Corporations and the Wealthy Don’t Need a Tax Cut

From the Economic Policy Institute (http://www.epi.org/):

In a new FAQ, EPI’s Josh Bivens and Hunter Blair explain why cutting taxes for corporations and the wealthy does nothing to help the middle class. Bivens and Blair debunk several myths that are repeated again and again by proponents of tax cuts, including the fact-free argument that cutting corporate taxes would boost job creation, wage growth, or investment. Corporate tax cuts are, in fact, “about the worst fiscal tool we have for stimulating job growth,” say the authors, because the bulk of corporate tax cuts will benefit the richest Americans, who are less likely to spend the additional income. Tax cuts aimed at low- and middle-income workers are a much better strategy, as is increased government spending—for example, through infrastructure investment.

Read the FAQ at http://www.epi.org/publication/tax-faqs/.