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When the lower tax bracket people pay nothing in taxes how do you reduce that any further?https://www.nytimes.com/2017/04/24/us/politics/trump-corporate-tax-rate-15-percent.html?_r=0
This plan sounds great!
With all the money saved by corporations, think of how many new jobs they will create!!! Plus the price of EVERYTHING will go down!!!
This is a WIN for the AMERICAN PEOPLE!!
Any thoughts?
Corporate tax windfalls are not what drive job creation. Demand is what drives job creation. Cutting the corporate tax rate in an environment where we need to reduce our deficit and address the national debt is about the worst idea imaginable. Corporate profits have consistently hit record highs each quarter for the last five to six years, so it's not as if corporations are in need of tax relief. Also, tax rates are not what drive price. A combination of supply and demand is what drives price. Corporate tax rates are fine where the are. Over 12 million private sector jobs were created during the Obama era under those tax rates.
If you want a tax policy that will stimulate the economy and create more jobs, cut taxes for the bottom personal income brackets and offset that by raising taxes on the higher income brackets. This is a no brainer, though it seems to escape the republican electorate. Tax cuts for the lower income brackets would provide a boost to aggregate demand, which would lead businesses to hire more employees to meet that demand.