Precious Cargo

Refreshingly Bitter And Twisted Observations On Life's Passing Parade.

My Photo
Location: Valley Village, California, United States

Friday, March 13, 2009

Phony Republican Rationale for Tax Cuts

There is a mistaken assumption that the wealthy recipients of tax cuts are typically business owners with a payroll who will respond to a reduction in their taxes by hiring more workers. There are many wealthy people who employ few, if, any workers. Tom Cruise or Stepen King, for example. Yes, they have agents, personal assistants, publicists, etc. And if they get a tax cut, they won't hire any additional help. My orthopedic surgeon has an office with a staff. Give him more money. He won't hire more staff. They'd be redundant and cost him his tax cut without increasing his income.

Let's say you own a greeting card store, a company that manufactures fancy door knobs, or a restaurant. Business owners hire more workers to respond to increased demand. They only increase their workforce to increase their productivity.

Labels: ,

Subscribe to
Posts [Atom]