Democrats’ Proposed Tax Hike Is Reckless And Not The Solution To Inflation

Taxes

A few days ago, Senate Majority Leader Chuck Schumer (D–NY) unveiled his solution for rising prices: higher taxes.

This episode of What’s Ahead lays out why Schumer’s nostrum is the economic equivalent of doctors who centuries ago thought bleeding patients was a great cure for all sorts of ailments. It certainly got rid of the pain and suffering because it got rid of the patients.

Schumer’s scheme would have a similar impact on our wobbly economy today. It would knock down needed investment both by taking money from businesses and consumers and by decreasing after-tax returns. Diminishing rewards for risk-taking leads to stagnation.

Schumer should read up on how the terrible inflation of the 1970s and early 1980s was ultimately conquered: by cutting taxes, resurrecting the value of the dollar, restraining spending and reducing regulations.

Articles You May Like

How the world’s 431 women billionaires make, spend and give away their fortunes
Baidu posts 3% drop in third-quarter revenues, beating market expectations
Bitcoin vs. gold: State Street worries the crypto rally’s allure is distracting precious metal investors
Palo Alto Networks beat and raise fails to wow Wall Street. But that plays into our hand
Dozens of retailers jacked up interest rates on store cards ahead of Fed cuts

Leave a Reply

Your email address will not be published. Required fields are marked *