re: #230 schnapp

It is exactly what you have contended. You have said that higher taxes have absolutely no impact on firms incentive to hire workers.

Which is not the same thing as:

How about you actually cite a paper by an economist saying that higher corporate taxes have absoluely no effect on wages or firms’ decision to hire.

It has an effect on their decision, because they’re human. Not because the incentive is affected. It’s not.

Yes Mankiw is talking about statutory tax rates, but profit for tax purposes is different to accounting profit. That is what effective tax rates take into account.

No, I’m sorry, you don’t appear to understand what effective tax rates are. Effective tax rates take into account tax benefits, breaks, shelters, etc. etc.

US effective corporate taxes are amognst the highest in the OECD as I have shown inlinks but you refuse to accept.

No, you haven’t actually shown this. As I’ve said, the source of the source you cited says that we’re in the middle of the pack as far as effective corporate tax goes. I pointed this out to you several times and asked you to comment, but you didn’t.

I have also cited a harvard economist and that other one from the CBO (sort of) but you refuse to accept that higher taxes on company profits hurt workers.

Heh. You don’t actually feel at all embarassed by attempting to falsely represent that paper as being from the CBO several times. That’s hilarious.

You are asking me to accept your conclusion based on one Harvard economist. Does this mean you, likewise, will accept any economic conclusions that are made by a single Harvard economist?

Why is that when it is so logically and emprically clear?

As has been repeatedly demonstrated to you, it is not logically clear, given that corporate taxes are on profits, not on value added per worker or on income. You still don’t appear to understand this.

Empirically, we can, in the current time, see that very high profits are not leading to hiring. So, it is empirically demonstrated that higher profits do not lead to hiring. Since the only effect of taxes on profits is to lower profits, it is therefore in no way empirically demonstrated that higher taxes diminish hiring, since there does not appear to be a relationship between profits and hiring.