| Corporations do not pay taxes...they collect them. Raise the rates for corporate taxes and in order to meet their obligations to the stockholders...those who pay an additional tax on those same profits, the corporation has to either cut expenses (jobs) or raise prices which in a lot of cases will cause their profits to go down...which will result in the lowering of production (jobs).
So governments and their minions who have no grasp of how economics works think it makes good press to attack the legal entity of the evil corporation. A corporation is us. It is the stockholders, the pensioners, the workers, the management people. It owns buildings and infrastructure and it provides the means for a lot of revenue to flow to the state, allowing our poor people to have color TVs and cell phones. Corporate America makes a handy whipping boy to sell twaddle to he masses in exchange for votes so a few people with visions of a socialist state can weild power.
Hate the corporations? Want them reigned in? How do you feel about bread lines?
My book...
Write Winger: Solutions for the Politically Oblique available from Booklocker.com |