The Corporate Chicken or the Egg?

Where should the Government put the focus? As Americans we pay taxes to the federal, state, and local governments. This revenue is meant to support the Government so it can continue to meet its obligations; which include national defense, parks, airports, shipping ports, transportation, education, etc.

Recently, due to the economic crisis, the American government has been getting itself involved in the market. All reforms and regulations, from President Roosevelt to the present day, are put in place to ensure the fair treatment of the consumer. Now companies have one primary concern; revenue, revenue, revenue. Some common talking points on the right are that, no matter what, corporations should have free range to be allowed to grow and expand thus creating jobs. The GOP’s way of aiding the free market is to spend billions of dollars of your tax money on the corporations and those millionaires that are commonly referred to as “Job Creators”. ‘Trickle Down Economics’ is an ideology that aiding the “Job Creators” with tax reliefs, and benefits, will create jobs. But is that really the way to go about this situation? It has been proven, more than once, that ‘Trickle Down Economics’ is not effective in any way, shape, or form.

The State of California is the most populous state in the United States. With almost 40 million residents, California is run like a lot of countries. This state takes a different approach to ensuring the success of “Job Creators”. Californians enjoy several public benefits due to the California tax base. So what is California’s approach to job creation? Reinvesting the tax revenue back into the worker/employee.  A large part of California’s taxes are spent on transportation, and food and health programs. What does that mean? The basis for any successful company is its employees. For a company to be successful its employees have to be healthy, happy and nourished. There should be no question that a person working in a factory has eaten that day, or if they have a health problem. Ensuring the employee base has a guaranteed way to get to work on public transportation, are healthy by providing bike trails and community centers, and also are eating well should be the concern of any employer. As well as any government looking to increase the production of its markets.

So what is more effective? Luckily we have two scenarios that can distinguish the effectiveness of the two philosophies. Now it has been proven over 3 times in the last few decades that “Trickle Down” economics (Investing in the Rich) does nothing to help stimulate the economy, a business, or the consumer. After Reagan first attempted it in the 80’s the only benefit went to the CEOs and other executives of a corporation. Anyone who wasn’t one of those TANKED! Yes that includes small businesses. Instead of prosperity trickling down, hardships began to trickle up causing an economic recession. Whichever President invested tax revenue into the employees pulled America out of one of the greatest economic disasters to hit a first world country. So if your state has extremely low corporate tax rates and extremely high family tax rates and you’re wondering why there are no jobs? Well that is because your state is spending your tax dollars on the wrong source. It is the employees and the consumers who are the real “Job Creators”………….Call A Republican member of Congress today!!!