When Republicans passed the Trump tax, they said it would deliver an investment boom and would trickle down to help American workers – those were both lies.
Yesterday, Marco Rubio finally admitted the truth about the Trump tax (which he voted for): it’s not helping American workers.
Business Insider: “MARCO RUBIO: There's 'no evidence whatsoever' that Trump's tax bill has helped American workers”
Associated Press: “Sen. Rubio: Corporations aren’t investing tax cuts in jobs”
Republicans promised that corporations would reinvest their tax cuts to benefit American workers, but there’s no sign that is happening.
New York Times: “Investment Boom From Trump’s Tax Cut Has Yet to Appear”
New York Times: “Republicans sold the 2017 tax law as ‘rocket fuel’ for American investment and growth, saying that corporations — flush with cash from lower tax rates — would channel money back into the economy by building factories and offices and investing in equipment, which would help companies grow and provide winnings for workers. […] But, so far, hard evidence of such an acceleration has yet to appear in economic data, which show more of a steady investment roll than a rapid escalation.”
MarketWatch: “More worrisome, business investment fell for the third time in four months based on a closely followed measure known as orders for core capital goods. Core orders dipped 0.1%.”
Big corporations and wealthy shareholders are the only real beneficiaries as the Trump tax has not boosted the economy or helped workers.
New York Times: “And while there are pockets of the economy where investment is picking up — among large tech companies and in shale oil business, for example — corporate spending on buying back stock is increasing at a far faster clip, prompting a debate about whether the law is returning money to the overall economy or just rewarding a small segment of investors.”
Bloomberg: “America’s companies are swimming in cash thanks to the big cut in the corporate tax rate. The roughly 180 companies in the S&P 500 Index that have reported results saw their effective tax rate drop by 6 percent on average in the first quarter. That saved them a total of almost $13 billion in taxes, an analysis by Bloomberg shows. About a third of that went to 44 financial firms. What companies are doing with that boatload of money is a bit muddy.”
CNN: “America's economic growth slowed at the beginning of 2018 as household spending stalled in spite of recent tax cuts. The US economy grew at a rate of 2.3% in the first quarter, according to the Commerce Department's preliminary report on Friday. That's slower than the 2.9% pace in the fourth quarter of 2017.”
