There is no doubt that Trump created growth and jobs. But that was before the virus came in and destroyed the growth. Now, there is a different mindset in the White House. The Biden administration wants to increase the taxes.
The democrats tax hike plan is to increase the taxes on top individual of 39,6%. Top corporate rate will jump to 26,5% and 3% surtax on income over $5 million. This is a typical socialist agenda among socialists.
We know from history that Communism doesn`t work. We know that socialism isn`t Communism, but it`s Communism light if you will. Cutting the head of successful antrepreneurs has never worked in the long run.
What people and socialists around the world should understand is that you are dependent of creative antrepreneurs. They are the reason why you have so much wealth and health right now. They gave you a luxury car, a smart phone and lots of internet of things.
They created products a lot of people around the world demanded. That demand was great business for the antrepreneurs and their businesses, and that is were the money to the socialists comes from. You cannot run a country without socialism, but you are dead without capitalism which comes first.
Tax foundation president Scott Hodge said the Biden tax plan will shrink the size of the economy by 1%. It will also cost the economy about 165,000 jobs. Shrink wages and capital stock. So, it will fewer jobs and the growth will be slower.
The tax on induviduals in New York will increase over 60% and that will make many people to leave Manhatten and flee to for example Florida were they treat people much better than any other places in the U.S.
Corporations will do the same. They will run as fast as they can to other places with a better tax plan. We also know from history that places with rich people and big corporations will have bigger growth than places with higher taxes and slower growth.
A research study found that about 51% of the economic burden on the corporate income tax falls on workers through lower wages. We saw the opposite happened under Trump. Growth went up and so did the wages.
The groups that are most harmed by the tax hike are women, low-skilled workers and younger workers The most marginal workers in the workforce.
So what we`re going to see from raising corporate taxes is a shrinkage of those kinds of jobs for the most vulnerable people in America.
House Democrats aim to raise a $2 trillion in tax revenue, and that is a very agressive tax plan.
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