Originally Posted by Vince77
You forgot the part where most economists would have us abolish all income tax breaks (mortgage, student loan interest, investment tax deferments), oh and set the corporate tax rate to ZERO...
Good economics is nothing like good democracy. Idealized good economics is more than happy to let any major industry die no matter the human consequences. I love my Planet Money podcast, but even they agree their ideas are whack in the real world.
Having said that, do what you all want. Everyone here is right in their own eyes. My preferences have changed as I see local shops shrink to support the unending wave of 16 year olds running buggies and TRex 450's... Makes sense for them; have you seen the size of a Great Planes ARF box lately?
i disagree on the part about economists wanting to abolish tax breaks and let corporate rates go to zero. economics would typically deal with private investment through the interest rate at which companies borrow money. tax focus in economics is typically on consumers. allowing them more tax breaks increases their disposable income thereby increasing the likelihood of increased consumption spending.
however, as you said, preference is what matters. whatever and wherever people want to buy makes the market and they decide what benefit they get from making that purchase. one cannot say it is uneconomic that people want to buy at an LHS rather than from any other source.