Politics
Out of context: Reply #23450
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- yuekit2
Trump’s Extreme Oligarchy
Trump seems determined to lower income taxes for high-income Americans, as well as to reduce capital-gains tax (mostly paid by the well-off) and nearly eliminate corporate taxes (again, disproportionately benefiting the richest). To do this, his administration will seek to increase taxes on others, and now we are beginning to see what this will look like. People close to the president-elect are considering an import tariff, set at around 10%.
This tariff will undoubtedly be presented to the public as a move to make American manufacturing great again. But a tariff is just another name for a tax that increases the costs of all imported goods. This could help a few firms at the margin – and presumably Trump’s team will highlight news stories (real or fake) about a few hundred or even a few thousand jobs being “saved.”
But the cost per job will be high: all imports will become more expensive, and this increase in the price level will filter through to the cost of everything Americans buy. In effect, the oligarchs will reduce direct taxation on themselves and increase indirect taxation on everyone – much like increasing the sales tax on all goods. Under any such proposal, the burden of taxation would be shifted from the better off to those with less income and little or no wealth.
- This makes a good point about Trump's economic proposals. Tariffs could end up playing the same role that sales tax increases have in states run by Republicans,yuekit
- basically a regressive tax targeting the lower and middle class.yuekit
- This is what omg wants to happen. It benefits the people to pay more for everything, raise the cost of living and health, because wealth trickles down and all.monospaced
- Personally, I'm looking forward to exploiting the lower capital gains tax and getting my middle class cut as well. He promised that. Doubt his tariff will work.monospaced
- following a downward trend with 2016 holiday shopping this could be the preamble to another recession as housing rates also increase...whatthefunk
- Spending is down?monospaced
- Trump is a belief systemutopian
- @mono. you have a better idea to support all the extra illegal immigrants you want to bring in? we need to create more jobs, i hope also more small businesses.********
- Yes. Make them legal immigrants. Collect their taxes.monospaced