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<blockquote data-quote="Proximity" data-source="post: 7925337" data-attributes="member: 589997">Over simplified notion that sounds good until thought it provided. False based on two facts:1) Taxes are, in effect, only of profits. Operating costs, mainly payroll, are tax deductible. If my revenue is $500k and my payroll is $300k, excluding all other expenses I&#039;m only paying taxes on $200k. Let&#039;s say the tax rate is 50% (WAY higher than in reality), I&#039;m paying $100k in taxes with $100k leftover. But then I need $150k more in payroll to account for more customers in order to increase my revenue. But I only have $100k?! But oh wait, the $150k is deductible so despite taxes, I can still add $150k to payroll and then only pay taxes on the remaining $50k. (And after of course, that expectation is that the added employees will increase the potential for revenue so revenue would increase past the original $500k)2) Number of employees is based on one thing and one thing only: Number of customers needed to serve. A business will only hire as many employees they need to serve their customers. This follows common sense. If a company needs 1 employee per day per 20 daily customers and they have 100 customers, then there is no reason to have more than 5 employees per day, period. The only way to get that employer to high more is to get people into the business.So it logically follows that A) decreasing taxes on the rich doesn&#039;t create any jobs and B) Increasing taxes on the rich won&#039;t &quot;destroy&quot; jobs. Trickle down doesn&#039;t work. Economic policy needs to start with the bottom up. That is the liberal approach that Democrats favor. Republicans just want to cut taxes for the rich.</blockquote>

[QUOTE="Proximity, post: 7925337, member: 589997"] Over simplified notion that sounds good until thought it provided. False based on two facts: 1) Taxes are, in effect, only of profits. Operating costs, mainly payroll, are tax deductible. If my revenue is $500k and my payroll is $300k, excluding all other expenses I'm only paying taxes on $200k. Let's say the tax rate is 50% (WAY higher than in reality), I'm paying $100k in taxes with $100k leftover. But then I need $150k more in payroll to account for more customers in order to increase my revenue. But I only have $100k?! But oh wait, the $150k is deductible so despite taxes, I can still add $150k to payroll and then only pay taxes on the remaining $50k. (And after of course, that expectation is that the added employees will increase the potential for revenue so revenue would increase past the original $500k) 2) Number of employees is based on one thing and one thing only: Number of customers needed to serve. A business will only hire as many employees they need to serve their customers. This follows common sense. If a company needs 1 employee per day per 20 daily customers and they have 100 customers, then there is no reason to have more than 5 employees per day, period. The only way to get that employer to high more is to get people into the business. So it logically follows that A) decreasing taxes on the rich doesn't create any jobs and B) Increasing taxes on the rich won't "destroy" jobs. Trickle down doesn't work. Economic policy needs to start with the bottom up. That is the liberal approach that Democrats favor. Republicans just want to cut taxes for the rich. [/QUOTE]

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