Lets say you have a company and you make hammers.
For the sake of arguement, I will assume there is always a demand for hammers.
You have 20 employees, and the government gives the Hammer/Industrial Complex (ie "You") a tax break for keeping the country well stocked with hammers.
It costs you $5 to make the hammer, and you wish to maintain a $2 profit margins on each hammer, so you charge $7.
Because of your lucrative Hammer business, you are considered to be in the "upper class".
Here comes a newly elected government, and they yank the tax breaks your company gets, and raise your personal income tax.
That $5 hammer now costs you $6.50 to make. Are you going to just bend over and take it, or are you going to raise the selling price of the hammer to $8.50?
Will you also consider, moving your hammer factory offshore to lessen your labor costs? Will you fire some of your 20 employees?
Entirely rhetorical questions, I realize that...
Just trying to illustrate what would happen should Obama get elected and try to "stick it" to the "Rich Folks"...Sure, maybe they will be the only ones getting the tax increases, but the rest of us here in America will pay for it right along with them...
Or am I missing something?
For the sake of arguement, I will assume there is always a demand for hammers.
You have 20 employees, and the government gives the Hammer/Industrial Complex (ie "You") a tax break for keeping the country well stocked with hammers.
It costs you $5 to make the hammer, and you wish to maintain a $2 profit margins on each hammer, so you charge $7.
Because of your lucrative Hammer business, you are considered to be in the "upper class".
Here comes a newly elected government, and they yank the tax breaks your company gets, and raise your personal income tax.
That $5 hammer now costs you $6.50 to make. Are you going to just bend over and take it, or are you going to raise the selling price of the hammer to $8.50?
Will you also consider, moving your hammer factory offshore to lessen your labor costs? Will you fire some of your 20 employees?
Entirely rhetorical questions, I realize that...
Just trying to illustrate what would happen should Obama get elected and try to "stick it" to the "Rich Folks"...Sure, maybe they will be the only ones getting the tax increases, but the rest of us here in America will pay for it right along with them...
Or am I missing something?