President Biden’s multitrillion-dollar Construct Again Higher invoice could have been crushed again, however its economy-killing tax will increase may nonetheless cross.
Senator Joe Manchin (D–West Virginia), who performed the important thing position in killing Biden’s spending extravaganza, is supporting increased taxes on companies and capital positive factors. His rationale: Extra taxes will assist combat inflation. Huh?
This episode of What’s Forward explains why increased taxes have by no means conquered inflation. They do the other by not solely elevating prices (taxes are an expense) but additionally stifling progress. That lack of progress places political stress on authorities to spend extra to assist out a distressed populace. To get the cash, politicians flip to printing it.
And we all know the place that leads.
