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To: precisionshootist
Again, that is demonstrably incorrect. Tax reform wasn't just a small one of millions of factors. It massively lowered the cost of doing business. If those tax cuts didn't cause prices to fall, tax increases (tariffs) won't necessarily either.

In more appropriate economic jargon, if that will help is there are two pieces of the pie - one is consumer surplus - which is what you are referring to - and the other is producer surplus.

When tariffs go up, some of the loss goes onto the producer (which in this case, is made up of multiple facets - the Chinese manufacturer, the shipper, and the US retailer or final seller), and some of the loss goes onto the consumer. Where this gets muddled, though, is when you export the job overseas, it's a 100% tax on the US consumer, and in as much as that job comes back due to tariffs, is a 100% increase in consumer surplus.

70 posted on 07/26/2018 2:37:47 AM PDT by rb22982
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To: rb22982

Businesses don’t pay taxes. The end consumer pays them. It’s basic business and economic principle. Start a business making widgets and tell me what costs you will incur that you can just ignore and it won’t affect the price of your product? Hint, there aren’t any if you plan on making money. When the government says they are going to tax you $5 for every widget you sell that goes directly into the cost of your widget and if you sell your widget at a profit every penny of that tax is passed on to the end consumer. You can throw out charts and macro economics terms all day and it’s not going to change that fact. Like many others in our society You don’t understand basic business.


74 posted on 07/26/2018 2:51:00 PM PDT by precisionshootist
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To: rb22982

A poster said maybe we should let the dems know businesses don’t pay taxes and that is correct. You are conflating that with macro economics which is something different entirely.


75 posted on 07/26/2018 3:09:41 PM PDT by precisionshootist
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