Saturday, September 17, 2011
American corporations have a record $2 trillion in cash reserves. What does this mean? It means that you can give them all the tax breaks you wnat and they will still not invest and hire more workers. Their problem is not cash, but lack of consumer demand. That means that the critical part of Obama's jobs proposal is to increase incomes of workers via public spending on infrastructure, etc., not tax breaks, including the social security tax paid by employers.