View Mobile Site
 
Posted: February 27, 2009 12:01 a.m.

Taxes and jobs

Dear Editor: Anyone who claims that tax cuts create jobs is trying to fool you or themselves.

 Here is the basic equation: increase in sales cause increase in production which eventually leads to hiring employees. Sales of products cause job creation. No business that uses good, honest judgment will create a job that doesn’t lead directly to increase in profits. Yes, decreasing taxes on businesses will decrease business expenses and increase profit margins but not product sales. However any decrease in a business’ overhead will have no effect on sales unless the products quality or features increase or price decreases. Even so, the market, not the cost of business, determines a products price.

 I have never heard any business person say I’ve just got a tax cut so I think Ill hire some employees. I have heard my sales are growing so we will be hiring to increase our production, just not recently.

Julius Hayden

Covington

Commenting is not available.

Commenting not available.

Please wait ...