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Doesn't Anyone Care If the Trump Tax Cuts Are Working?


#1

Doesn't Anyone Care If the Trump Tax Cuts Are Working?

Dean Baker

The Commerce Department released data on capital goods orders for January yesterday. As I noted, this is a hugely important early measure of the success of the Trump tax cuts. The ostensible rationale for the big cut in the corporate tax rate that was at the center of the tax cut is that it will lead to a flood of new investment.


#2

The Trump tax cuts are working as intended.


#3

True that.


#4

Yes ,the tax cuts are working. The Owners are partaking in one last feeding frenzy, enabled by their slaves in Congress, on the wealth of the middle class and poor. End stage capitalism.


#5

As we are currently seeing, it is quite clear that the corporate world is mainly buying back shares of stock that only benefits the wealthy. Most industries have enough slack in production capacity that there is little reason to invest in equipment, and with current law, if they would choose to do any investing it will most likely be foreign. For workers getting an extra $5 or $10 in their paycheck, this does very little for demand.


#6

Ha, ha of course it’s working just not in a way the oligarchy wants advertised. Stimulate the basic economy? Not so much. Enrichen the rich? Yes!


#7

Clearly not. Corporations have been cash heavy for years, which is why they’ve been focusing on raging buy-back stock schemes to increase share value. If they were going to invest excess cash into productive economics, they would have been doing that long ago as the money rolled in.

That the new gifts via the tax assault would go into executive and shareholder pockets could possibly surprise anyone just tells you how little people writing about economics know about the subject, and how dependent they are on professional liars from think tanks for their information.

This was just a straight wallet lift from us to the overlords, nothing more.


#8

In short, as others say, they’re working just as planned. Oh, did you mean are they working to the benefit of the majority of U.S. citizens, or for the future solvency / autonomy of our citizens? Well, hey! You don’t expect the MSM to report on such things, do you?

In any case, much of the alleged “Resistance”, influenced too much by partisan angst and MSM, is almost entirely focused, 24x7, on Russia / Putin and the particularly manifest ugliness of this POTUS to bother with any deeper scrutiny of either the effects or the deeper, systemic problems that at the root of the problems. And I suspect that at least for the establishment media, that is by design.


#9

One minor correction: members of Congress are not the “slaves” of the Owners (the Ruling Parasite Class) because members of Congress are well compensated by the Owners. Congress members are more like highly-paid prostitutes.


#10

Nicely spoken!


#11

The total triumph of shareholders over workers is epitomized by the tax cuts.

Now here comes the reckoning.

QE, low interest rates, There aren’t anymore stimulus measures in the playbook.
Other leading economic powers are working around the US, and even looking to upend the petro dollar.
OPEC has cut production, oil/gasoline prices are already heading upward.
Wages remain stagnant, consumer purchasing power is floundering.


#12

We do not need stimulus measures. The “petro dollar” is of no importance.