I'm back after a LONG hiatus. My life is going well and I need to opine on what is going on these days again.
So Joe Biden wants to raise taxes on businesses.
I really believe that everyone should have to take a basic Economics 101 course in High School.
This is common sense but dummies who don’t understand basic supply and
demand come up with these crazy ideas that have horrible consequences.
A good example is in California raising the minimum wage to $20/hour.
The Lefties say “good, those rich greedy business owners SHOULD be
forced to pay their workers a liveable wage”. It’s the same as Biden
wants business taxes to skyrocket because they are “not paying their
fair share”.
What they do not get is businesses have NO money. The only money they get is by producing and selling a good or service that their customers are willing to buy. Any increase in their costs like forced employee raises or increased taxes won’t be paid by THEM rather it will be paid for by their customers with the goods or services prices being increased.
But as California fast food restaurant owners are complaining there
is a limit to how much they can increase prices before their sales drop
off a cliff and they go bankrupt. Few people will pay $20 for a Big Mac
and if you look at the fast food chains sales, they have been dropping
big time.
I see it because my local Mcdonalds is right off the interstate and at
lunch time they always for years had cars stretched around the building
waiting on the drive thru. Now, 4 or 5 cars in line tops. The owner of
the Mcdonalds had to lay some employees off and cut back hours because
business is so bad and my town is a university town where there have
been no layoffs, inflation is causing this.
