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In response to this post in comparing individual and corporate tax revenue. There's nothing inherently wrong with the graph, the data is what it is. But the post is trying to drive traffic to OC's article, which does contain some bad economics talking about the "lack of proper taxation of businesses" and arguing the "individual citizen" shouldn't be paying so much in taxes.
RI: I'll keep this short because I'm not trying to debate whether corporate taxes should be higher. My "bad economics" point is that "corporate taxes" are just indirect "individual taxes." At the end of the day, there's always an individual paying the tax whether it's a consumer paying higher prices, a laborer receiving lower wages, or the owner of capital receiving a lower return. Determining the actual corporate tax incidence is insanely complicated, with some research indicating the tax is mostly borne by labor and plenty of other research questioning those findings. But subtlety and nuance aren't Reddit's strong suit, so of course the comments devolved into "higher corporate taxes unquestionably bad for rich people and good for workers."
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- 2 years ago
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