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Companies don’t create jobs the same way they don’t create electricity

Companies don’t create jobs the same way they don’t create electricity Paying salaries is an expense like electricity. Just like any other expense, the less is spent on wages, the better. The less is spent on electricity, the better. Would the businessperson try to spend more on electricity if they had access to more money? No. Then, why is it still being argued that tax reductions create jobs? More money to companies doesn't translate to more expenses like wages. The first effect of reducing expenses, whether in the form of wages, electricity or taxes, is the profit margin increases. Since when does profit result in something beneficial to the employees? Facebook had more than 4 billion USD net profit in the latest trimester. How many jobs are going to be created? Zero. 11,000 people fired. Companies will continue to defend tax reductions with the promise of job creation. Robin Hood…


Companies don’t create jobs the same way they don’t create electricity

Paying salaries is an expense like electricity. Just like any other expense, the less is spent on wages, the better. The less is spent on electricity, the better.

Would the businessperson try to spend more on electricity if they had access to more money? No. Then, why is it still being argued that tax reductions create jobs? More money to companies doesn't translate to more expenses like wages.

The first effect of reducing expenses, whether in the form of wages, electricity or taxes, is the profit margin increases. Since when does profit result in something beneficial to the employees? Facebook had more than 4 billion USD net profit in the latest trimester. How many jobs are going to be created? Zero. 11,000 people fired.

Companies will continue to defend tax reductions with the promise of job creation. Robin Hood in reverse. The government helps the rich take money from the poor and give nothing in return. They didn't hire not one person they were going to hire anyway.

What creates jobs is the same thing that creates demand for more electricity consumption: growth. When the company expects to grow, it will be pressured to increase its expenses to fulfil all the orders. No taxpayer money needed.

That’s why it’s more efficient for the government to distribute money to the people than to give money to companies. Companies don’t create jobs. Higher demand does.

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