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Politics : View from the Center and Left

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To: JohnM who wrote (58472)4/11/2008 1:18:49 PM
From: TimF  Read Replies (2) of 542742
 
The costs don't go away. If you tax the companies than the companies pay for it in taxes instead of directly. If you tax income of people generally than people will buy less and/or demand more money. The company might be able to shift some of the costs, and thus get some benefit, but its only a partial benefit, and its at the cost of harm to others.

The auto companies might get a serious benefit because they might be able to unload part of their labor compensation costs on the country as a whole, but again that's just a transfer of costs not an elimination of costs. It might give them a reason to support it, but it shouldn't be much reason for anyone else to support it.
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