Gates believes that the tax codes are going to need to change to encourage companies to hire employees, including, perhaps, eliminating income and payroll taxes altogether. He's also not a fan of raising the minimum wage, fearing that it will discourage employers from hiring workers in the very categories of jobs that are most threatened by automation. He explained: "When people say we should raise the minimum wage. I worry about what that does to job creation ... potentially damping demand in the part of the labor spectrum that I’m most worried about."
He may be right. The income tax tends to be more stable than a consumption tax in an economic downturn. But income taxes discourage specialization. When it costs you 2x what you make to hire someone else, then you do it yourself.
Hence the growth of Home Depot and Lowes.
Ok. Bill Gates is obviously a very smart man. But, if he understands this than why does he always support democrats? Same question for Warren Buffet.