re: #162 schnapp

What part of lower after-tax profits and lower retained earnings meaning less workers can afford to be hired is hard to understand?

I’ve explained it three different ways. I’m not sure what you’re not getting about this. A worker can afford to be hired if that worker is profitable. A tax on profits does not affect that. It can’t really be made any simpler.

Let’s reverse the situation and say that corporate taxes are lowered. Firms will have more to invest in either capital or labour.

Why won’t they simply pass the increased profits to investors?