Wednesday, 30 July 2008

Katainen Tax Cut Proposal, What Impact?

6 comments:

HousingFinland said...

...just nothing, not even worth to write an article about it, it's just a drop in the ocean... some could call that a placebo...indeed consumer confidence will rebound nothing to do about this move, it's technical, when you reach bottom there is only one way and it is up for the moment..., this 500-800 euro/year increase is very little, and would anyway erased by fortum 10% increase or any other company that have started to pass their cost... I suppose that they don't want people to ask higher salary since it will plunge Finnish competitiveness, but would a 50 euro/month or 12 euro/week or 2 euro/day save the consumption slump? at least you got your free coffee per day unless Roberts coffee increase their price ...

And again it will be favourable for the one who earn the most, since it's about percentage and amount...

I though it won't even be worth commenting too , but I did...

Andrew said...

seems like a fair amount of money if they are also going to reduce VAT by 5% on food. That at least will enable food producers to raise their prices overnight by 5% :-)

It would be interesting to know how tax takes are going to fall as construction ends. The small surplus will dissapear no doubt.

Also interesting to find out what amount of Finlands apparantly healthy GDP figures are related to consumer type activities such as construction cars and so forth etc etc that come out of housing lending.

Andrew said...

Edit. Replace.

'Finlands apparantly healthy GDP figures' at 10:38

with

'Finnish June industry output down 3.3 pct yr/yr' at 11:31

Anonymous said...

"The municipal water network in Korpilahti in central Finland has been contaminated with diarrhoea-causing campylobacters. A boiling advisory is in force at least through Tuesday next week."

While the Tax a re going down , the infrastructure and health care system are failling all around...

-Anton

Andrew said...

Finland has a very managed way of doing business that keeps surprising me. A UK friend said that there are unusual monopolistic practices here such as for example he said that Fazer bread was for years dominating the market. Another friend said he felt anything to do with construction was like the mafia.

And my own experiences support some odd practices like estate agents and banks being in the same office and clearly being the same business.

Then there is the case of Finnish food in Tallin being up to 70% cheaper than in helsinki.

And yesterday i saw that a chemical company was engaging in "cooperation procedure talks" to get rid of 300 workers. And later that day i saw the workers were on strike!

And now again we have

"cooperation procedure talks" to get rid of 70 jobs with Siemens.

What kind of society is Finland?? I cant work it out so far!

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