Sunday, October 11, 2009

Tax Michigan Doctors--they are rich and don't behave.

A very simple truth in economics is that you get more of any behavior that you reward and you get less of any behavior that you punish. This does not mean that each and every subject of punishment or reward changes his behavior all at once or at all, but it does mean that as these rewards and punishments are slathered upon the masses, measurable changes in behavior take place.

This is lost on many politicians who prefer to abide by their own rules that dismiss the impacts of human behavior on economic models. Believe it or not, we have a good number of politicians who operate in a vacuum completely oblivious to such notions.

In light of the fact that both Oakland University and Central Michigan University are in the process of adding medical schools to their campuses ostensibly to address the expanding shortage of doctors in our state, do you think it is wise for our cash-hungry Michigan government to tax doctors an additional 3% of gross revenues on top of all the other taxes that they pay?

Will raising taxes on doctors help Michigan in its shortage of doctors or will it hurt? Is this a wise way in which to address a doctor shortage? Is it a wise way to raise revenues?

Will it be worth it to the newly trained doctors of Michigan to stay here? Should doctors set up shop in a state that treats their practices as if they are simply blessings of privilege and not because the doctors took the time, money, and effort to succeed in such a difficult field? On the flip side, will it be worth it to the taxpayers of Michigan to support new medical schools where the trained physicians who graduate may be compelled to set up their practices elsewhere?

Is it any wonder that our state is crumbling under the direction of these bumbling idiots? (Okay, that last question was rhetorical.)

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