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To: DoodleDawg
Nonsense. It is largely irrelevant what corporate CEOs intend to do with the money. Market pressures will result in a different reality. If corporate and business taxes are cut across the board, it suddenly becomes more profitable for corporations to exist. More businesses will have an inventive to be created or expand. This means more open job positions, which will mean more competition between employers for workers, which will bid up wages. Likewise, lower taxes makes it more profitable to produce and sell consumer goods. A higher supply of consumer goods in the market drives down prices.

So, even if corporations intend to keep all the money for their shareholders the realities of competition and a dynamic economy will result in much or most of the benefits going to workers and consumers.
13 posted on 11/30/2017 1:13:15 PM PST by pstwwl
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To: pstwwl
If corporate and business taxes are cut across the board, it suddenly becomes more profitable for corporations to exist. More businesses will have an inventive to be created or expand.

You have just contradicted yourself. Cutting taxes will increase corporate profits, that much is true. But why should corporations then dilute those profits by expanding their business unless there is a clear and unmistakable increase in the demand for their services? Tax cuts alone aren't going to provide it. And "if you expand then they will come" is not a good business strategy.

Likewise, lower taxes makes it more profitable to produce and sell consumer goods. A higher supply of consumer goods in the market drives down prices.

Again you are contradicting yourself. If the object of a company is to maximize profits then why would they spend money to expand output which would result in lower prices and lower profits?

So, even if corporations intend to keep all the money for their shareholders the realities of competition and a dynamic economy will result in much or most of the benefits going to workers and consumers.

Your scenarios sound fine in theory but do not much resemble reality.

29 posted on 11/30/2017 1:28:22 PM PST by DoodleDawg
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