My August 4, 2017 Alternative Visions radio show was dedicated to providing an overview of the 35 year neoliberal strategy of corporate-investor tax cutting in the USA and the shifting tax burden to the working and middle class. A new major round of tax cuts has now risen to the top of the Congress-Trump agenda, with a target for passage either late this year or, if not, certainly before the 2018 midterm Congressional elections. To understand the background history and trends to the latest in neoliberal tax cutting 2017-18, access the podcast.
To Listen to the Show
Go to:
http://prn.fm/?s=Alternative+Visions
Or go to:
http://alternativevisions.podbean.com/
SHOW ANNOUNCEMENT
Multi-trillion dollar corporate and investor tax cuts by December have moved to the top of the Republican Congress-Trump legislative agenda. Dr. Rasmus puts the proposals in historical context, describing the corporate-investor tax cuts from Reagan through Clinton and GW Bush to Obama and now Trump. From the $750 billion Reagan bill in 1981-82 to Bush’s $3.7 trillion to Bush-Obama $480 billion in 2008-09 to Obama’s $1.245 trillion in 2010-12 and Obama’s continuation of the Bush tax cuts in 2013 for another decade that cost $5 trillion. Corporate-investor tax cutting as an essential element of Neoliberal economic policy since 1978. How Congress alternates between nominal tax rate reduction and token tax loophole reduction, then raises nominal tax rates and expands tax loopholes. How for 40 years the share of total taxes paid by corporations and wealthy household investors has declined, while the share of taxes for working and middle class has accelerated. The key elements of the Trump-Ryan tax proposals to date are reviewed.
(Listen to my Alternative Visions radio show this coming week, August 11, 2pm new york time, on the progressive radio network, when I interview a guest from Venezuela, to discuss events underway in that country as class conflicts intensify: see the link above to the radio show)
EQUITABLE TAX RECONFIGURATION-PLUS—Would create >4% GDP growth and 4-6million jobs per year: Congress and the Administration are contemplating taxchanges. Sadly, it appears that both maybe led by ignorance, bias, and axes to grind which is a losing formula for We,the People. There should be a discussion regarding the concepts ofevolutionary versus revolutionary changes. There is substantially greater risk of problematic and unintendedconsequences when employing revolutionary changes. It is being promoted by “talking heads” andpoliticians that a reduction of the corporate tax rate from 35% to 20% wouldcreate jobs. The jobs created would beinsignificant, thus that promotion is nonsense, at best. Yes, it would offer greater profits for corporations,which would benefit stockholders. Thatwould reflect very limited economic benefits, which would be further reduced bythe hit to our national debt. The main catalyst to enable businesses to increase sales andprofits is energized consumers. What effect upon consumers would a permanent income taxcredit equal to 100% of the Social Security taxes paid on the first $40,000 ofincome? The maximum credit would be$2,480 per year ($206.67 per month). The effect upon consumers would be substantial, thusbenefiting business sales and profits, i.e., the old “two birds with onestone”. The funding of this tax credit would come from theelimination of the “ceiling” upon which Social Security taxes arelevied and by making all other types of income subject to SS tax, withoutlimitations. An additional “adjustment” to Social Securityshould be a ten percent increase to SS recipients. Since our economics would be greatly stimulated, a differentmethod of controlling the pace of the economy would be initiated. A separate withholding would be establishedand would be controlled by the Federal Reserve Board. The Fed, on a monthly basis, would publish afactor (a % of gross pay) which would cause a reduction or increase in net pay,thus affecting the strength of our economics, immediately. Interest rates would be market based, i.e., the Fed wouldnot control rates via Discount and Federal Funds rates. PLUS: Eliminate the anti-trust exemption for unions – http://writerbeat.com/articles/7399-TRADE-AND-SERVICE-UNIONS Reverse all minimum wage laws – http://writerbeat.com/articles/11328-THE-CONCEPT-OF-ldquo-MINIMUM-WAGE-rdquo-IS-A-CANCER-TO-OUR-NATION-S-ECONOMICS-SINCE-IT-TENDS-TO-CREATE-A-PERMANENT-UNDERCLASS-AND-
Mz mikiesmoky@aol.com 04/21/17 818.988.2792 NOTE: Your site may not be as “user-friendly” as it could be.
Michael Zitterman mikiesmoky@aol.com