Quote:
Originally Posted by tony286
The rich dont invest tax breaks in new jobs that's a myth.
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tax is nothing more than another expense... when expenses (taxes) increase, businesses feel increased pressure and so they are forced to "trip the fat" a bit...
lets say you make 50k after taxes now, taxes get raised and now you make only 40k... obviously you are 10k short now, so what will you do? obviously you will do whatever it takes to "trip the fat", which often means firing people...
or lets say you have 100k lieing around and are looking to invest it into some venture, lets say a restaurant that would hire 10 people... currently, you would make 50k per year from that restaurant...
but if taxes rise, you will make only 40k/year from that restaurant... at 40k/year it might not be worthwhile to you anymore, so you may choose to not to invest in it, and so no jobs get created...
seems pretty common sense to me...
