“An important subject area in economics is called tax incidence. It holds that the entity upon whom a tax is levied does not necessarily bear its full burden. Some of it can be shifted to another party.
If a tax is levied on a corporation, it will have one of four responses or some combination thereof. It will raise the price of its product, lower dividends, cut salaries, or lay off workers. In each case, a flesh-and-blood person bears the tax burden.”
Wish he’d written the whole article on this subject.
Huge ignorance of it.
“They’re not taxing me, they’re taxing the guy I buy from!”
Tax incidence is usually part of first year economics. But it might not be memorable even to those who take the course.
Great post. Yacht Money? How about pay the doctor bill money.
The middle class is taxed more of their total earnings. Gas tax goes up 25 percent, well the wealthy aren’t driving their car to work every day. If they fire up the yacht, poor things, then they might feel it.
I do not begrudge anyone who honestly made their way.. lots of stellar hard working Americans.
If you made your way via corporate cronyism.. well..