Neither employers nor employees plan to spend significant piece of tax cut on economic-boosting

[mahatmakanejeeves]

Retweeted by RogueAltGov: https://twitter.com/RogueAltGov

Neither employers nor employees plan to spend a significant piece of their tax cut on economic-boosting things.

Link to tweet

New from Bank of America economists: "We had assumed that about a third of the tax windfall would be spent, but the results of our survey suggest that this may have been too optimistic."

#tax #taxlaw #economy

Link to tweet

[Sherman A1]

1. Well,

employees likely didn't get enough to even notice.

[AJT]

3. And employers are just buying back stock and giving big dividends.

[Proud Liberal Dem]

2. Who could have predicted this?!

[Ilsa]

4. Ii think most people will pay down debt.

Besides, if the money is spent on any of the most of our goods, the money will go to China and other suppliers. The economic money multiplier from a tax cut is lower now, because of goods and some services being manufactured in other countries.

[unblock]

5. useless and idiotic poll. equally counting respondents who got $10 and those who got $100,000.

at least it looks like that's the methodology.

if so, it's pretty useless because what matters is how many *dollars* are spent or invested or saved or whatever, not how many *people* do which of those. that's going to be rather different, especially when the distribution of the tax cut is so lopsided.


also, it matters *what* people spend their money on. a tax cut induced temporary boom for the luxury yacht industry is not a lasting boon for the economy.