GOP Claims About Tax Scam: “They Are Bonkers”
While Republicans continue to claim that their tax scam will grow the economy and create jobs, CEOs and economists are pointing out this bill won’t have the trickledown effect that the GOP is promising. Highlights from Politico:
“Republicans are on the cusp of passing the biggest corporate tax cut in American history, betting it will ignite an economic boom that creates better jobs and fatter paychecks for middle-class Americans. That boom may never trickle down.”
“Some economists and corporate executives are already warning that simply lowering tax bills won’t necessarily cause companies to hire more people and pay them better.Instead, they could just wind up returning the extra cash to shareholders.”
“‘Frankly, I think they are bonkers,’ David Mendels, former chief executive officer of software firm Brightcove, said of the GOP banking on a lower corporate rate to generate bigger worker paychecks. ‘It really doesn’t work that way.No CEO sits there and says, ‘When my tax rate goes down, I’m going to hire more people and pay them more.’”
“Even someRepublicans seem deeply unconvinced by predictions from members of the Trump administration and more aggressive budget forecasters that slashing the top corporate rate from 35 percent to 20 percent will generate enough economic growth to offset the additional $1.5 trillion in debt the Senate tax plan envisions over the next decade.”
“Some economists and corporate executives are already warning that simply lowering tax bills won’t necessarily cause companies to hire more people and pay them better.Instead, they could just wind up returning the extra cash to shareholders.”
“‘Frankly, I think they are bonkers,’ David Mendels, former chief executive officer of software firm Brightcove, said of the GOP banking on a lower corporate rate to generate bigger worker paychecks. ‘It really doesn’t work that way.No CEO sits there and says, ‘When my tax rate goes down, I’m going to hire more people and pay them more.’”
“Even someRepublicans seem deeply unconvinced by predictions from members of the Trump administration and more aggressive budget forecasters that slashing the top corporate rate from 35 percent to 20 percent will generate enough economic growth to offset the additional $1.5 trillion in debt the Senate tax plan envisions over the next decade.”