Ecuador Reports December Trade Deficit, Raises Tariffs

Great they are going to add more tarriffs and taxes which will make essential items like computers and cars too expensive for the average consumer. Higher taxes equal less productivity. Since Correa hasn't had a real job in his life, no economy lesson will ever be understood by him.

Agree with Michele. It sure looks like Correa thinks like his idol FIDEL and his cousin from Venezuela. Their actions and behavior suggest that they emulate their ancestors (monkeys).

Computers were already too expensive for the average consumer, and cars are popular but still expensive for many.

Still, hard to see what sort of "threat" they pose to an open economy, as the stated reason for increasing the tariffs.

The Big M wrote:

Computers were already too expensive for the average consumer, and cars are popular but still expensive for many.
Still, hard to see what sort of "threat" they pose to an open economy, as the stated reason for increasing the tariffs.

The problem is that let's say a "computer" that costs $700.00 dollars in Miami, can cost as much as $1,400.00 for the same computer in Ecuador, because of the tariffs and taxes. Of course the average income is probably 1/40 of that of the US. So the middle class who, is scarce to begin with, and already extremely educated, comes to Miami and buys everything they need. They leave their hard earned money here, providing jobs and supporting our local economy. Many goods are not that easy to find in Ecuador and what there is, besides food, is relatively expensive. That is why in Ecuador the poor remain poor and ignorant, and the middle class leave and ultimately end up here. I see it every day.

The middle class leaves to bring their skills and money with them. Then the government turns around and says, "you see, you are poor and destitute because the evil empire wants to colonize us." Then the people say, "bravo, rewrite the constitution", and so on and so forth.

Bottom line, somebody has got to pay for taxes and tarriffs, and ultimately the poor are the most vulnerable and worst affected. Government needs to be as limited a possible. They can't manage our lives as well as we can, that includes Uncle Sam.

Yea... The poor and middle income citizens of Ecuador are really insenced to have to pay tarrifs for LUXURY cars above $40,000!

They won't be able to afford buying the LARGE SUVs and stick with 4 cylinder cars.

Hey that's not bad for the environment... Way to go Correa !

Vangelist wrote:

Yea... The poor and middle income citizens of Ecuador are really insenced to have to pay tarrifs for LUXURY cars above $40,000!
They won't be able to afford buying the LARGE SUVs and stick with 4 cylinder cars.
Hey that's not bad for the environment... Way to go Correa !

You don't know what Correa has decided to tax, because nobody does. Nobody has ANY idea what is in the"New" constitution for that matter.

None of those tedious details are ever presented to us peasants./sarcasm

Who wrote:

<quoted text>
You don't know what Correa has decided to tax, because nobody does. Nobody has ANY idea what is in the"New" constitution for that matter.
None of those tedious details are ever presented to us peasants./sarcasm

THE TARRIFS AND TAXES we are talking about HAVE been instituted into Ecuador's Revenue System by the Assembly responding to an Executive request.

These measures were urgent...They could not wait for the new constitution. In any case, particular TARRIFS and TAXES are NOT issues codified or specified in modern constitutions.

Here are some of the measures:
http://www.presidencia.gov.ec/noticias.asp...

Vangelist wrote:

<quoted text>
These measures were urgent...They could not wait for the new constitution.

Hard to see any reason they are urgent. For example, I'm not sure that anyone would have brought their death forward to beat the changes in inheritance tax...

The Big M wrote:

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Hard to see any reason they are urgent. For example, I'm not sure that anyone would have brought their death forward to beat the changes in inheritance tax...

TAXES for a STATE that needs to provide SERVICES... Especially now with 'global warming weather tragedies'.

DEATH and TAXES... I've heard something about that before.

Vangelist wrote:

<quoted text>
TAXES for a STATE that needs to provide SERVICES... Especially now with 'global warming weather tragedies'.
DEATH and TAXES... I've heard something about that before.

70% death tax, amounts to government confiscation. I still find that those tax changes from the Ecuadorian government are very general. There is no sense in taxing everyone to death if there are no jobs or money to be made. They are simply chasing productive people away.

It has the same effect of price controls, if people are going to invest and labor for something that costs more than they gain, there is no reason to do it, hence food shortages.

Heavy taxation means less jobs, and less productivity, which result in less income for "social services" and a poor economy.

Vangelist wrote:

<quoted text>
TAXES for a STATE that needs to provide SERVICES... Especially now with 'global warming weather tragedies'.
DEATH and TAXES... I've heard something about that before.

It's not saying taxes shouldn't exist, but you claimed they were urgent.

There hasn't been any specific increase in natural disasters - they've had eruptions and weather to deal with before. If it's become suddenly urgent, that can only be a sign of poor budgeting and/or controls.

Michelle wrote:

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70% death tax, amounts to government confiscation. I still find that those tax changes from the Ecuadorian government are very general.BLAH BLAH BLAH.

YOU ARE MISTAKEN... NOT 70%... Your so called 'facts' are as ERRONEOS as your rhetoric !

Inheritance above $600,000 >>> TAX >>> 35%

Inheritance below $50,000 >>> TAX >>> ZERO%

http://www.sri.gov.ec

(download the powerpoint)

SRI: Herencias, legados y donaciones (Art. 91)

Hasta el 2007 existía una tarifa única del 5% sobre el excedente de una fracción básica desgravada; la Ley estableció una tabla progresiva con una tarifa de HASTA el 35%, que en caso de herencias entre personas en el primer grado de consanguinidad se reduce a la mitad.

Michelle wrote:

<quoted text>
70% death tax, amounts to government confiscation...blah...Blah...B LAH

You ARE MISTAKEN... Your percentage figures are as ERRONEOUS as your RHETORIC !

Inheritance above $600,000... TAX... 35%

Inheritance below $50,000... TAX... ZERO%

http://www.sri.gov.ec
Click (Nuevo Presentación de la Reforma Tributaria con los ajustes solicitados a la fecha.) PowerPoint

Herencias, legados y donaciones (Art. 91)
...la Ley estableció una tabla progresiva con una tarifa de HASTA el 35%, que en caso de herencias entre personas en el primer grado de consanguinidad se reduce a la mitad.

You say that Correa has taken out these drastic measures to "help people". The best way to help people, is not by giving them little bags of sugar and flour, it is to keep the economy stable and attracting jobs and investment.

Correa's actions have done nothing but hurt the economy, and that is prior to these natural disasters.

http://www2.elcomercio.com/noticiaEC.asp...

El FMI manifestó que el Producto Interno Bruto (PIB) del país creció un 1,8 % el año pasado. Eso es menos de la mitad que en el 2006, cuando este ente auguró un 2,7% de crecimiento.

La caída se debió a la reducción de la producción petrolera por la falta de inversión pública. También a una baja de la confianza de los empresarios "por la incertidumbre sobre la nueva Constitución y sobre decisiones pendientes en asuntos políticos", según el Consejo del FMI, que no especificó a qué temas se refería.

Michelle wrote:

You say that Correa has taken out these drastic measures to "help people". The best way to help people, is not by giving them little bags of sugar and flour

"little bags of sugar and flour"... How prevalent is your lack of COMPASION.

The infrastructure collapsed with the bad weather due to DECADES of NEGLECT from CORRUPT...NeoLiberal...'greed is good'...'get LARGE loans from the FMI... do no work or shotty work on infrastructure... leave the country with the MORTGAGE and go live in MIAMI ! BUSINESS MEN and POLITICIANS.

At least now Correa can start from square 1 with HONEST COMPASSIONATE WORK in terms of INFRASTRUCTURE... His government is already cutting the graft form public institutions and is starting to prosecute some of the corrupt bank thieves like the Isaias brothers.

May God Grant Ecuador a Productive Calm After the Storm.

Ecuador has had one socialist president after another. They promise the world and steal as much as possible. The difference is that Correa wants to end the psuedo democracy. International business provide the best jobs in Ecuador and they are all leaving. Small business are almost impossible because of government beaucracy and taxes. Government jobs are full of palancas, chronyism, and nepotism. That is why government services don't work efficiently. May God forgive our envy, covetousness, and worship of false prophets.

Michelle wrote:

Ecuador has had one socialist president after another. They promise the world and steal as much as possible. The difference is that Correa wants to end the psuedo democracy. International business provide the best jobs in Ecuador and they are all leaving. Small business are almost impossible because of government beaucracy and taxes. Government jobs are full of palancas, chronyism, and nepotism. That is why government services don't work efficiently. May God forgive our envy, covetousness, and worship of false prophets.

You should TRY to follow:

"You shall not bear false witness against your neighbour" (Exodus 20:16)

IN OTHER WORDS...STOP YOUR LIES !

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