Yu Dynasty Yingdala (4338-4636)

[Wu Han]

News for 20 April 4332

The Market is a nationally-published daily economic newspaper centered in Tian'an. While the paper remains generally non-partisan, critics have observed a tendency for the paper to publish articles which generally support classically liberal economic policies and the established economic order of Indrala.

TQ Group Launches New Smartphone, Makes Large International Investment in Q2

TQ Group CEO Tang Chengbin formally launches the new TQ10 smartphone on Monday

KAIZHOU, Jiaozhi - TQ Group has long been recognized as the most ambitious young caizu in Indrala, and its recent actions are no exception.

TQ Group began the week launching their new TQ10 smartphone, which the company claims is the "fastest, most powerful smartphone in the world." Consumers have certainly been interested by the pitch, as pre-orders reached 3.9 million within 24 hours. TQ Group's push in consumer electronics has been its most robust, with the company now having an effective monopoly over consumer television screens. It is yet to be seen how the market will respond to TQ's entry into telecommunications, but all indicators appear to be promising.

TQ10 advertisement featuring YingPop star Chan Xiyun

This same week, TQ Group made headlines in Valruzia after announcing a $170 million peso investment in BÖNNING Car Factory. This investment marks the single largest capital investment for TQ Group outside of Indrala. Economic analysts have praised the "strategic" mindset of the TQ Group Board, who surely are hoping to expand the capacity of BÖNNING in an effort to cripple their caizu competitor, the FCR Group which recently unveiled their automotive subsidiary: Fanrong Motors. The TQ Group has already begun to petition local and federal government to reduce barriers to trade with Valruzia and expand opportunities for BÖNNING to lay foundation in Indrala.

OP-ED: "As Expected, Luxury Tax Decrease Leads to Explosion in Economic Activity"

By economics professor Lang Hai of Tian'an National University

Professor Lang giving a lecture to his students at Tian'an National University

Up and down, up and down — watching a yo-yo is mesmerizing if you stare at it long enough. The same holds true for gyrating luxury tax rate and the effect it has on Indrala's economic outlook. This overview is going to be a bit of a rollercoaster ride, so bear with me:

The Lotus Party lowered luxury taxes to 5% during the administration of Wu Hán to spur economic growth while balancing the budget after the reckless spending of Tony Pua's dictatorship. This was one of many factors which we understand to have contributed to the Jiaozhi Miracle: that is, the rapid transition of Jiaozhi's provincial economy from low-skill, low-wage to becoming the most innovative and fast growing regional economies of the country. Under Nationalist Chancellor Feng Xinyue, the Republican-Nationalist coalition raised luxury taxes to 20%. It should be noted that both parties lost Jiaozhi to the Lotus Party by at least 30 percentage-points. Under the successive Chancellor Xuan Shuren and his majority-Republican government, luxury taxes were hiked to an all time high of 50%. Luckily, these changes would last three years until Lotus Party Chancellor Huang Zitao would lower them to 5% once again, but much damage had already been done as Jiaozhi's economy stagnated for the first time since 4259. Under Zhang Zemin, the Republicans raised the tax again. Initially raised to 18%, the Lotus Party opposition was able to negotiate the rate down to 10%, however as Liu Zetien notes, "this still represent[ed] a 100% increase in the tax rate."

However, Zhang's legacy party, the Centrists, have struck a far different note. Perhaps a far more Lotisian note, as the party put forward bill C-101 which lowered the luxury tax rate to 5% once again. The measure passed with near unanimity, were it not for the Socialist Party. But, if we're being honest, can we expect Metzists to actually support an economically beneficial measure if it doesn't fit with their extremist messaging?

Since the tax was lowered, we've seen the largest Kaizhou Fashion Week since the 4280s and the launch of a luxury car manufacturer, among others. Just as with Chancellor Wu's reduction, it seems that there has been another explosion of economic activity in Jiaozhi and across the nation, just as academics and analysts have suggested for years. Perhaps the Centrist Party will be able to shake fears of Republican-style economic ineptitude, having achieved such a major success while in opposition.

---

Originally posted by Wu Han on 12 January 2018.