Monday, November 28, 2011

The Job Creators

Sen. John Kyl over the weekend once again repeated the nonsense that if you raise taxes on the job creators they won't be able to create jobs. I don't understand the party of business (Republican) and businessmen on this belief. Business and the rich for that matter don't hire people because they have money. They hire because their current workforce cannot keep up with consumer demand for their products or services. This has been stated as such in Wisconsin where companies that got big tax credits were asked if that was the reason that they hired and the CEOs said no. No it is demand that drives sales which drives hiring. Where a wrench is thrown in is that companies have a choice to expand to foreign countries at possibly a much lower cost than expanding domestically with tax incentives.

What we ought to do is end the Bush tax cuts. End corporate welfare, grants and tax credits, in exchange for a company staying in a city or state. Replace corporate welfare with the big stick of increased government regulation and taxation if you locate your factory overseas. Rewrite the free trade agreements to be free and fair trade with similar wages, worker health and safety regulations, and similar protections for the environment.

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