If anything like the house bill gets through, this will create enormous stress on small business. Small businesses have already cut staffs to the bone and workers are working at full capacity. People have less money and demand is very weak, so small businesses have very little pricing power. Although a little savings might be wrung out of vendors, it’s not much. With health care taxes looming and energy taxes still a possibility through executive order, there isn’t any wiggle room.
It seems logical that in order to survive, small businesses will have no choice by to cut employee salaries in order to pay for the taxes and regulations. We have not really seen this happen on a widespread basis since the great depression.
Trickle down economics at work in reverse. It’s trickle down poverty.
Right On. I’ve been saying for years that you can’t have a GLOBAL economy until you wipe out the American middle class. It seems that we’re well on our way.