• 0 Posts
  • 366 Comments
Joined 1 year ago
Cake day: June 12th, 2023
  • Heresy_generator@kbin.socialtoNews@lemmy.world•*deleted by creator*
    12·
    7 months ago

    It’s a publicly traded company; no competent person would buy in at the absurdly overinflated stock price that exists now. Because a competent person would recognize that Tesla having a market cap over 50% higher than Toyota’s is completely fucked and there is no way in hell anyone could make Tesla actually worth what it’s trading at. A competent person would also recognize that Tesla’s ridiculous valuation is because of the shameless lies of hype merchant and snake oil salesman Elon Musk who, if you purchase the company from him, will no longer be around to trick sad losers into believing his laughable promises about self-driving, or robots, or AI, or whatever the hype cycle brings next.

  • Heresy_generator@kbin.socialtoTechnology@lemmy.world•Meta spent $4.3 billion on its VR division in three months, and made *checks figures* $440 million in return
    44·
    7 months ago

    You’re not really talking about higher taxes, you’re talking about reworking the corporate tax system. As things stand now higher taxes would encourage more of this sort of behavior, not less.

    Corporations only pay taxes on profits, so money spent on business activities, re-invested back into the company, paid to employees, etc. is not taxed. In this system, taxes are kind of a penalty paid for taking money out of the business; the higher taxes are the less incentivized profit-taking is.

    If your company made $100 million in profits at a 20% tax rate you get to take home $80 million as opposed to re-investing $100 million back in the company and not paying any taxes, so the incentive to re-invest isn’t very high. But if your company made $100 million in profits at a 40% tax rate now you can only take home $60 million as opposed to re-investing $100 million, which becomes a much better value proposition on re-investment.