Trump's Tax Reform Lie

Trump stated during his campaign that he would punish companies that took jobs overseas with tax penalties. He said he would do something about companies that hoarded money in offshore accounts to avoid paying taxes.

This "tax reform bill" does nothing of the sort. It gives large corporations tax breaks, does nothing to penalize companies that outsource jobs overseas and it does nothing to companies that hoard money offshore.

Providing corporations with tax breaks and the ability to hoard money in offshore accounts has been business as usual since the WTO and NAFTA came about, and probably even prior to that under Reagan and his famous trickle down economy that only trickled up. We know from this example that when corporations are given more money, it does nothing to create more domestic jobs. All this did was increase C-level executives' salaries - which has grown in the hundreth percentile when compared to worker salaries. Some CEOs are making 400% more than their workers. More jobs weren't created domestically as a result of tax breaks or lack of enforcement against companies when they hoard money offshore in attempts to avoid taxes. In fact, the numbers of job decreased because the outsourcing to India, China, Dominican Republic, and the Philippines has only grown.

Supply and demand are the only things that create job growth and only domestically if corporations have incentives to hire domestically instead of outsourcing. The only way you have an economy where supply and demand flourish is when you increase the buying power of those who purchase goods and services, i.e. the middle class.

Those people who have supported Trump because he was "draining the swamp" have been duped.

Comments

  1. Nah, 80% of Americans will get a tax cut. Lowering the corporate rate will bring investment dollars back to the mainland and barring any unforseen event, the democrats that all (100%) rolled the dice and voted a against it may very well pay a very long term political price. As it has been stated correctly many times before, “It’s the economy stupid!” The word ‘backfire’ comes to mind. If any one thing is true of the democrat party is that they have lost the ability to set their sails with the prevailing winds. Their abject hatred for Donald Trump has taken over there focus to the point that no longer see the onvious writing on the wall right in ftont of them.

    ReplyDelete
  2. I've heard about that. My friend said he had read something similar in trump news

    ReplyDelete

Post a Comment

Popular posts from this blog

The BLM Movement is in trouble...

The Oracle at Delphi's Predictions for the Mueller Investigation

The American Experiment has Failed