Let's get real on taxes

      The Republican tax legislation is being sold as an individual and business tax cut to stimulate the economy.  Tax cuts may make sense to the economy during recessionary times but that is far from where we are now with low unemployment, stocks at record highs and business sitting on record cash reserves.   Republicans have long pushed a false narrative that lower taxes to businesses stimulates the economy.  Since 70% of the US economy is driven by consumer spending giving more tax relief to lower and middle income tax payers can create more consumer demand to create more jobs and grow an economy.  Will businesses use the money from a tax cut to grow jobs?  What is more likely is that they will do more stock by backs to increase the value of their stock and increase executive compensation which many times is tied to value of their stock. 
      While you can probably find examples of the impact of tax cuts as being a stimulus, one thing is almost always a result of tax cuts---budget deficits.  Kansas is only the latest example of this reality.  The Republican's real agenda is two pronged.  First to reward their wealthy business contributors under the cover of stimulating the economy.  Second is even more sinister which is to create a budget deficit to slash government social programs.
      Any discussion of taxes and its impact on an economy has to acknowledge that there is a income redistribution impact of any change in our tax structure.  Lower taxes are usually disproportionately directed to wealthier individuals and higher taxes provide the basis to fund services that redistribute income to lower income individuals.  Maybe that is why the happiest countries in the world are also some of the highest taxed countries.