Philadelphia passes a tax on soft drinks

[Cyborg Girl]

http://www.npr.org/sections/thetwo-way/ ... ax-on-soda

About freaking time IMO!

[vendic]

It's a 1.5 cent tax per ounce.

"The tax will be levied on distributors. Only time will tell how much will trickle down to consumers. But all in, it could add up to 18 cents to the cost of a 12-ounce can, $1 to the cost of a 2-liter container, and $2.16 to the cost of a 12-pack."

It could add up to 18 cents to the cost of a 12 ounce can...

wow. so adding 18 cents to a 12 ounce can could raise the price by as much as 18 cents per can?
Who would have figured. lol

[SciFiFisher]

It's a 1.5 cent tax per ounce.

"The tax will be levied on distributors. Only time will tell how much will trickle down to consumers. But all in, it could add up to 18 cents to the cost of a 12-ounce can, $1 to the cost of a 2-liter container, and $2.16 to the cost of a 12-pack."

It could add up to 18 cents to the cost of a 12 ounce can...

wow. so adding 18 cents to a 12 ounce can could raise the price by as much as 18 cents per can?
Who would have figured. lol

Yer an Engineer ain't ya.

[vendic]

Some of the things reporters write just astound me.

[geonuc]

I don't get your sarcasm. The reporter did the math for people (1.5 x 12 = 18). What's wrong with that?

[vendic]

But all in, it could add up to 18 cents to the cost of a 12-ounce can

If everyone in the supply chain doesn't lose or gain profit, it will be 18 cents per can more.
The only way to have less than 18 cents per can is if companies absorb the tax.
The minimum practically though, it will be passed on.
Or what is most likely, adding their percentage to it thus costing more than 18 cents per can.

The reporter is saying it could add up to 18 cents, the reality is, it will be a minimum of 18 cents, not a maximum.
Hence the sarcasm.

*edited for clarity*

[SciFiFisher]

But all in, it could add up to 18 cents to the cost of a 12-ounce can

If everyone in the supply chain doesn't lose or gain profit, it will be 18 cents per can more.
The only way to have less than 18 cents per can is if people absorb the tax.
The minimum practically though, it will be passed on.
Or what is most likely, adding their percentage to it thus costing more than 18 cents per can.

The reporter is saying it could add up to 18 cents, the reality is, it will be a minimum of 18 cents, not a maximum.
Hence the sarcasm.

IOW the reporter was inaccurate. And quite probably misleading because they are incorrectly assuming that the maximum cost added would be 18 cents per can. And the reason I accused Vendic of being an engineer is because he noticed that.

[vendic]

When you do crazy cost analysis regularly and come across this problem all the time, it really stands out.
e.g. The last card I designed cost $70 US on parts excluding PCB and loading, as I priced it.
It came out to $475 Australian when built.
The reason is that when the exchange rate favors the US dollar, the companies add to the component cost, the customer wears it.
When the Australian dollar is more favorable, they don't change their margins and make a little more profit, the customer wears it.
Do this cycle a few dozen times and the next thing you know the components are 5 times the price of what the exchange rate calculations fall at.
Also, the government hits the landed parts with GST, which is meant to just be passed on to the consumer.
The companies instead mark up their part with GST so they are marking up consumer cost by adding a profit to the tax.
Same things happen with shipping.
If it costs $50 per component type to ship, they tack $50 to each component type. They however ship them together not separately so the real shipping cost becomes more like $5 per type but the customer just paid $50 and the company pockets the difference.

My manufacturer recently lost a lot of work because he quoted Australian suppliers instead of US suppliers. Between us we worked out where they got their figures from because he tracked the parts cost vs the exchange rate and shipping over the last few years. Needless to say my customer flipped when the cost came out to 4 times what I estimated.

Then the distributor comes over in their new car (for this year) to find out why he lost another manufacturer.
Well shit fur brains, when I price a part at $1.70 US and you want to sell it to me in bulk (1000 off) for $11 Australian, my response is fuck you. When you do that for all the other parts as well, you just lost my business forever.

Oops, this was the good news thread, so, the good news is, we're not using that rip off supplier.
He'll close down soon like the last asshole supplier that was supplying counterfeit parts and refusing to exchange them. They sounded like a good deal to him at the time but he wanted his customer to pay the risk if his profit making scheme failed. Yes, this happened to me and I got burned for his mistakes. The guy lost all my work, my manufacturer stopped dealing with him and word got round fast. He closed his doors about a year later. A business his father built up with trust over decades gone in a year under the son's greed.

[Sigma_Orionis]

Wow Zee, that's incredible. Nevertheless, Not only this is the good news forum, it's also a thread about Philadelphia Taxing sodas though

[SciFiFisher]

Wow Zee, that's incredible. Nevertheless, Not only this is the good news forum, it's also a thread about Philadelphia Taxing sodas though

And not all of us are sure that is good news.

[vendic]

Wow Zee, that's incredible. Nevertheless, Not only this is the good news forum, it's also a thread about Philadelphia Taxing sodas though

Hold on, did you just complain that a fwis thread got derailed?

[Sigma_Orionis]

Complain? nah, just stating the obvious

[SciFi Chick]

Wow Zee, that's incredible. Nevertheless, Not only this is the good news forum, it's also a thread about Philadelphia Taxing sodas though

Hold on, did you just complain that a fwis thread got derailed?

I know. That's pretty impressive coming from the master derailer himself.

[Sigma_Orionis]

Wow Zee, that's incredible. Nevertheless, Not only this is the good news forum, it's also a thread about Philadelphia Taxing sodas though

Hold on, did you just complain that a fwis thread got derailed?

I know. That's pretty impressive coming from the master derailer himself.

Oh, I'M the master derailer huh?

[SciFiFisher]

Wow Zee, that's incredible. Nevertheless, Not only this is the good news forum, it's also a thread about Philadelphia Taxing sodas though

Hold on, did you just complain that a fwis thread got derailed?

I know. That's pretty impressive coming from the master derailer himself.

Oh, I'M the master derailer huh?

Everyone has a talent. Some people are just naturals.

[Sigma_Orionis]

Wow Zee, that's incredible. Nevertheless, Not only this is the good news forum, it's also a thread about Philadelphia Taxing sodas though

Hold on, did you just complain that a fwis thread got derailed?

I know. That's pretty impressive coming from the master derailer himself.

Oh, I'M the master derailer huh?

Everyone has a talent. Some people are just naturals.

HEY! who let Quicksdraw in?

[SciFiFisher]

Wow Zee, that's incredible. Nevertheless, Not only this is the good news forum, it's also a thread about Philadelphia Taxing sodas though

Hold on, did you just complain that a fwis thread got derailed?

I know. That's pretty impressive coming from the master derailer himself.

Oh, I'M the master derailer huh?

Everyone has a talent. Some people are just naturals.

HEY! who let Quicksdraw in?

That's Mister El Ka Bong! And you should know Baba Looie.

[Sigma_Orionis]

Wow Zee, that's incredible. Nevertheless, Not only this is the good news forum, it's also a thread about Philadelphia Taxing sodas though

Hold on, did you just complain that a fwis thread got derailed?

I know. That's pretty impressive coming from the master derailer himself.

Oh, I'M the master derailer huh?

Everyone has a talent. Some people are just naturals.

HEY! who let Quicksdraw in?

That's Mister El Ka Bong! And you should know Baba Looie.

Hey! watch it Quicksdraw!

[SciFiFisher]

That guy goes through a lot of guitars.

[Sigma_Orionis]

I guess they're cheap ones

[vendic]

Hey, can we tax stupidity?

[Swift]

Hey, can we tax stupidity?

We already do... it's called the lottery.

[vendic]

lol

You can't win it if you're not in it!