Bank of America’s chief economist refutes Trump on corporate tax cuts and wages
Today, Bank of America Merrill Lynch’s chief economist confirmed that the empty promises Donald Trump and Republicans made about wasteful new tax cuts for corporations “trickling down” to the middle class in the form of higher salaries and wages are untrue, telling the Associated Press, “The bulk of the corporate tax cuts should accrue to people who hold stock in companies…Workers benefit much more from a cut in taxes on ordinary income. In other words, better to get a direct cut than a spillover from cuts to others.”
This comes as evidence mounts that, as Fortune 500 CEOs announced many times over even before the Republican tax plan was passed, and as history demonstrates, companies will use these tax cuts to pay their shareholders more – not to raise wages and salaries for workers.
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