The joke of high corporate tax rates

Here's Robert Reich:



"Always follow the money. Republican donors have been pumping millions into the “Tax Foundation,” a think tank whose analyses are gaining influence on Capitol Hill -- especially because they help legitimize Republican tax proposals. Marco Rubio tax plan, for example (which would let companies write off capital investments all at once rather amortizing them over several years and eliminate taxes on capital gains and dividends) would -- according to the Tax Foundation -- unleash an economic boom and pump $94 billion a year into the U.S. Treasury.

Baloney. The Foundation’s economic model uses so-called “dynamic scoring” that assumes lower taxes will prompt individuals and businesses to invest more and thereby create more jobs and growth. But history shows such “trickle-down” effects simply make the rich richer and leave the rest of us with fewer public services or bigger public debts. Oh, and did I mention the Tax Foundation’s board includes executives from PepsiCo, Microsoft, and Eli Lilly, as well as two former Republican congressmen?

Don’t believe anything you hear from any “think tank” until you know who finances its thinking."