Wednesday, April 11, 2012

Lower taxes will create jobs. Baloney!

"Lower taxes for the job creators". Really? The idea that business owners, especially small business owners, will create jobs if their taxes are lowered is a fantasy.

I might be considered a "small business" owner, (I had my own dental practice for forty years). In the beginning I had one employee, me. When I retired we were 12 including my partner, four hygienists and six auxiliary personnel. Taxes had nothing whatever to do with my so called "job creation". As we got busier we needed more people. That's not hard to understand, is it? If I had hired people because I got a tax break I'd have been a fool.

A small business doesn't actually "create jobs" - it responds to needs. If the need for its services increases it hires more people. If it has new products that the public wants it hires more people. A business owner who hires more people simply because its taxes are lowered won't be in business for long.

Lower taxes might increase profits, might make it easier to buy needed equipment, but create jobs? Nonsense.

Maybe it's just me.