TrumpTax for rich won't trickle down

In 1980, the top 1 percent earned 27 times the bottom 50 percent. Now, they earn 80 times. Until 1974, wage increases followed increased productivity. Since then, they don’t. Republican “Trickle Down” Economics (which doesn’t) was a major cause of increased inequality.

Now we have “TrumpTax,” developed secretly by Republicans. It will result in deficit growth of about $1.5 trillion. Republicans insist "Dynamic Scoring" will eliminate the deficit. No responsible economist agrees.

In 2025, the individual tax cuts expire, while the corporate and business tax cuts remain.

The corporate tax is reduced from 35 percent to 21 percent. Trump says this will result in jobs and increased pay. This is false. Jobs and pay increases are controlled by supply and demand. Corporations have plenty of money now, and this tax reduction will be a miniscule increase in demand.

Consider:

The top 1 percent receive 34 percent of the total tax breaks, (averaging $51,000 next year.)

The top 20 percent receive 70 percent.

Eighty percent of households receive an average of $2,100 next year. 

Those under $25,000 receive an average of $60 next year.

Thirteen million will lose their medical insurance. All will see an estimated 10 percent premium increase.

This is “TrumpTax!”

Richard Metayer

Mystic

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