Quote:
Originally posted by grogan
investing helps the economy
he'll just make more and more money, and get taxed on his profits anyway
more money pumped into companies means they have more capital for hiring/expansion
those newly hired earn money (which gets taxed) and spend money (which helps the economy)
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states have to raise taxes to offset the higher yields that they have to pay on their debt. this gets passed on the citizens in either higher taxes or spending cuts.
there are better ways to stimulate the economy than giving a tax break to the wealthy. especially when it increases an already large deficit which could mean higher interest rates and an even lower dollar. will the spending help? probably, but the potential risks seem to outweigh the rewards.