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Politics : PRESIDENT GEORGE W. BUSH -- Ignore unavailable to you. Want to Upgrade?

To: Lizzie Tudor who wrote (567983)	4/23/2004 12:18:11 AM
From: Srexley	Read Replies (3) \| Respond to of 769670

"as I stated in the post, it is a myth that employers pay the match" Got news for you Lizzie. Because you state it doesn't make it true. You dems are so all over the place with your arguments. You say this is really the employee paying, yet most of you (not sure about you) say TAX THE CORPS MORE. Where do these costs go? "I'm just glad your average joe sixpack is starting to figure this out." You mean that you are glad the average joe is starting to believe the demo lies. It is amazing to me the lengths you guys will go to make an argument. Are you one of the dems that says RAISE THE CORP taxes? Who bears that cost?

To: Lizzie Tudor who wrote (567983)	4/23/2004 8:05:05 PM
From: brushwud	Respond to of 769670

it is a myth that employers pay the match and it is some sort of "freebie" for the employee. The fica contribution is included in the employees burdened cost to the corporation and calculated when estimates are determined for metrics like ratio of revenue to employee expenses in financial reports. Since it is a cost to the employer, on behalf of the employee, the expense is borne of the employee (even though they never see it). I remember exercises in trying to figure out "who pays the tax" when studying economics. It really depends on the relative elasticities of supply and demand. So if the supply of labor is inelastic (as if there were only one employee in the world), then the employer would effectively pay the tax. But if the demand for labor is inelastic (as if there were only one employer hiring for one job), then the employee would effectively pay the tax. Since supply and demand are generally never perfectly elastic or inelastic, the tax burden is usually shared between both consumer & supplier, but it can tend to be more on one side than the other depending on the market.