Lol at people who could afford an extra bag of dog food with their “tax cut” bragging about it.
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You are not describing reality. The cut led to some nominal bonuses but the promised increases in wages and investment never happened. Corporate taxes dropped and there has been a massive wave of stock buybacks, which benefitted institutional and wealthy investors.
The federal deficit has soared during a boom; which will greatly worsen the next recession.
None of this had anything to do with the Mueller probe.
The Republicans passed a cut to benefit their big contributors while lying about benefits for you and me.
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Good for you. Are you still paying for PAP smears?
I said ‘in part’ (!) It increased the wages in certain branches, not everywhere
surely it hadnt, but because of that permanent noise and hysteria around Russia, the public didnt perceive the promised second round of tax cuts
Sure…my wife likes to be healthy
For you.
What branches have wages gone up in. Let’s see data, not assertions. CEO pay is up.
What second round of tax cuts — some promise like Trump’s healthcare plan or the Infrastructure plan. Those are Trump’s failures — no reason at all to blame Mueller.
Maybe if Trumpism governed instead of golfing and tweeting, but that’s to much to ask.
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It was the GOP which promised the second round of tax cuts, which (according to them) would had relieved much more the employees. I posted the article already.
It is to blame the liberal (fake news) media and insane Dems who caused a lot of noise around Russia …
Well… it is looking like the promised investment from some companies because of the tax cut is not happening.
AT&T’s CEO, Randall Stephenson, promised in November 2017 to invest $1bn in capital expenditure and create 7,000 new jobs at the company if Trump’s hugely controversial tax cut bill passed. Many opponents had slammed the cuts as a corporate giveaway that benefited the super-rich. But big firms lobbied for it, saying – as AT&T did – that it would fund job-creating expansions.
\The bill was voted into law in December 2017, reducing the corporate tax rate from 35% to 21%. AT&T’s benefit was a tax windfall of $21bn and an additional estimated $3bn annually. But instead of creating jobs and increasing investment into the company, AT&T has eliminated 23,328 jobs since the tax cut bill was passed, according to a recent report by the Communications Workers of America. The CWA also said AT&T reduced their capital investments by $1.4bn.
In November 2018, GM announced it would cease operations at five plants in Michigan, Ohio, Maryland and Ontario, Canada, resulting in the loss of more than 14,000 jobs in those communities. As GM is closing plants, the company has spent $10bn since 2015 on stock buybacks, and made a net profit of over $8bn despite paying no federal taxes in 2018. GM reported a tax windfall of $157m in the first three months of 2018 due to the Trump tax cut.
Wells Fargo, the fourth largest bank in the US by assets, tied a minimum wage increase of $15 an hour to the Trump tax cuts and pledged increased investments in workers. The company is estimated to save $3.7bn annually due to the Trump tax cut. The bank’s 2018 tax savings were 47 times more than the costs of its minimum wage increases. Rather than invest in its workforce, Wells Fargo bought back 350m shares in early 2018, worth about $22.6bn, increased CEO salary by 36%, and announced plans in September 2018 to eliminate at least 26,000 jobs in the US over the next three years as many of those positions are being sent overseas.
So these large corporations that were applauded for getting a windfall did not invest like they said that they would.
Color me shocked.
The hippies over at the Library of Congress have written a white paper that concludes that the effects on wages was nominal
n the absence of the tax cuts, wages should grow with the economy and wage rates should grow as the capital stock grows. In addition, tight labor markets resulting from the approach to full employment should have put upward pressure on wage rates in any case. Evidence from 2018 indicated that labor compensation, adjusted to real values by the price indices for personal consumption expenditures, grew slower than output in general, at a 2.3% rate compared with a 2.9% growth rate overall. If adjusted by the GDP deflator, labor compensation grew by 2.0%. With labor representing 53% of GDP, that implies that the other components grew at 3.8%.34Thus, pretax profits and economic depreciation (the price of capital) grew faster than wages.
and that almost all spikes in key indicators quickly regressed back to the mean.
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What this article fails to mention is the impact globalization had on unions and income inequality. Income inequality is by and large the result of globalization: Economics 101 - Globalization increased both the supply of customers, and hence demand, as well as the supply of labor, in particularly cheap labor. Part of reason for the decline in union membership was due to the fact that many of those factory jobs went overseas.
The rich don’t spend money like the poor spend money. You have to spend money to keep the economy going.
This has been so successful, the federal reserve is thinking about cutting rates. That’s how it works, right?
Well that and the systematic suppression of Unions in “right to work” states.
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I agree that Right to Work laws have had an impact as well. I don’t personally agree that there has been a systematic suppression as a result. Here is a different perspective:
Eagle-Keeper, remember that union jobs, in their glory days, represented a wide scale of occupations. Sure, there were jobs that got sent overseas, but many of those weren’t necessarily union either. What I’m saying is factory jobs weren’t the only ones affected.
I fully understand that as I have family/friends with Computer Science related degrees, who experienced a lot or transition over the past 10-20 years. The fact is that in those “glory days” AKA the “Golden Age” there was a much larger percentage of the workforce in manufacturing jobs.
Well, the Bureau of Labor Statistics shows union jobs were at 10 percent in 2018, half of what they were in 1983. And the highest rate of union workers were in “workers in protective service
occupations (33.9 percent) and in education, training, and library occupations (33.8 percent).”
Now that’s not the “glory days,” but I found it interesting that it’s not manufacturing today.
Wow.
Your thread title is a lie and you can’t tap dance fast enough to cover it up champ.
I sure remember a couple of Trump’s Economic Advisors go before the camera’s and state in no uncertain terms that these tax cuts would blast the GDP waaaaay up high enough to pay for the whole enchilada. That was followed by a whole bunch of Economists coming out and saying how full of ■■■■ they were.
If the Dem’s don’t fix this, most of the individual tax breaks will go bue-bye starting in 2024. And most of those folks will be paying more taxes then they did before the bill. Thanks Trump.
