The One Thing That EVERY Business MUST Have To Be Successful Is…

Customers.

What is the one thing every business must have in order to expand?

Customers.

What is the one thing every business must have in order to hire more people?

Customers.

How do tax cuts for the rich create customers

They don’t

How does deregulation create customers?

It doesn’t

How does government spending create customers?

With government purchases, payrolls, and benefits that puts money back into the economy for working class and poor families to spend.

If you want to hear hypocrisy, just tell a conservative that we’re going to close or downsize a military base in their district. Boy will they howl, not because of the military importance as they claim, but because they know what that military payroll means to the local community, businesses and private sector jobs.

80% of all US companies with employees have 10 or fewer employees. I’m sure they appreciate the tax cuts, it means more profits for the owners. The tax credits for hiring new people would be helpful if demand warranted new hires. The regulations that most effect these small businesses are at the local and state level. They could benefit from relief of some of those regulations, but Federal regulations on these small businesses aren’t as onerous as conservatives try to make us believe.

I think most of those small businesses given the choice of slightly lower taxes and fewer regulations or more customers, would pick more customers. Taxes and regulations don’t mean a thing if your business doesn’t have any customers. If you’re paying taxes, you’re making money.

That 80% of businesses are on Main Street not Wall Street. The problem with many politicians in D.C. is they are bombarded by lobbyists for Wall Street corporations. They mistakenly believe what is good for Wall Street is good for us all. It isn’t. In fact, more often than not, what’s good for Wall Street, Multi-National Corporations and the top 2% of households is bad for everyone else.

The tax cuts that were given to the top 2% and Wall Street corporations didn’t spur the economy. They didn’t invest it in businesses or expansion. They didn’t hire more people. Think about it, they kept more money for doing absolutely nothing different. Trillions of dollars that could have and should have been used to create jobs, expand education opportunities, rebuild and expand infrastructure, support local and state governments to keep and hire police, firefighters and teachers. Instead, that money was sucked out of the economy into the pockets of the uber-rich and multi-national corporations, estimated to be over 2 trillion

When they talk about the policy failures of President Obama, they should look at their own policies of tax cuts for the rich and multi-national corporations. Cuts that were suppose to create private sector jobs. They should look at their own failure to pass a single jobs bill since 2010 when they ran on the promise to create jobs.

The Republican Party and their millionaire candidates for President and Vice President are still pushing the ideas that have failed, not only here in America but around the globe. They’ll refer to Ayn Rand (Paul Ryan’s personal hero), Adam Smith, Milton Friedman and Ludwig von Mises. They’ll be backed by billionaires like the Koch Brothers and Sheldon Adelson. “Free” market supporting organizations like the conservative Heritage Foundation and Cato Institute will beat their drums for lower taxes for the rich and deregulation. Sound familiar? It should because it’s all the same crap that they have been preaching seemingly forever. The same crap that hasn’t worked anywhere at any time to help anyone other than the ruling class.

The 98% are the real “job creators”. Without us, the 2% have nothing. We should act like it. Don’t fall for the snake oil that Paul Ryan is selling. Don’t support US House and Senate candidates that support the Ryan budget. Don’t support candidates that still believe in the fairy tail of trickle down economics. Don’t support candidates that don’t understand the difference between the businesses on Wall Street and the business on Main Street. Don’t support candidates that would cut the safety net that is only 13% of the Federal Budget in order to preserve lower taxes on the 2% and Multi-national corporations. Before they make any cuts to Social Security and Medicare, demand that they eliminate corporate welfare first. Demand that they close all loopholes that allow the very rich to avoid taxes on billions of dollars. People paid for their Social Security and Medicare benefits. How do large corporations and entire industries pay for their entitlements when 55% of them pay no federal taxes at all?

What has been proven to work is raising taxes on the rich, lowering the taxes on the working class and investing in America and Americans. That’s what Presidents Reagan and Clinton did.

What Paul Ryan, Mitt Romney, and the Republican Party want to do is slash government spending which will cause more unemployment, more foreclosures, more bankruptcies, more demand for public assistance, more cut backs at the local level to police, fire and education. But that doesn’t matter to the vulture capitalists. That doesn’t matter to those two millionaires that grew up privileged and never had to worry where the next meal was going to come from or where they were going to sleep safely out of the elements. They propose this while not even knowing if or when it pay off the debt or even balance the budget because as Ryan says “…we haven’t run the numbers on that specific plan.” That’s because Romney refuses to offer any number or specifics. I suppose we’re supposed to trust a man that won’t disclose his tax returns, destroyed documents for the period he was Governor and when he headed the Salt Lake City Olympics. A man that retired retroactively from Bain in order to have plausible deniability of any of the rotten dealings of the company during that period. That annual hundred grand per year is just chump change I imagine so he didn’t have to actually do anything to earn it. The CBO analysis shows that the Ryan budget would have virtually no effect on the deficit in comparison to no changes at all. So the Paul Ryan budget is all about political ideology, not sound economics. We can do better than that. We are better than that.

The best way to end deficits and pay down the debt is with a robust economy and wide tax base. You don’t get there from here by cutting spending. You get there by increasing tax revenues from the richest and investing that money back into America and Americans. Creating more opportunities for everyone. That is what the Billionaire party is against. They want us to believe that government is the problem. That “uncertainty” created by the government is the reason that the rich and large corporations have not expanded or created any new jobs. Which we’ve already debunked. They aren’t expanding because they are making more money without expanding. They can take those tax cuts and invest them in Hedge Funds that they only pay 15% income tax on. The game is rigged for the rich and they are desperately trying to keep it that way.

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  • John

    Nicely researched and well written!
    Though before you mentioned Misses you did expell some of the libertarian Austrian economic theories.  However Misses takes it a few degrees further with an elimination of all tax.  Unfortunately the Anachro-Capitalists overlook one thing, there are Evil people in the world that will do whatever they can to consolidate as much wealth and power as they can.  That is where the role of a government by a mandate from the masses comes in to play to check and ballance those who wish to enslave others; and to accomplish that a tax system must be put in place to finance the actions of that governing body.  Unfortunately, as you point out,that body has been corrupted by the very forces it was meant to protect the people from.

  • Scott Hicks

    I agree with almost all of your points (okay – all of ‘em!). Thank you for providing links to your source material on statistics and business trends. One or two typos jumped out at me “… the fairy tell (sic) of trickle down economics”? Sorry to be so critical, but careful proofreading helps your argument. 

  • http://emperorbob.com Emperor_Bob

    Unchecked Capitalism doesn’t work for the same reason Communism doesn’t work – Human nature.