from society.

Sustainable diversification starts w/people.

Diversification needs an entrepreneurial mindset...not a Big Gubbament mindset.

[The_Honourable]

I like to gadfly the PNM bunch on this forum, but even they have to admit that the communication regarding our economic circumstances are disastrous. Bimbert says tough measures or the IMF, and then returns with said IMF.

Heard on Power 102 an interesting take on the IMF earlier today. Imbert is having the IMF around for more political expediency. If Imbert deals with the economy all by himself, and things get better, he would be credited for turning around the economy and praised for going to the "International Big Boys who know better" for advice.

If he deals with the economy all by himself and it gets worse, then he and the PNM would be to blame. By having the IMF and World Bank around, the blame can be spread across or shared where eventually the IMF will take the brunt of it. Then the supporters can twist and say it wasn't really the PNM fault. Kamla put we in this in the first place and we had no choice but to go to the big bad evil IMF etc etc etc.

[drchaos]

Colm impsbert is a moron ... isn't he supposed to be an engineer?

"He said the second purpose of the increased taxes was driven by the fact that larger engines burn more fuel."

There are ton's of examples of larger engine cars getting better fuel economy than smaller ones, I talking without turbos here.

[Pirate]

That should not even be a factor again as the subsidy has been removed and usually larger engine vehicles use premium so is profits them making on that!

[drchaos]

I think they concerned with foreign exchange flight as we have to purchase alot of oil with usd to make gasoline and diesel.

[sMASH]

The white man did another one, showing Puerto Rico, and how they ran up debt, with no real way to pay it off. On order to raise funds, they reduced taxes to lure foreigners in, raised local taxes, and in order to pay off their debtors, they would have to cut back on public spending,



U still have to pay back the people in the end... with interest, so why borrow at all!

[De Dragon]

[quote="De Dragon"]I like to gadfly the PNM bunch on this forum, but even they have to admit that the communication regarding our economic circumstances are disastrous. Bimbert says tough measures or the IMF, and then returns with said IMF. Farrell says there is no recession, Standard's and Poor's says economic recession.
I think that they underestimate Trinbagonians ability to gripe and then simmer down, so by not telling people the truth, and being consistent, they are losing credibility with the brighter more well read crowd.

translation "ah get make out posting rubbish to fulfil meh UNC maters wishes so I'll pretend it was a bait and shift the goalpost like I always try to do"

Pal you're a joke, instead of discussing the issues intelligently ( and you're not a stupid person) you pushing your political tabanca. I totally agree you're a gadfly though.

As for the unbolded part you're correct you have to understand that economists speak differently to say the same thing, most are out of touch with the human side of an equation it's just how they are. The various definitions of our circumstances are semantics that add up to the same thing whether recession, depression, structural adjustment etc the "well read crowd" will grasp what is being communicated, if they don't they're not that well read as they think they are. As for "telling the truth" many of the "well read" know the truth others don't wanna hear it because it clashes with their political biases. The Gov't is hedging because the bitter pill is so much that the Opposition would never get on the page because party > country., look at you instead of seeing the points in a post you see the poster so once that person is who you babel a PNM your job is to oppose the post. Wanna know why International agencies are saying the measures aren't enough? Because the measures proposed are so harsh that the Gov't is afraid of the political fallout and they won't get the support of the Opposition side of the population, so they water them down and still ppl beyotch. Anytime you ( De Dragon) wanna hear what the real situation and recommended solutions are, leave your party hat at home and I'd put you with the ppl making the recommendations, it'll just cost you some Stag[/quote]
In spite of your best attempts to look erudite, and connected to the power brokers, you're nothing but a jumped up PNM apologist. If you can seriously defend that kind of slant, whether it is two lines or ten from a supposed professional, then you will defend anything. Note how you ran full tilt into Jwala Rambaran for his speech (which I agree was unprofessional), but failed to even acknowledge that Farrell's speech contained political bias. This old boys club of PNM, and this ridiculous recycling of them by every single PNM administration in spite of decades of failed policies, or lack thereof, plainly indicate that this Government has no clue. Farrell has been in a various capacities and roles in the CB for years and what has he achieved? Only now thanks to cronyism and recycling is he, Ewart Williams and Malcolm Jones worming their way back into national life. These people in any other country wouldn't be given a parlour to manage after their disastrous track record, yet here they sit on the most economically sensitive advisory committees of energy and finance.

[De Dragon]

I like to gadfly the PNM bunch on this forum, but even they have to admit that the communication regarding our economic circumstances are disastrous. Bimbert says tough measures or the IMF, and then returns with said IMF. Farrell says there is no recession, Standard's and Poor's says economic recession.
I think that they underestimate Trinbagonians ability to gripe and then simmer down, so by not telling people the truth, and being consistent, they are losing credibility with the brighter more well read crowd.

Now Clown Bimbert says to drive smaller more fuel efficient cars, while driving an SUV, and hot on the heels of a 4.5+ V8 PM official vehicle.

[Miktay]

As for the unbolded part you're correct you have to understand that economists speak differently to say the same thing, most are out of touch with the human side of an equation it's just how they are

99% of economists are Gubbament funded apologists.

Itz the other 1% u s/pay attention 2.

[Redman]

Now Clown Bimbert says to drive smaller more fuel efficient cars, while driving an SUV, and hot on the heels of a 4.5+ V8 PM official vehicle.

Well what he actually is saying is pay more for the LUXURY of driving a larger engine vehicles.

Which in general makes sense-cuz again the point of a TAX is to gain revenue, not stop the activity.
Therefore there is a school of thought that this additional tax isnt gonna cause any big change in the volume of 'luxury' cars sold.
Cuz lets face it-any one spending 800,000 on a vehicle wants the vehicle and isnt too price sensitive.
The volumes have steadily increased regardless of the price increases over the last 10 years.
So the activity continues, and the GORTT gets more money from it.

[drchaos]

"Which in general makes sense-cuz again the point of a TAX is to gain revenue, not stop the activity."

Not really eh hoss ... Increase in taxes does slow the said activity being taxed ESPECIALLY in a recession when there is less demand due to lack of capital and when interest rates are rising. This is all counter intuitive when you try to raise income on taxes and the product you tax is falling in demand. You end up with less tax revenue and less money in the gov coffers ... effectively shooting yourself in the proverbial "scrotum"

If you want to recover money from the automotive industry ... Put VAT on gas and diesel ... don't increase the cost to buy the vehicle.

[eliteauto]

In spite of your best attempts to look erudite, and connected to the power brokers, you're nothing but a jumped up PNM apologist. If you can seriously defend that kind of slant, whether it is two lines or ten from a supposed professional, then you will defend anything. Note how you ran full tilt into Jwala Rambaran for his speech (which I agree was unprofessional), but failed to even acknowledge that Farrell's speech contained political bias. This old boys club of PNM, and this ridiculous recycling of them by every single PNM administration in spite of decades of failed policies, or lack thereof, plainly indicate that this Government has no clue. Farrell has been in a various capacities and roles in the CB for years and what has he achieved? Only now thanks to cronyism and recycling is he, Ewart Williams and Malcolm Jones worming their way back into national life. These people in any other country wouldn't be given a parlour to manage after their disastrous track record, yet here they sit on the most economically sensitive advisory committees of energy and finance.

You have a serious chip on your shoulder yes. My one line question is defined as going full tilt into Rambaran? I never even criticised Ramberan's speech I asked how the hosts felt considering the occasion. You've obviously decided to dumb yourself down for the sake of politics, I never claimed to be connected to anyone, I made you an offer, instead of "making me out" by accepting it and showing how much of a poser I am, you chose to try to insult me ( you failed) typical BS artist, it's all good until you have to put up. Still can't grasp what context is huh, damn that sucks but console yourself by labelling others, typical UNC again

[Redman]

"Which in general makes sense-cuz again the point of a TAX is to gain revenue, not stop the activity."

Not really eh hoss ... Increase in taxes does slow the said activity being taxed ESPECIALLY in a recession when there is less demand due to lack of capital and when interest rates are rising. This is all counter intuitive when you try to raise income on taxes and the product you tax is falling in demand. You end up with less tax revenue and less money in the gov coffers ... effectively shooting yourself in the proverbial "scrotum"

If you want to recover money from the automotive industry ... Put VAT on gas and diesel ... don't increase the cost to buy the vehicle.

You are applying a generally correct statement to a specific context.

I dont think that if Mr Rich-who decided to buy a Porche Cayenne is worried about
a) Money
b)Cost of the Vehicle
c) Taxes.

He not financially sensitive and therefore will likely buy it or one like it regardless of this new tax.

He eh downgrading to a Navarra cuz of the price.

The people who buying these cars WANT THE CAR, and are not sensitive to cost...


I just paid 3000 TTD for a camera system bought from Amazon-still 40% below anything comparable here.
40USD for a cable that was 1000 in the bamboo.

The new tax could be 20%....it still isnt sufficient to alter my equation in terms of cost effectiveness...

Cost effectiveness being MY priority.

The man buying the higher end vehicles dont have cost as THE main priority.

it might be flams, it might be fuh de outside woman, it might be a bribe.

So I dont think it will change anything other than the revenue capture from this segment of the car market.

[pete]

Companies can also purchase vehicles and depreciate them annually to reduce the amount of corporate taxes they pay.

A $800,000 vehicle will reduce taxable revenue by $200,000 in the first year, $150,000 in the second, $115,000 in the third etc.

For the first three years the government would lose 25% of that - $116,250 in corporate taxes. This is one way to get those taxes back up front.

[drchaos]

"Which in general makes sense-cuz again the point of a TAX is to gain revenue, not stop the activity."

Not really eh hoss ... Increase in taxes does slow the said activity being taxed ESPECIALLY in a recession when there is less demand due to lack of capital and when interest rates are rising. This is all counter intuitive when you try to raise income on taxes and the product you tax is falling in demand. You end up with less tax revenue and less money in the gov coffers ... effectively shooting yourself in the proverbial "scrotum"

If you want to recover money from the automotive industry ... Put VAT on gas and diesel ... don't increase the cost to buy the vehicle.

You are applying a generally correct statement to a specific context.

I dont think that if Mr Rich-who decided to buy a Porche Cayenne is worried about
a) Money
b)Cost of the Vehicle
c) Taxes.

He not financially sensitive and therefore will likely buy it or one like it regardless of this new tax.

He eh downgrading to a Navarra cuz of the price.

The people who buying these cars WANT THE CAR, and are not sensitive to cost...


I just paid 3000 TTD for a camera system bought from Amazon-still 40% below anything comparable here.
40USD for a cable that was 1000 in the bamboo.

The new tax could be 20%....it still isnt sufficient to alter my equation in terms of cost effectiveness...

Cost effectiveness being MY priority.

The man buying the higher end vehicles dont have cost as THE main priority.

it might be flams, it might be fuh de outside woman, it might be a bribe.

So I dont think it will change anything other than the revenue capture from this segment of the car market.

Is only poor people think that people higher up in the financial food chain does spend without caring about cost first. Cost is the most important factor when purchasing big ticket items, even to the rich.

A good example ... Why are there hardly any of the new Lexus vehilces on the road. Because Lexus vehicles in Trinidad are priced around 200k higher than the luxury BMW'S, AUDI'S and merc's they are designed to compete with.
You are falling for the nonsense that colm is feeding you.

I have an uncle who is on his second Prado and has already admitted it will probably be his last. He stuck with them because in the long term they are cheap to run and hold onto their value so financially they made sense( luxury as well to him). But with increased taxes, rising diesel prices and rising USD they no longer make sense.

Demand will fall and with it precious tax revenue that he hopes would have filled the void of our long lost petro dollars.

[Redman]

I agree.

but out of 100 people that would buy the Lux vehicle.
this additional tax will affect only a minority.

and as some time goes by-the volumes will resume.

So the Lux car industry aint going outta business

Is only poor people think that people higher up in the financial food chain does spend without caring about cost first. Cost is the most important factor when purchasing big ticket items, even to the rich.

Well I eh know if that makes sense.

we all have different priorities...and if I studying a Top of the line benze beamer or Porche....this additional tax isnt THE factor...that will cause me to down grade.

[Spitfir3]

ulyuh better hope the UK don't start putting a tax on air