David Walliams next hopefully

How was this guy still working

This is such strange logic. No. You want the company to not break the rule, otherwise it’s not a rule. Therefore the fine should be to a point where breaking it would be so determental to their business that they do everything to not break it.

Its like after gdpr came in a lot of shady USAian companies simply geoblocked European IP addresses as they knew the potential fines were so massive

To disencentvise the behaviour you’d need to make sure that the fine was several times the profit. So what happens when the fine is larger than the company can pay? Prison time for the biggest share / ownersholders? Fining those people and companies also?

But the size of the profit will also scale with the size of the company. A small company will have less to invest so the absolute money value they’ll take in profit will be less than a huge company. A larger company with more money behind it will have a higher monetary risk threshold too, so the fine needs to reflect that.

Doing the fine by the value of the company isn’t perfect, but it is much easier to calculate than trying to determine how much they expected to make.

Did you make this comment before your edit? Because that’s literally what you said in the edit.

Edit: here’s another way of thinking about it. A corporation’s motivation to break a rule is equal to (expected_profit - fine * chance_of_getting_caught). You want that motivation to be less than the harm breaking the rule does.

Opposite to long term debt.

Long term is mortgages, loans with fixed terms.

Short term is credit cards, pay day loans, overdrafts, stuff like klana etc.

Get those cleared so that the money you earn stays as yours and you’re not paying interest on debt. Once that’s done the money were paying to other people can go into high interest savings so you start earning interest on it, and act as a buffer to stop you going back into debt in the future

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Pay down short term debt.

Build emergency funds.